New Executive Order on Artificial Intelligence

Artificial IntelligenceAI Governance
Written By Kris MILLER

President Trump signed a new Executive Order: “Removing Barriers to American Leadership in Artificial Intelligence”.

Introduction

On January 23, 2025, President Trump signed Executive Order 14179, titled “Removing Barriers to American Leadership in Artificial Intelligence.” This directive aims to bolster the United States’ position in the global AI landscape by eliminating policies perceived as hindrances to innovation and by establishing a comprehensive plan to maintain and enhance AI leadership. 

Background and Revocation of Previous Policies

Upon commencing his second term, President Trump rescinded several executive orders from the previous administration, notably President Joe Biden’s Executive Order 14110, “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence,” signed on October 30, 2023. 

The Biden-era order emphasized the development of AI with robust safety standards, ethical considerations, and protections against potential biases. It mandated that AI developers share safety test results with the federal government before deploying high-risk AI systems, aiming to safeguard consumers, workers, and national security. 

In contrast, the new executive order seeks to remove what the current administration views as regulatory obstacles that could impede AI innovation. By revoking certain existing AI policies and directives, the order intends to create a more conducive environment for rapid AI development and deployment. 

Key Provisions of the Executive Order

The executive order outlines several critical actions to reinforce American leadership in AI:

1. Policy

The new executive order is short and leaves nearly all details to existing executive actions and policies, which may or may not remain in place. The stated new policy follows:

“It is the policy of the United States to sustain and enhance America’s global AI dominance in order to promote human flourishing, economic competitiveness, and national security.”

2. Development of an AI Action Plan

Within 180 days, the government will formulate an AI Action Plan to ensure the United States sustains and strengthens its global AI dominance. 

3. Review and Modification of Existing Policies 

The Assistant to the President for Science and Technology, in collaboration with agency heads, is tasked with identifying and revoking or modifying existing policies, directives, and regulations that may hinder AI innovation. This includes reassessing actions stemming from the previous administration’s executive orders. 

4. Alignment of Budgetary Guidelines

The Office of Management and Budget (OMB) is directed to revise specific memoranda within 60 days to align with the new policy direction, ensuring that budgetary considerations support the acceleration of AI initiatives. 

5. Promotion of Unbiased AI Systems

The order emphasizes the development of AI systems free from ideological bias or engineered social agendas, underscoring the administration’s commitment to impartial and objective AI applications. 

Comparison with the October 2023 Executive Order

The shift from the October 2023 executive order to the current directive reflects a philosophical change in the U.S. government’s approach to AI, but the order does not provide any new operational specifics or details.

Rather, the new order directs key stakeholders to review existing policies, “identify any actions taken pursuant to the previous executive order that are or may be inconsistent with, or present obstacles to, the [new] policy”, and “as appropriate and consistent with applicable law, suspend, revise, or rescind such actions, or propose suspending, revising, or rescinding such actions.”

As such, commentators have described the new executive order on AI as more of a “vibe shift” than a stark change in current policy or approach.

Regulatory Philosophy

The Biden administration’s order focused on implementing safeguards to protect against potential harms of AI, including development biases and ethical concerns. It required AI developers to conduct rigorous testing and share results with the government before deploying high-risk systems. In contrast, the current executive order prioritizes reducing regulatory barriers to facilitate swift AI innovation, suggesting that previous regulations may have been overly restrictive. 

Ideological Bias and Engineered Social Agendas

The previous executive order highlighted the importance of addressing discrimination and bias in development of AI systems, which is a globally-recognized challenge reflected in every major code of ethics and standards regarding AI development.

The new executive order, however, introduces a novel interpretation of AI bias. In Section 1, the Purpose section, the order states that “[t]o maintain this leadership, [the United States] must develop AI systems that are free from ideological bias or engineered social agendas.”

The text provides neither a definition nor a reference for either “ideological bias” or “engineered social agendas.” As a result, this purpose provision remains open to selective interpretation by both the current and any succeeding administrations.

Strategic Objectives

The October 2023 order aimed to balance innovation with public protection, ensuring that AI advancements did not come at the expense of consumer rights or safety. The current order, however, places a stronger emphasis on economic competitiveness and national security, aiming to solidify the United States’ leadership in the global AI arena. 

Implications for the AI Industry

The new executive order is poised to have at least two implications for the AI industry.

Reevaluation of Compliance Requirements

Organizations that had adapted to the previous administration’s stringent testing and reporting requirements may need to reassess their compliance strategies in light of the new, more relaxed regulatory environment.

Acceleration of AI Development

If certain regulatory constraints are removed, AI companies may experience a more streamlined process in developing and deploying new technologies, potentially leading to faster innovation cycles.

Conclusion

Executive Order 14179 signifies a philosophical pivot in US AI policy, moving from a steady, regulated approach to one that prioritizes speed, innovation, and global competitiveness. By ordering the review and rescission of elements of previous directives deemed obstructive, the current administration aims to foster an environment where AI can flourish quickly, unimpeded by excessive regulation. 

As the AI landscape continues to evolve, companies and key stakeholders will need to navigate these policy shifts thoughtfully to harness the full potential of artificial intelligence. The new order does not mark an abandonment of ethical or trustworthy AI, but articulates an emphasis on greater speed, innovation, and risk taking. 

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Kris MILLER
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