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The AI Regulation Rumble: States Tell Congress, 'Don't Tie Our Hands!'

  • Nishadil
  • November 26, 2025
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  • 3 minutes read
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The AI Regulation Rumble: States Tell Congress, 'Don't Tie Our Hands!'

It seems a significant battle is brewing over who gets to call the shots on artificial intelligence regulation in the United States. A substantial group, 43 state attorneys general from across the political spectrum, has just thrown down a gauntlet of sorts. They've penned a direct letter to Capitol Hill, making an earnest plea: when you craft federal AI laws, please, please don't preempt our states' ability to create our own. It's a clear signal that many states are not content to wait for a potentially slow-moving or overly broad federal response to the rapidly evolving challenges posed by AI.

Why are they so concerned? Their core argument is compelling. Preemption, they warn, would essentially "stifle innovation, consumer protection, and competition." You see, if federal law explicitly forbids states from enacting their own, more tailored AI rules, it could create a significant regulatory vacuum. While some might argue for a unified federal approach to avoid a so-called "patchwork" of state laws, the AGs see that very patchwork as a necessary flexibility – a way for states to experiment and respond quickly to unique local concerns and emerging threats. It’s about being nimble in a fast-paced technological landscape.

What kind of threats are we talking about here? Well, we're talking about everything from the proliferation of convincing deepfakes that could wreak havoc on elections or personal reputations, to algorithms that subtly bake in bias, leading to discrimination in everything from loan applications to hiring processes. Privacy concerns, consumer exploitation, the potential for unfair competitive practices – these are all very real worries that are already manifesting. States, they argue, are often on the front lines, better positioned to spot and address these immediate, on-the-ground harms affecting their citizens.

This isn't a new conversation, of course. For quite some time, federal agencies like the Federal Trade Commission (FTC), the Consumer Financial Protection Bureau (CFPB), and even the Department of Justice (DOJ) have been issuing warnings about the burgeoning risks associated with AI. And states haven't been sitting idle either. We've already seen places like California, for example, enacting laws specifically targeting deepfakes in political campaigns. This demonstrates a proactive approach that the attorneys general are keen to preserve and build upon.

It's an interesting power dynamic, really. On one side, you have these state leaders, often bipartisan in their concerns, advocating for the ability to protect their constituents with laws that can be specific and responsive. On the other, you often find large tech companies, understandably eager to avoid a complex "patchwork" of state-by-state regulations, lobbying hard for a singular, overarching federal framework – one that, perhaps, might be less stringent or slower to evolve. The letter from the attorneys general is a direct challenge to that push for federal dominance.

Ultimately, what the attorneys general are advocating for is not chaos, but rather a more collaborative and layered approach to AI governance. They want Congress to understand that the power to regulate AI locally isn't about hindering progress; it's about ensuring a safer, fairer digital future for everyone. By keeping the door open for state-level innovation in policy, they believe the nation can collectively build a more robust and responsive regulatory environment for artificial intelligence. It's a critical moment for deciding the future of AI control in the US.

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