California, for instance, has moved to restrict AI-generated or manipulated content in political advertising, particularly during elections. Colorado has passed a law to prevent AI-driven discrimination in employment, housing, and finance, though its rollout has been postponed.
Earlier this year, tech giants, including Google, OpenAI, Microsoft, Meta, and Amazon, had backed a moratorium on state-level AI rules. In March, OpenAI had even suggested to “create a sandbox for American start-ups and provide participating companies with liability protections, including preemption from state-based regulations that focus on frontier model security.”
That push lost momentum in July, when the Senate overwhelmingly rejected President Trump’s proposal for a 10-year ban on state AI regulation.
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