
The U.S. Senate overwhelmingly voted 99–1 to remove a proposed 10-year ban on state-level AI regulations from the One Big Beautiful Bill, preserving the authority of states to govern emerging AI risks.
At a Glance
- Senate voted 99–1 to strip AI moratorium from megabill.
- Originally linked to a $500 million AI/broadband funding program.
- Only Senator Thom Tillis voted to retain the ban.
- Bipartisan governors and advocates railed against the provision.
- States like California and Colorado already have active AI rules.
Intense Backlash Preserves State Power
The moratorium—initially crafted by Sen. Ted Cruz—would have barred states from enforcing any AI-related regulations for up to 10 years, with a shortened five-year clause later proposed.
The restriction was embedded in a GOP-led federal spending bill that tied state access to broadband and AI infrastructure funding to the moratorium. However, backlash was swift: Republican governors, state attorneys general, and civil liberties groups united to oppose it. As AP News reported, the Senate voted 99–1 to delete the clause entirely.
Watch a report: US Senate Just Killed The 10‑Year AI Regulation Ban
Blackburn Leads Bipartisan Charge
Sen. Marsha Blackburn, who initially supported the moratorium, reversed course and introduced the amendment to strike it after new concerns emerged about the lack of federal AI protections. She partnered with Sen. Maria Cantwell in building bipartisan support. Only Sen. Thom Tillis voted against removal, citing previous endorsements of the ban by major tech companies. As Business Insider detailed, the amendment’s passage marked a rare bipartisan convergence on tech regulation.
Tech Lobbying and State Pushback
Industry leaders like Google and OpenAI had backed a uniform federal framework for AI to avoid compliance with varying state laws. But critics—including multiple GOP state officials—argued the provision would suppress proactive efforts against AI-driven threats like algorithmic discrimination and synthetic media fraud. According to The Wall Street Journal, even Trump allies fractured over the perceived federal overreach.
The Road Ahead
With the moratorium scrapped, states like California, Colorado, and Utah are moving forward with their own AI legislation. The revised bill still includes substantial AI funding, but the future regulatory landscape will likely remain fragmented. While federal bills like the CREATE AI Act remain in limbo, the Senate’s action signals a renewed commitment to states’ rights in shaping the digital frontier.