A major conflict between federal deregulatory efforts and state-level AI rulemaking is materializing in 2026, creating unprecedented uncertainty for technology companies. In December 2025, President Trump signed an Executive Order titled "Ensuring a National Policy Framework for Artificial Intelligence" that signals an intent to consolidate AI oversight at the federal level and counter the expanding patchwork of state AI regulations across the country.
The Executive Order directs the Attorney General to establish an AI litigation task force specifically to challenge state AI laws deemed inconsistent with federal policy, including on grounds of unconstitutional regulation of interstate commerce and federal preemption. This aggressive stance sets up potential legal battles with states like Colorado, California, and Texas that have enacted comprehensive AI governance frameworks.
Despite federal opposition, several major state AI laws are coming into effect in 2026. Colorado's AI Act, currently slated to take effect on June 30, 2026, places substantial new responsibilities on AI developers and deployers, including requirements to undertake reasonable care to avoid algorithmic discrimination. California's Transparency in Frontier Artificial Intelligence Act and Texas's Responsible Artificial Intelligence Governance Act both went into effect on January 1, 2026, establishing disclosure requirements and oversight mechanisms for high-risk AI systems.