Open Markets Lambasts House Committee’s Blank Check to Silicon Valley Oligarchs
A House Energy and Commerce proposal to preempt state AI regulation represents nothing short of a democracy-free decade for artificial intelligence corporate interests
WASHINGTON – The Open Markets Institute released the following statement in response to the House Energy and Commerce Committee’s draft budget reconciliation bill that represents nothing short of a democracy-free decade for artificial intelligence corporate interests, during which the public would be barred from helping shape the most sweeping technological transformation of our time.
Crafted behind closed doors and delivered straight from Silicon Valley’s playbook, this legislation proposes federal preemption of all state AI regulation for a decade, explicitly prohibiting ‘any state or political subdivision’ from regulating artificial intelligence models, systems, or automated decision-making for ten full years. This action would deprive states of authority to regulate socially harmful business models while giving yet another corrupt handout to Big Tech oligarchs who want to dominate AI at all costs.
“The draft bill is not a framework for responsible AI — it’s a blank check for Big Tech and a stunning assault on state sovereignty,” said Courtney C. Radsch, director of the Center for Journalism and Liberty at Open Markets Institute. “This is the broligarchy in action: billionaires and lobbyists writing the laws to lock in their dominance, at the direct expense of democratic oversight, with no new rules, no obligations, and no accountability allowed. This is not innovation protection—it's a corporate coup.”
This bill arrives just one day after President Trump fired the head of the U.S. Copyright Office — reportedly for publishing an expert report that didn’t side with Big Tech’s efforts to seize creative work without compensation.
“This is corruption in plain sight. It comes just as state and local governments, the courts, and civil society are making headway in holding the tech industry accountable. That’s not policymaking, that’s retaliation. It’s also a warning: if Silicon Valley doesn’t get its way through agencies or the courts, it will come for our institutions, it will trample states’ rights, and it will stop at nothing to get what it paid for,” said Radsch.
“But we don’t have to settle for a future engineered by monopolists. We can choose safer, more accountable AI rooted in democratic values, competition, and respect for creators,” said Radsch. “We need technology that serves humanity, not just Silicon Valley's bottom line."
The Open Markets Institute and the Center for Journalism and Liberty at Open Markets previously published a comprehensive report on creating "AI in the Public Interest,” where you can find a full set of policy recommendations for lawmakers to ensure that AI is built for the public good, rather than for the purpose of further enriching Big Tech oligarchs.
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