Trump Axes Biden’s AI Executive Order: What’s Next for US AI Policy?

On the first day of his second term, President Donald Trump followed through on a campaign promise by rescinding President Joe Biden's 2023 AI executive order designed to mitigate risks posed by advanced AI models to consumers and national security.

Here’s a breakdown of the key points:

• Rescission of Biden's AI Order: Trump revoked the executive order, which had introduced safety and transparency requirements for AI developers.
• Halting of Safety Measures: This action immediately paused the implementation of mandates designed to ensure responsible AI development.
• Future Policy Direction: While no replacement order has been announced, the administration is signaling a more hands-off approach to AI regulation.
• Criticism of Previous Regulations: Trump previously argued that Biden’s regulations were overly restrictive and stifled innovation.
• Appointment of AI Czar: Trump appointed David Sacks, a venture capitalist and co-host of the All-In Podcast, as his cryptocurrency and AI policy advisor.

This move aligns with the Republican platform, which opposed Biden’s AI order on the grounds that it hindered technological advancement. The new administration is expected to prioritize US competitiveness in AI—particularly in relation to China—while focusing less on regulatory oversight.

What Biden’s Executive Order Did

The October 2023 executive order, issued under President Joe Biden, tasked the Commerce Department's National Institute of Standards and Technology (NIST) with providing guidance to AI developers on identifying and fixing flaws in their models. It also required developers to:

• Conduct safety tests on AI systems.
• Share test results with the government before public release.

The Biden administration framed the order as a cornerstone of its efforts to promote AI safety, protect privacy, ensure equity, and maintain global AI leadership. Many of its requirements had already been implemented across federal agencies, creating foundational AI governance controls.

What Trump’s Repeal Means

The practical impact of Trump’s repeal remains unclear, as the administration has yet to outline its plans for AI policy. However, the absence of any police gives companies more freedom to focus on building. Something the tech community has been quite vocal about

Critics, including former White House Office of Science and Technology Policy official Suresh Venkatasubramanian, warned that the repeal could leave the US without critical protections. “We will have no protections at all,” he said last year.

Trump’s AI Philosophy

During his campaign, Trump criticized Biden’s executive order as a “dangerous barrier to innovation,” positioning his approach as pro-growth and rooted in “free speech and human flourishing.”

Trump’s first term showed his interest in AI, with executive orders in 2019 and 2020 aimed at promoting AI development and ensuring trustworthiness. Those orders remain in effect, but the revocation of Biden’s order signals a less restrictive approach to AI governance.

What’s Next?

As the administration works to define its stance, the focus is expected to shift toward fostering innovation and global competitiveness, particularly in the face of rising competition from China. For now, the AI policy landscape remains in flux, leaving the industry and regulators alike waiting to see what’s next.