Trump’s AI Plan Threatens State Funding Over ‘Burdensome’ Tech Laws

President Trump’s new AI action plan is raising eyebrows for what it doesn’t say. While the administration vows to cut red tape and boost innovation, the plan gives federal agencies sweeping power to deny funding to states with so-called “burdensome” AI laws—without defining what that actually means. Legal experts and consumer advocates warn this could jeopardize a wide range of federal support, from broadband access to cybersecurity programs. With no comprehensive AI legislation from Congress in sight, states are left guessing—and potentially at risk of losing critical resources.