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Home Future Tech AI

Trump 2.0 Will Have a Massive Impact on AI, Reshaping U.S. Tech Policy

by Reshab Agarwal
November 7, 2024
in AI, News
Reading Time: 3 mins read
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Donald Trump's Re-Election
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Donald Trump claimed victory in the 2024 U.S. presidential election, setting the stage for substantial changes in federal technology policy. One of Trump’s first moves will be to dismantle President Biden’s recent AI Executive Order, issued in October 2023. Biden’s directive had introduced comprehensive oversight of artificial intelligence, including the establishment of the U.S. AI Safety Institute (AISI), which required companies to submit detailed reports on their AI models, training methodologies, and security protocols. The order also tasked the National Institute of Standards and Technology (NIST) with setting up guidelines for identifying and fixing AI model flaws. Thus, Trump 2.0 will have a massive impact on AI by reversing Biden’s policies that focus on AI regulation and safety.

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The AI policies of the Biden administration have faced criticism from some Republican lawmakers. In March, Representative Nancy Mace (R-S.C.) warned that the reporting requirements could stifle innovation, potentially preventing advancements like ChatGPT. Similarly, Senator Ted Cruz (R-Texas) labeled NIST’s AI safety standards as a “woke” move aimed at controlling free expression. With Trump’s return, the future of the AISI, despite its funding and international partnerships, appears uncertain.

Trump’s Trade Plans May Impact AI Development

By dissolving the AI Safety Institute, Trump 2.0 will have a massive impact on AI oversight and accountability in the U.S. tech sector. Trump’s stance on trade could also influence AI progress. His proposed tariffs, i.e. a 10% levy on all U.S. imports and a 60% tariff on Chinese products, might hinder the AI industry’s access to essential hardware, including GPUs needed for AI model training. Trump’s administration may also increase restrictions on exporting AI technology to China, although Chinese firms currently access some U.S.-made AI tools through cloud services.

Trump is anticipated to replace FTC Chair Lina Khan, a Biden appointee known for her aggressive stance on Big Tech. Khan has pushed for a broad view of antitrust, emphasizing non-price-based consumer harms such as the monopoly power of large tech firms. Her departure could slow the FTC’s ongoing antitrust cases against companies like Meta, Google, and Amazon. Musk, a strong Trump ally and critic of Khan, may also influence this change, as Musk’s xAI and other ventures stand to benefit from a more lenient regulatory landscape.

State-Level AI Regulations May Rise

If federal AI oversight is reduced, states might enact their own regulations. Several states, including California and Colorado, have already taken steps in this direction. California recently passed bills requiring companies to disclose AI training data and instituted protections against AI-generated deepfakes. Tennessee enacted laws restricting AI voice cloning earlier this year. These actions suggest a trend of state-led regulation if federal measures are withdrawn.

Tech magnate Elon Musk, who financially backed Trump’s campaign, may gain substantial influence in the upcoming administration. Musk’s ventures, including xAI and SpaceX, could benefit if Trump follows through on plans to reduce AI and tech regulation. Musk’s ongoing disagreements with OpenAI could also play a role in reshaping the AI regulatory landscape, as Trump has shown openness to Musk’s vision for U.S. technology dominance.

Social Media and Privacy Policies Could Shift

As Trump wins the US elections 2024, Trump 2.0 will have a massive impact on AI’s future direction. During his previous term, Trump sought to repeal Section 230, which shields social media platforms from liability for user-generated content. Although Biden overturned Trump’s initial executive order on Section 230, Trump’s renewed presidency could see attempts to reintroduce such changes. Furthermore, TikTok’s future in the U.S. remains uncertain. Although Trump previously advocated banning the app, he recently signaled opposition to current efforts to force a sale of TikTok’s U.S. operations.

Also Read: OpenAI Buys New Domain Chat.com, Boosting Accessibility for ChatGPT.

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Reshab Agarwal

Reshab is a tech-enthusiast who likes to write about all things crypto. He is a Bitcoin bull and believes in a decentralized future of finance. Follow him on Twitter for more!

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