On July 23, the White House released its AI Action Plan, outlining the key priorities of the Trump Administration’s AI policy agenda. In parallel, President Trump signed three AI executive orders directing the Executive Branch to implement the AI Action Plan’s policies on “Preventing Woke AI in the Federal Government,” “Accelerating Federal Permitting of Data Center Infrastructure,” and “Promoting the Export of the American AI Technology Stack.” In a speech announcing these developments, President Trump stated that the Administration’s AI policies will “lead[] the world into the golden age of America” that will be “built by American workers,” “powered by American energy,” “run on American technology,” and “improved by American artificial intelligence.”
I. AI Action Plan
The 28-page plan, titled “Winning the Race: America’s AI Action Plan,” follows months of stakeholder and agency consultation and over 10,000 public comments in response to the White House’s February 6 Request for Information. The AI Action Plan fulfills the core requirement of President Trump’s January 23 Executive Order 14179 on “Removing Barriers to American Leadership in Artificial Intelligence,” which directed the Assistant to the President for Science & Technology, White House AI & Crypto Czar, and National Security Advisor to develop and submit an action plan for achieving the Executive Order’s policy of sustaining and enhancing America’s global AI dominance.
Stating that winning the AI race will usher in an “industrial revolution, an information revolution, and a renaissance – all at once,” the AI Action Plan declares that the United States must rapidly innovate in AI across every field, remove unnecessary regulatory barriers, build AI infrastructure and energy capacity, establish American AI as the global “gold standard,” and ensure that U.S. allies rely on U.S. technology. The AI Action Plan also describes guiding principles that inform its recommendations: (1) creating opportunities for American workers, (2) ensuring that AI systems are “trustworthy,” “free from ideological bias,” and “designed to pursue objective truth rather than social engineering agendas,” and (3) preventing U.S. technology from misuse or theft from malicious actors and monitoring emerging AI risks.
To advance these goals, the AI Action Plan recommends 103 specific AI policy actions for “near-term execution by the Federal government,” organized under the three pillars of (1) accelerating AI innovation, (2) building American AI infrastructure, and (3) leading in international AI diplomacy and security.
State and Federal AI Regulations. Echoing the concerns behind the proposed state AI enforcement moratorium that failed to pass the Senate earlier this month, the AI Action Plan finds that “AI is far too important to smother in bureaucracy at this early stage, whether at the state or Federal level,” and calls for:
- The Office of Management and Budget (“OMB”) to ensure that federal agencies with AI-related discretionary funding programs consider a state’s AI regulations when making funding decisions, and to limit federal funding for states with AI regulatory regimes that may hinder the effectiveness of the funds;
- The Federal Communications Commission (“FCC”) to identify state AI regulations that interfere with the FCC’s mandate under the Communications Act;
- The Office of Science and Technology Policy (“OSTP”) to issue a request for information to identify current federal regulations that hinder AI innovation and adoption; and
- The Federal Trade Commission (“FTC”) to review its investigations commenced under the Biden Administration to ensure they do not advance “theories of liability that unduly burden AI innovation,” and (2) all FTC final orders, consent decrees, and injunctions in order to modify or set-aside those that “unduly burden AI innovation.”
“Woke AI” Revisions to the NIST AI Risk Management Framework. The AI Action Plan states that AI systems must be “built from the ground up with freedom of speech and expression in mind,” and that AI procured by the federal government must “objectively reflect[] truth rather than social engineering agendas.” To these ends, the AI Action Plan calls on the National Institute of Standards and Technology (“NIST”) to revise the NIST AI Risk Management Framework to “eliminate references to misinformation, Diversity, Equity, and Inclusion, and climate change,” and recommends that the Center for AI Standards and Innovation (“CAISI”), formerly known as the U.S. AI Safety Institute, conduct research and publish evaluations of whether Chinese frontier model outputs reflect Chinese Communist Party talking points and censorship.
In contrast, the now-withdrawn 2022 Blueprint for an AI Bill of Rights, published by OSTP during the Biden Administration, had emphasized the importance of algorithmic discrimination protections to ensure equitable AI systems, including representative datasets and bias impact assessments. The AI Action Plan eliminates DEI considerations from federal AI frameworks and mandates that AI systems pursue “objective truth” and “be free from ideological bias.”
Regulatory Sandboxes and Standards for AI Adoption. Noting that the “bottleneck to harnessing AI’s full potential” comes from the slow adoption of AI in critical sectors like healthcare, the AI Action Plan calls for:
- The Food and Drug Administration (“FDA”), the Securities and Exchange Commission (“SEC”), and other regulatory agencies to establish regulatory sandboxes or AI Centers of Excellence to support rapid AI deployment and testing;
- The Department of Defense (“DOD”) to conduct comparative assessments of AI tool adoption in the United States and other countries; and
- NIST to launch public-private efforts in healthcare, energy, agriculture, and other areas to accelerate the development and adoption of AI national standards.
Government AI Procurement. The AI Action Plan notes that “transformative use of AI can help deliver the highly responsive government the American people expect and deserve,” and calls on the federal government to build on the OMB’s April memoranda on the federal use and acquisition of AI by:
- Updating federal procurement guidelines to ensure that the government only contracts with frontier large language model (“LLM”) developers who “ensure that their systems are objective and free from top-down ideological bias”;
- Formalizing the role of the Chief AI Officer Council as the primary entity for interagency coordination and collaboration on AI adoption;
- Creating an “AI procurement toolbox” under the General Services Administration (“GSA”) to facilitate uniformity in federal adoption of AI models, and to allow federal agencies to choose between models while complying with privacy, data governance, and transparency laws; and
- Convening “agencies with High Impact Service Providers” to pilot uses of AI for improving the delivery of public services, under the auspices of OMB.
Department of Defense AI Adoption. Stating that the United States “must aggressively adopt AI within its Armed Forces if it is to maintain its global military preeminence” while ensuring that its “use of AI is secure and reliable,” the AI Action Plan contains several recommendations to drive adoption of AI within DOD that specifically address DOD’s “unique operational needs,” including:
- Identifying AI-related DOD workforce skills and implementing talent development programs that meet AI workforce requirements;
- Establishing a DOD AI & Autonomous Systems Virtual Proving Ground;
- Developing a streamlined process for optimizing DOD workflows and a list of priority workflows for automation with AI;
- Prioritizing DOD agreements with cloud service providers, computing infrastructure operators, and other private entities to codify priority access to computing resources in the event of a national emergency; and
- Growing U.S. Senior Military Colleges into hubs of AI research, development, and talent building, and fostering AI-specific curriculum in the Senior Military Colleges majors.
AI-Related Manufacturing. The AI Action Plan states that AI and related technologies, including “autonomous drones, self-driving cars, robotics, and other inventions,” have novel manufacturing and logistics applications, and that the United States and its allies must be “world-class manufacturers of these next-generation technologies.” To these ends, the AI Action Plan calls for:
- Federal investments in foundational and translational manufacturing technologies through various funding authorities, including CHIPS R&D programs, Title III of the Defense Production Act, and Other Transaction Authority;
- The Department of Commerce to convene industry and government stakeholders to identify supply chain challenges relevant to U.S. robotics and drone manufacturing;
- The Department of Commerce and its CHIPS Program Office to continue to deliver returns on investment for the American taxpayer, remove extraneous policy requirements for CHIPS-funded semiconductor manufacturing projects, streamline regulations that slow semiconductor manufacturing, and review semiconductor grant and research programs to ensure that they accelerate the adoption of AI.
AI Infrastructure Permitting and Development. To support the development of new AI infrastructure, including “factories to produce chips, data centers to run those chips, and new sources of energy to power it all,” the AI Action Plan recommends various steps to accelerate AI infrastructure permitting and development, including:
- Establishing new categorical exclusions for data centers under the National Environmental Policy Act (“NEPA”);
- Expanding the use of Title 41 of the Fixing America’s Surface Transportation Act (“FAST-41”) to cover data center and data center energy projects;
- Considering a nationwide Clean Water Act Section 404 permit for data centers that would waive pre-construction notification requirements;
- Expediting environmental permitting under the Clean Air Act, Clean Water Act, and other laws;
- Making federal lands available for data center and power generation infrastructure construction; and
- Ensuring that the “domestic AI computing stack” is built on American products and that AI infrastructure is free of foreign adversary technologies and services.
Electric Grid Improvements. The AI Action Plan finds that “[e]scalating demand driven by electrification and the technological advancements of AI are increasing pressures on the grid,” and calls for a comprehensive strategy to enhance and expand the U.S. electric grid while preserving existing capacity. Specifically, the AI Action Plan recommends:
- Stabilizing the current grid by preventing the premature decommissioning of power generation resources, exploring new ways to harness existing energy capacity, and optimizing existing grid resources by enhancing transmission system efficiency and performance;
- Prioritizing grid interconnections between “reliable, dispatchable power sources”;
- Embracing new energy generation sources “at the technological frontier,” including enhanced geothermal, nuclear fission, and nuclear fusion energy;
- Reforming power markets to provide financial incentives for grid stability; and
- Creating a strategic blueprint on the 21st century energy landscape.
AI Cybersecurity and Secure-By-Design AI. The AI Action Plan states promoting resilient and secure AI development and deployment is a “core activity of the U.S. government,” and calls for all AI used in safety-critical or homeland security applications to be “secure-by-design, robust, and resilient,” able to detect performance shifts, and alert to malicious activities, such as data poisoning or adversarial example attacks. To achieve these goals, the AI Action Plan calls for:
- Establishing an AI Information Sharing and Analysis Center (AI-ISAC) to promote AI-security threat information and intelligence sharing across critical infrastructure sectors;
- Issuing private sector guidance on responding to AI-specific vulnerabilities and threats;
- Ensuring that known AI vulnerabilities are shared by Federal agencies to the private sector as appropriate, using existing cyber vulnerability sharing mechanisms;
- The DOD to refine its Responsible AI and Generative AI Frameworks, Roadmaps, and Toolkits; and
- The Director of National Intelligence to publish an Intelligence Community Standard on AI Assurance under Intelligence Community Directive 505 on AI governance and management.
U.S. AI Exports and Export Controls. The AI Action Plan calls on the United States to “drive adoption of American AI systems, computing hardware, and standards throughout the world” by leveraging its advantages in “data center construction, computing hardware performance, and models,” while also preventing adversaries from “free-riding” on U.S. innovation and investment. To achieve this goal, the AI Action Plan calls for:
- The United States to meet global AI demand by exporting its “full AI technology stack,” including hardware, models, software, applications, and standards, to all partner countries by selecting industry proposals for “full-stack AI export packages” and facilitating deals to export the AI technology stack;
- The Departments of State and Commerce to advocate for international AI governance approaches that “promote innovation, reflect American values, and counter authoritarian influence” in international and standard-setting bodies”;
- Federal agencies to consider location verification techniques to track advanced AI chips and ensure that they are not in countries of concern;
- A new “global chip export control enforcement” effort under the Department of Commerce to monitor chip diversion and increase monitoring in countries where AI chip diversion is likely;
- The Department of Commerce to develop new export controls on “semiconductor manufacturing sub-systems” to address gaps in semiconductor manufacturing export controls;
- A technology diplomacy strategic plan to “induce” key U.S. allies to adopt similar AI protection systems and export controls across the supply chain; and
- CAISI to evaluate frontier AI systems for national security risks in collaboration with AI developers, evaluate security vulnerabilities and malign foreign influence arising from the use of adversaries’ AI systems in critical infrastructure, and develop national security-related AI evaluations.
II. AI Executive Orders
The AI Action Plan coincides with President Trump’s signing of three AI executive orders on July 23. The Executive Order on “Preventing Woke AI in the Federal Government” (“Woke AI EO”), Executive Order on “Accelerating Federal Permitting of Data Center Infrastructure” (“Data Center EO”), and Executive Order on “Promoting the Export of the American AI Technology Stack” (“AI Export EO) collectively implement a wide range of the AI Action Plan’s key priorities.
A. Preventing “Woke AI” in the Federal Government
The “Woke AI” EO declares that the federal government “has the obligation not to procure models that sacrifice truthfulness and accuracy to ideological agendas” when procuring AI. Thus, the “Woke AI” EO requires federal agencies to only procure LLMs that are developed in accordance with two “Unbiased AI Principles”:
- (1) “Truth-seeking,” such that LLMs respond truthfully, prioritize historical accuracy, scientific inquiry, and objectivity, and acknowledge uncertainty; and
- (2) “Ideological Neutrality,” such that LLMs are neutral, nonpartisan tools that do not “manipulate responses in favor of ideological dogmas such as [diversity, equity, and inclusion]” and do not generate outputs intentionally encoded with “partisan or ideological judgments” unless prompted by the end-user.
The “Woke AI” EO directs the OMB to issue guidance to federal agencies on the implementation of the Unbiased AI Principles, including appropriate exceptions for the use of LLMs in national security systems, within 120 days, i.e., by November 20, 2025. Upon the issuance of the OMB guidance, federal agencies must include, in any new or existing federal contract for an LLM, terms that require the procured LLM to comply with the Unbiased AI Principles and impose “decommissioning costs” on the LLM vendor in the event of noncompliance;
B. Accelerating Federal Permitting of Data Center Infrastructure
The Data Center EO takes a number of steps to accelerate the development of “qualifying projects,” i.e.,data centers requiring more than 100 megawatts for AI inference, training, simulation, or synthetic data generation, and data center components, including energy infrastructure, dispatchable baseload energy sources, semiconductors and semiconductor materials, networking equipment, and data storage. Additionally, the Data Center EO officially revokes the Biden Administration’s January 14, 2025 Executive Order on “Advancing United States Leadership in Artificial Intelligence Infrastructure,” while retaining a similar emphasis on expediting permits and leasing federal lands for AI infrastructure development.
Financial Incentives for AI Infrastructure. To facilitate the development of AI infrastructure, the Data Center EO requires the Department of Commerce to launch an initiative to provide financial support, including loans and loan guarantees, grants, tax incentives, and offtake agreements, for qualifying projects.
Streamlined Permitting and Regulatory Reviews. The Data Center EO also takes steps to expedite the permitting process for qualifying projects and reduce regulatory burdens, including by requiring:
- Federal agencies to identify NEPA categorial exclusions that could facilitate qualifying project construction within 10 days, i.e.,by August 2, 2025;
- The Council on Environmental Quality to establish new NEPA categorical exclusions to cover qualifying projects;
- The Environmental Protection Agency to expedite permitting on federal and non-federal lands by developing or modifying regulations under the Clean Air Act, Clean Water Act, Comprehensive Environmental Response, Compensation, and Liability Act, Toxic Substances Control Act, and other laws that impact qualifying projects;
- The Departments of Interior and Energy to ensure timely and efficient completion of consultations under the Endangered Species Act by conducting consultations with respect to qualifying projects “at a programmatic level”; and
- The Army to review nationwide permits under the Clean Water Act and Rivers and Harbors Appropriation Act to determine if an activity-specific nationwide permit is needed to facilitate efficient permitting of qualifying projects;
Federal Sites for AI Infrastructure. Finally, the Data Center EO requires federal agencies to take various actions to facilitate the construction of AI data center infrastructure and components on federal lands. Specifically, the Data Center EO directs:
- The Environmental Protection Agency to “expeditiously identify Brownfield Sites and Superfund Sites” for use by qualifying projects, including by developing guidance to expedite environmental reviews within 180 days, i.e., by January 19, 2026;
- The Departments of Interior and Energy to offer authorizations for federal sites identified for qualifying projects; and
- The DOD to identify suitable sites on U.S. military installations for data center components, and to competitively lease available federal lands for qualifying projects to support DOD energy, workforce, and mission needs.
C. Promoting the Export of the American AI Technology Stack
The AI Export EO declares the United States’ policy of “preserv[ing] and extend[ing] American leadership in AI” and decreasing global dependence on adversaries’ AI technologies through the global export of “full-stack American AI technology packages,” i.e., AI hardware and networking, data pipelines and labeling systems, AI models and systems, security and cybersecurity measures, and use case-specific AI applications.
American AI Exports Program. The AI Export EO requires the Department of Commerce to establish an “American AI Exports Program” for soliciting public proposals for full-stack American AI technology packages from an “industry-led consortia.” Such proposals must identify each component of the package and the target countries or regional blocs for export, and must comply with relevant U.S. export controls, outbound investment regulations, and end-user policies. The AI Export EO further instructs the Department of Commerce to select proposals for inclusion in the American AI Exports Program, which will be designated as “priority AI export packages” and given priority access to the federal financing tools discussed below.
Federal Financing Tools for Priority AI Export Packages. The AI Export EO directs the Economic Diplomacy Action Group to “coordinate mobilization of Federal financing tools in support of priority AI export packages,” including direct loans and loan guarantees under 12 U.S.C. 635; equity investments, co-financing, political risk insurance, and credit guarantees under 22 U.S.C. 9621; and technical assistance and feasibility studies under 22 U.S.C. 2421(b).
AI Export Initiatives by the Department of State. The AI Export EO places various responsibilities related to AI exports on the Secretary of State, who is required to develop a national strategy to promote American AI technology exports and standards, coordinate U.S. participation in multilateral AI initiatives, foster “pro‑innovation regulatory, data, and infrastructure environments conducive to the deployment of American AI systems” in partner countries, analyze technical and regulatory barriers that may impede U.S. AI competitiveness, and facilitating investments in U.S. small businesses for the development of American AI technologies, infrastructure, hardware, and systems.
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