How I Made $5000 in the Stock Market

Trump Signed an AI Executive Order. It May Be Headed for Court Battles.

Dec 11, 2025 20:05:00 -0500 by Adam Levine | #AI

President Donald Trump signs an executive order in the Oval Office on Dec.11. (Alex Wong/Getty Images)

Key Points

President Donald Trump signed an executive order on Thursday that attempts to impose a single light-touch national regulation framework over artificial intelligence, rather than a patchwork of regulations from the states and territories.

“You have to have a central source of approval,” Trump said at the signing press conference.

The executive order directs the Department of Justice to set up a task force to sue states for their AI laws. The Commerce Department will make a list of what it considers onerous regulation, and it will attempt to withhold broadband deployment funding from states that don’t comply.

The results of these moves will likely be decided in federal court, and without congressional authorization, the administration may have an uphill battle.

The executive order tasks the Special Advisor for AI and Crypto, David Sachs, with preparing a legislative proposal for Congress, but a warm reception from lawmakers is far from assured.

In May, the House narrowly passed a 10-year moratorium on new state AI regulations, but in July, the Senate voted 99-1 against it.

Write to Adam Levine at adam.levine@barrons.com