California Governor Gavin Newsom Responds on President Trump's AI Executive Order Seeking to Blocking Local Regulations.

The signature was still fresh on the President's sweeping AI policy directive when Gavin Newsom launched a sharp critique. Shortly following the decree was released on Thursday night, Newsom issued a statement contending that the presidential dictum, which seeks to block local governments from crafting their own AI rules, advances “grift and corruption” instead of genuine innovation.

“President Trump and David Sacks are not crafting legislation – they’re running a con,” the governor stated, referencing Trump’s AI adviser. “Every day, they test boundaries to see what they can get away with.”

A Major Victory for Tech Industry Sets Up a Federal-State Clash

The presidential directive is seen as a decisive win for technology companies that have lobbied vigorously to remove regulatory hurdles to developing and deploying their AI products. Furthermore, it sets up a looming clash between local authorities and the federal administration over the direction of artificial intelligence governance. Swift criticism from groups including child safety advocates, labor unions, and elected leaders has highlighted the highly controversial nature of the order.

Several officials and organizations have raised doubts about the constitutionality of the directive, arguing that the President does not have the authority to override local laws on AI and labeling the order as the result of powerful corporate influence. California, the base for many prominent AI companies and one of the most prolific legislators on AI policy, has become a central locus for pushback against the order.

“This executive order is deeply misguided, wildly corrupt, and will ultimately stifle progress and weaken public trust in the long run,” said California Democratic representative, Sara Jacobs. “We will explore every option – including legal and legislative action – to reverse this decision.”

A Policy Standoff and Potential Legal Duel

Earlier this year, Newsom enacted a landmark AI law that would require developers of advanced "frontier" AI systems to provide transparency reports and promptly report critical failures or risk penalties exceeding $1 million. The governor touted this legislation as a model for governing the tech sector nationwide.

“Our state’s status as a global leader in tech allows us a unique opportunity to establish a framework for well-balanced AI policies for the entire nation,” Newsom said in an address. “This is particularly vital given the lack of a national regulatory framework.”

This September bill and other California legislation could now be in Trump’s crosshairs. Thursday’s executive order calls for an legal review panel that would scrutinize state laws deemed not to “enhance the United States’ global AI dominance” and then initiate lawsuits or potentially withhold federal broadband funding. Opponents contend that the administration has failed to deliver any cohesive national plan to replace the state laws it seeks to block.

“This unconstitutional directive is nothing more than a brazen effort to dismantle safeguards and give tech billionaires unchecked power over working people’s jobs, rights and freedoms,” said AFL-CIO president, Liz Shuler.

Nationwide Backlash Intensifies Across the Spectrum

Within hours the order was signed, opposition loudened among elected officials, union heads, child welfare organizations and rights groups that condemned the policy. Other California Democratic leaders argued the executive order was an assault on state rights.

“No place in America understands the potential of artificial intelligence technologies better than California,” said Alex Padilla. “However, this new policy, the administration is attacking state leadership and fundamental protections in one fell swoop.”

In a similar vein, Adam Schiff stressed: “Trump is attempting to override local regulations that are establishing meaningful safeguards around AI and substituting them with … a void.”

Lawmakers from multiple states also expressed concern over the order. One congressmember called it a “disastrous policy” that would “create a lawless Wild West environment for AI companies”. Another state legislator called the order a “massive windfall” for AI firms, stating that “a handful of AI oligarchs bribed Donald Trump into compromising America’s future”.

Remarkably, even Steve Bannon found fault with the policy, saying in a message that the President's adviser had “completely misled the President on preemption”. The head of an investment firm similarly said that “the answer does not lie in overriding local regulations”.

Protecting Children Become a Focal Point

Blowback against the order has also included groups focused on kids' safety that have repeatedly warned over the impacts of AI on children. This discussion has grown more urgent following legal actions against AI companies related to harm to children.

“The AI industry’s relentless race for user attention has already led to loss of life, and, in enacting this policy, the White House has signaled it is content to let it grow,” argued the head of a child advocacy group. “Americans deserve better than tech industry handouts at the expense of their wellbeing.”

A group of grieving families and safety groups have also spoken out the order. They have been working to pass legislation to better protect children from harmful social media and AI chatbots and released a national public service announcement condemning the AI preemption policy.

“Families will not stand idly by and allow our kids to remain lab rats in big tech’s deadly AI experiment that puts profits over the safety of our kids,” declared one coalition CEO. “It is essential to have strong protections at the national and local level, not immunity for wealthy executives.”
Richard Nelson
Richard Nelson

A seasoned journalist and analyst specializing in international relations and global policy, with over a decade of experience.