December 12, 2025
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Trump EO creates DOJ AI Litigation Task Force to challenge state AI laws; Commerce to weigh broadband funding penalties

President Trump’s executive order directs Attorney General Pam Bondi and the Justice Department to create an “AI Litigation Task Force” — with FTC and FCC coordination — to sue or otherwise challenge state and local AI laws, and directs Commerce to compile a list of “problematic” state regulations and study whether federal rural broadband and other grant funds should be withheld from states with such laws. The White House frames the move as preventing a patchwork of 50 different rulebooks and keeping U.S. firms competitive with China, and it tasks advisor David Sacks with working with Congress on national AI legislation, but legal scholars warn broad preemption likely requires Congress and critics call the EO a subsidy to Big Tech.

Artificial Intelligence Policy Federal vs. State Authority Artificial Intelligence Regulation Federal-State Preemption Donald Trump

📌 Key Facts

  • The executive order directs the Justice Department — led by Attorney General Pam Bondi — to create an "AI Litigation Task Force" to challenge or sue states over AI-related laws deemed "excessive" or "onerous," and directs the FTC and FCC to coordinate with DOJ on that effort.
  • Commerce Secretary Howard Lutnick is ordered to compile a list of "problematic" state AI regulations and to study whether federal rural broadband funds and other deployment grants can be withheld from states with unfavorable AI laws.
  • The administration says it will target only the "most onerous" state rules and will avoid opposing certain child-safety measures.
  • The executive order tasks AI adviser David Sacks with working with Congress on national AI legislation; Sacks has publicly defended the administration's targeted approach.
  • The order anticipates court challenges, and tech policy researchers and legal experts say broad preemption of state AI laws likely requires an act of Congress.
  • The administration framed the EO as necessary to avoid a "patchwork" of 50 state approvals and to help the U.S. compete with China, with Trump saying "there's only going to be one winner."
  • Several states already have cross‑sector AI statutes, including Colorado, California, Utah and Texas.
  • Political reaction includes criticism from Florida Gov. Ron DeSantis (calling the preemption a "subsidy to Big Tech") and Sen. Ed Markey (calling it an "early Christmas present" to CEOs).

📊 Relevant Data

In 2024, the US AI talent workforce is 70.5% male and 29.5% female, showing underrepresentation of women compared to the general workforce where women are approximately 47% of employed workers.

Artificial Intelligence Index Report 2025 — Stanford HAI

In 2023, Black Americans comprise 8% of bachelor's degree graduates in computer science (a proxy for AI workforce pipeline), compared to 12-13% of all postsecondary graduates and 12.4% of the US population.

Artificial Intelligence Index Report 2025 — Stanford HAI

In 2023, Hispanic Americans comprise 13% of bachelor's degree graduates in computer science, compared to 8-13% of all postsecondary graduates and 19% of the US population.

Artificial Intelligence Index Report 2025 — Stanford HAI

A 2025 study found that leading AI hiring tools built on large language models consistently favor Black and female candidates over White and male candidates.

AI hiring tools 'favor black, female candidates over whites, males' — New York Post

In 2025, China accounts for over 70% of all AI patent applications globally, compared to the US share which is significantly lower.

AI Patents by Country Revealed: The Top 15 Nations Dominating Innovation — Arapacke Law

Biases in AI systems often arise from biased training data, such as racial stereotypes embedded in the datasets used to train generative AI models.

Generative AI Takes Stereotypes and Bias From Bad to Worse — Bloomberg

📰 Sources (3)

Trump signs executive order to block "excessive" state AI regulations
https://www.facebook.com/CBSNews/ December 12, 2025
New information:
  • Trump publicly framed the EO as necessary to avoid a 'patchwork' of 50 state approvals and to compete with China, saying 'there's only going to be one winner.'
  • The EO specifically directs AG Pam Bondi to create a new DOJ task force to challenge state AI laws and directs Commerce to compile a list of 'problematic' state regulations.
  • The order threatens to restrict funding from a broadband deployment program and other grants to states with AI laws.
  • Administration AI adviser David Sacks said the push will target only the 'most onerous' state rules and will not oppose 'kid safety' measures.
  • Article identifies four states with cross‑sector AI statutes to date: Colorado, California, Utah, and Texas.
  • Political reaction includes criticism from Florida Gov. Ron DeSantis (calling preemption a 'subsidy to Big Tech') and Sen. Ed Markey (calling it an 'early Christmas present' to CEOs).
Trump is trying to preempt state AI laws via an executive order. It may not be legal
NPR by Huo Jingnan December 12, 2025
New information:
  • The executive order directs DOJ to create an 'AI Litigation Task Force' to sue states over AI-related laws.
  • FTC and FCC are directed to coordinate with DOJ to follow a White House plan to circumvent 'onerous' state and local AI regulations.
  • Commerce Secretary Howard Lutnick is directed to study whether federal rural broadband funds can be withheld from states with unfavorable AI laws.
  • Trump and AI advisor David Sacks say the administration will avoid challenging some child-safety measures while targeting the 'most onerous' state rules.
  • Order anticipates court challenges; tech policy researchers say broad state-law preemption likely requires an act of Congress.
  • The order tasks Sacks with working with Congress on national AI legislation.
Trump signs executive order targeting state AI laws
Axios by Maria Curi December 11, 2025