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Lutnick Pushes AI Moratorium Proposal in Budget Package

Creating a federal AI standard would end “the chaos of 50 different state laws” and ensure American companies can develop “cutting-edge” technology, Commerce Secretary Howard Lutnick said Wednesday in an X post supporting President Donald Trump’s One Big Beautiful Bill.

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The office of Senate Commerce Committee ranking member Maria Cantwell, D-Wash., said Lutnick’s comments reveal the “true intention” behind budget reconciliation language from Chairman Ted Cruz, R-Texas: “To ban ALL STATES from enforcing laws or regulations on AI for a decade.” Cantwell said the AI moratorium proposal forces states to “choose between protecting consumers and expanding critical broadband infrastructure to rural communities.”