States’ Leadership on AI Regulation to Continue Next Year, Legal Challenges to New CA Tech Laws & More

AI Regulation to Remain in State Hands in 2025

In the absence of congressional action on artificial intelligence, state legislatures have taken the lead on the issue. And that’s likely to continue next year.

While it’s unclear how President Trump will approach AI regulation, Craig Albright, senior vice president for U.S. government relations at BSA The Software Alliance, a trade group, said with Republicans completely controlling Washington next year, there will likely be resistance to regulating AI at the federal level.

“That will certainly create incentives and pressure on states to act,” he said, adding that states have already shown their willingness to do so.

Progressive “AI safety” groups have also signaled their intention to push for the passage of legislation like the AI transparency requirements enacted in California this year in other states in 2025.

Rob Eleveld, chairman of one of those groups, the Seattle-based Transparency Coalition, said Trump’s election wasn’t the reason for concentrating his organization’s efforts in the states, however.

“We have taken a state-focused approach not because of which administration is in power in Washington, D.C., but because Big Tech is at this point the biggest lobbyist in D.C. and has that town wired with massive lobbying budgets,” he said. “We have found state level officials much more willing to move out in front in protecting their citizens.” (PLURIBUS NEWS)

X Sues to Block New CA Political Deepfake Law

Elon Musk’s social media company X filed a federal lawsuit seeking to block a new California law (AB 2655) requiring major online platforms to label or remove deceptive election content. The company alleges the law would encourage platforms to sensor legitimate content out of caution. (LOS ANGELES TIMES, LEXISNEXIS STATE NET)

Tech Group Sues to Block New CA Social Media Law

The tech industry group NetChoice filed a federal lawsuit aimed at blocking a new California law (SB 976) prohibiting social media platforms from providing “addictive feeds” to minors without parental consent. The lawsuit contends the law will force platforms to collect age and other information about their users and prevent adults and young people from accessing legally available content if they refuse to provide that information. (SAN FRANCISCO CHRONICLE)

MA Approves $103M for AI Development

Massachusetts lawmakers passed a $4 billion economic bill (HB 5100) last week that includes $103 million in funding for the use of artificial intelligence across multiple economic sectors, including healthcare, financial services and manufacturing. The measure also allocates $40 million for a quantum innovation hub. (BOSTON GLOBE)

—Compiled by SNCJ Managing Editor KOREY CLARK

As we’ve previously reported, most states have either introduced or enacted legislation related to AI in the past twelve months. AI continues to be a pressing issue for state lawmakers this year, potentially introducing a host of challenges for businesses. And we don’t foresee that changing any time soon. That is why LexisNexis® State Net® would like to offer you 30 days of AI legislative and regulatory alerts for free.*

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