The United States Senate on Tuesday overwhelmingly voted to scrap a 10-year federal ban that restricted states from regulating artificial intelligence (AI), a major move that could redefine the role of state governments in shaping tech policy.
In a 99-1 vote, lawmakers approved an amendment introduced by Republican Senator Marsha Blackburn to strike the moratorium from President Donald Trump’s expansive tax-cut and spending proposal. The decision was taken during a marathon legislative session famously known as a “vote-a-rama,” where senators raced through a slew of proposed amendments.
Senator Thom Tillis was the sole dissenting voice in the largely bipartisan decision, voting to retain the moratorium, which initially barred states from accessing a new $500 million federal AI infrastructure fund if they chose to enact their own regulations.
Leading tech giants such as Google and OpenAI had previously backed the restriction, arguing that a patchwork of state-level rules could stifle innovation and create operational confusion.
The dramatic turnaround followed Blackburn’s rejection of a previously agreed compromise with Senate Commerce Committee chair, Senator Ted Cruz, which would have shortened the moratorium to five years and granted states leeway on specific concerns like protecting children online or regulating AI use of artists’ voices—so long as those measures weren’t deemed overly burdensome.
Explaining her change of heart, Blackburn said the compromise did not provide sufficient protection. “Until Congress passes federally preemptive legislation like the Kids Online Safety Act and an online privacy framework, we can’t block states from making laws that protect their citizens,” she stated.
With the moratorium now removed, states may soon begin crafting their own approaches to AI oversight, even as federal lawmakers continue to debate a unified national framework.