Trump's Executive Order Relieves AI Regulation, Wade Bush: AI Sector's “Dark Regulatory Cloud” Dispels, Tech Giants Welcome a “Major Victory”

The Zhitong Finance App learned that investment company Wade Bush pointed out that the executive order signed by US President Trump to restrict states from implementing regulations in the field of artificial intelligence was viewed by the industry as a “major victory” for major US technology companies, including Microsoft (MSFT.US).

Wade Bush analyst Dan Ives mentioned in his report to clients: “This move is certainly a major victory for OpenAI, Google (GOOGL.US), Microsoft (MSFT.US), Anthropic, Meta (META.US), and many other AI companies that have been actively lobbying to restrict AI regulation. It is important to know that if relevant regulatory measures are implemented, they will pose a major obstacle to innovative research, development, promotion and application of this technology at all business levels. Currently, trillions of dollars have been invested in the construction of AI infrastructure and other related technologies. The executive order aims to simplify the regulatory process and help the US establish a dominant position in the industry. After all, more and more foreign competitors are speeding up their efforts to seize the opportunity and stand out in the AI revolution.”

Ives further added that as soon as the executive order came out, the market's doubts about “whether to invest heavily in AI in the future” were swept away, and the “dark regulatory cloud” that had always weighed on the sector's valuation head also dissipated.

The order clearly instructs the US Attorney General to take the lead in forming an “Artificial Intelligence Litigation Task Force”. Its core responsibility is to challenge laws related to artificial intelligence in various states that are “biased and inconsistent” with federal policies. In addition, the order also requires the Minister of Commerce to fully consult with officials from other relevant departments within a period of 90 days to “issue an evaluation report on existing artificial intelligence laws in each state, detailing the legal provisions that conflict with federal policies and constitute an excessive burden.”

This strategy has provided strong support to the tech industry, which has always feared that different state rules hinder the development of artificial intelligence technology, so it has been trying to challenge state laws that conflict with overall development by filing lawsuits and threatening capital cuts.