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June 30, 2025 2 min read

New AI Moratorium Deal Makes Provision More Dangerous for Consumers

PR

WASHINGTON, D.C. - Last night, Senators Marsha Blackburn (R-TN) and Ted Cruz (R-TX) announced an agreement to change the AI moratorium in the budget bill from ten years to five years, and changed key parts of the bill, making it easier for tech companies to evade accountability for anything they want to do. Somehow, the Senators have managed to make the provision worse for the American people, and better for AI companies.

Specifically, the new change would prohibit any state law or regulation that “disproportionately burdens” AI systems – a clear admission these Senators are prioritizing AI systems over people. As CFA explained last week, the ten year moratorium must not be a starting point for negotiation - it is an unacceptable approach that is a gift to tech companies, as evidenced by the product of the negotiation between Blackburn and Cruz. It must be wholly rejected.

“If your Senator votes to keep this moratorium in the bill, it is the clearest signal yet that they care more about Sam Altman and Mark Zuckerburg than they do about you,” said Ben Winters, Director of AI & Privacy, “This provision is anti-democratic, anti-accountability, and would lead to incalculable damage to all Americans.”

Today, we expect Senators to have the opportunity to vote to remove this provision from the budget bill – we urge all Senators to swiftly reject this corporate handout.

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