Cruz Says AI Moratorium Won’t Impact Tennessee Copyright Law
The Senate’s AI moratorium proposal won’t impact copyright laws, such as those in Tennessee, Senate Commerce Committee Chairman Ted Cruz, R-Texas, told us Thursday.
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The proposal is dividing Republicans, with senators like Marsha Blackburn, R-Tenn.; Josh Hawley, R-Mo.; and Rand Paul, R-Ky.; seeking to defend states' rights.
Interviews with Sens. Lindsey Graham, R-S.C.; Steve Daines, R-Mont.; and Cynthia Lummis, R-Wyo.; highlight how Republicans are trying to weigh different philosophies on federalism and interstate commerce.
“I understand that we've got to have uniformity,” Graham told us Thursday. “But Marsha Blackburn suggested that the way it’s written, it may deny copyright protections. So between Sen. Cruz and Sen. Blackburn, I’m seeing if they can find a resolution.”
Cruz responded: “The text as written does not impact in any way the Elvis Act in Tennessee, and so I’m confident that provision will remain in the bill that we pass into law.”
The Elvis Act, signed into law in 2024 by Tennessee Gov. Bill Lee (R), established liability for the unauthorized use of voice or likeness using AI technology. Connecticut Sen. James Maroney (D) and other state lawmakers have said the moratorium will prevent states from fully enforcing privacy laws (see 2506260037).
The latest text from Cruz’s office stipulates that states won’t be blocked from enforcing laws that don’t “impose any substantive design, performance, data-handling, documentation, civil liability, taxation, fee, or other requirement on artificial intelligence models, artificial intelligence systems, or automated decision systems” unless imposed by federal law.
“I think both sides have a good argument on it, frankly,” said Daines. “I strongly believe in federalism. I also fear what some of the states, like California and New York,” are doing to regulate AI. ... As somebody who believes strongly in federalism, I also worry about what could be done in that area that would create headwinds” for the innovation needed to lead globally on AI.
“I am almost 100% of the time in favor of states' rights, and on this one, I’m not,” said Lummis. “I’m more interested in the moratorium.” If Cruz is correct, [and] the proposal won’t impact state laws like the Elvis Act, then “I’m probably going to stay with the Cruz line of thinking on this.”
Rep. Marjorie Taylor Greene, R-Ga., has been the most outspoken Republican opposing the moratorium. “There’s no legislation on the federal level on AI, so I think it’s extremely wrong to preemptively tie states’ hands for 10 years to regulate and make laws on AI,” she told us Thursday. “I think that’s incredibly irresponsible; so, you need to put the horse before the cart, so to speak.”
Senate Judiciary Committee Chairman Chuck Grassley, R-Iowa, said he’s leaning toward supporting the moratorium: “It’s not much I’ve given thought to, but I see a general problem that you have with agriculture with every state passing something different. And I compare that to the constitutional power given to Congress to regulate interstate commerce. So, I think I’m going to support the effort to preempt.”
A group of 17 Republican governors on Friday wrote Senate Majority Leader John Thune, R-S.D., and House Speaker Mike Johnson, R-La., asking them to drop the AI moratorium from the budget package. The group included governors from South Dakota, Louisiana, Tennessee, South Carolina and Utah.
“States have led on smart regulations of the AI industry that simultaneously protect consumers while also encouraging this ever-developing and critical sector,” the governors wrote. “AI is already deeply entrenched in American industry and society; people will be at risk until basic rules ensuring safety and fairness can go into effect. ... Let states function as the laboratories of democracy they were intended to be and allow state leaders to protect our people."
Sen. Richard Blumenthal, D-Conn., told us he’s “ready to go” concerning filing an amendment. Hawley has said he and Blumenthal will try to strip the provision during vote-a-rama, a process in which senators can file unlimited amendments. Sen. Ed Markey, D-Mass., has said he intends to raise a point of order on the proposal, which could lead to a floor vote on the moratorium itself. Republicans can only afford to lose three votes to retain a simple majority. Reports suggest Republicans are still rewriting portions of the budget package and may not meet their goal of final passage before July 4.