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Silicon Flash > Blog > Business > States’ Authority over AI Regulation Upheld by Senate Approval of Cantwell Amendment
Business

States’ Authority over AI Regulation Upheld by Senate Approval of Cantwell Amendment

Published July 3, 2025 By Juwan Chacko
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States’ Authority over AI Regulation Upheld by Senate Approval of Cantwell Amendment
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In a significant 99-1 vote in the early hours of Tuesday, the U.S. Senate rejected a provision that would have prevented states from regulating artificial intelligence for a decade. The amendment, co-sponsored by Sen. Maria Cantwell, D-Wash., and Sen. Marsha Blackburn, R-Tenn., successfully removed this contentious measure from a broader domestic policy bill. The original provision aimed to stop states from enacting new AI laws or enforcing existing regulations on AI models and automated systems.

A decisive vote in the U.S. Senate has removed a provision that would have restricted states from regulating artificial intelligence for ten years. The amendment, sponsored by Sen. Maria Cantwell and Sen. Marsha Blackburn, successfully eliminated this controversial measure from a larger domestic policy bill. The original provision aimed to prevent states from passing new AI laws or enforcing existing regulations on AI models and automated systems.

This decision represents a setback for tech investors and companies who pushed for the provision, including Andreessen Horowitz and OpenAI. These groups argued that complying with various state laws would stifle innovation, as reported by The New York Times. Microsoft, based in Redmond, Washington, advocated for a compromise that preserved states’ rights to regulate certain aspects of AI, such as protecting consumers from AI-related fraud. However, Amazon, headquartered in Seattle, did not provide a comment on the matter.

Sen. Cantwell expressed her satisfaction with the Senate’s decision, emphasizing the importance of upholding good state consumer protection laws. She highlighted the need for collaboration at a national level to establish a new federal framework for artificial intelligence, promoting U.S. leadership in the field while safeguarding consumers.

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The proposed ban would have compelled states to choose between federal broadband funding and maintaining AI protections. Washington state anticipates receiving $1.2 billion from the Broadband Equity, Access, and Deployment (BEAD) program. Sen. Ted Cruz and Speaker Mike Johnson were key proponents of the provision in their respective chambers.

Last year, 24 states enacted legislation related to AI, a point underscored by Sen. Cantwell during a media event in June. She warned that Congress’s actions could jeopardize state laws designed to protect Americans from AI-related harm, emphasizing the importance of preserving these safeguards.

Washington Attorney General Nick Brown echoed these sentiments in a letter with 39 other attorneys general, advocating for states as “laboratories of democracy” in establishing AI standards. Washington’s Artificial Intelligence Task Force plays a crucial role in researching and formulating regulations for AI technologies, including measures to combat deepfakes, non-consensual distribution of AI-generated images, and fraudulent use of digital likenesses.

While Washington has implemented several AI-related protections, such as bans on deepfakes and rules against fraudulent digital likenesses, additional measures like AI training data disclosure and content authentication efforts were not enacted this year. Brown criticized the proposed 10-year ban as impractical given AI’s rapid evolution and Congress’s challenges in reaching policy consensus.

He stressed the importance of allowing states to regulate AI, emphasizing the need for flexibility in adapting to technological advancements. Washington’s proactive approach to AI regulation serves as a model for other states grappling with similar issues.

TAGGED: Amendment, approval, Authority, Cantwell, regulation, Senate, States, Upheld
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