{"id":148347,"date":"2025-09-11T06:39:10","date_gmt":"2025-09-11T06:39:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/148347\/"},"modified":"2025-09-11T06:39:10","modified_gmt":"2025-09-11T06:39:10","slug":"ted-cruzs-new-bill-would-let-ai-companies-set-their-own-rules-for-up-to-10-years","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/148347\/","title":{"rendered":"Ted Cruz\u2019s new bill would let AI companies set their own rules for up to 10 years"},"content":{"rendered":"<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">On Wednesday, Sen. Ted Cruz <a href=\"https:\/\/www.commerce.senate.gov\/2025\/9\/sen-cruz-unveils-ai-policy-framework-to-strengthen-american-ai-leadership\" rel=\"nofollow noopener\" target=\"_blank\">introduced legislation<\/a> to create a regulation \u201csandbox\u201d that would allow artificial intelligence companies to experiment with minimal federal oversight.<\/p>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">The SANDBOX Act, if passed by Congress, would allow companies to apply for modifications to or waivers from any \u201cobstructive regulations\u201d to the testing and deployment of products or services that use or contain \u201cin whole or in part\u201d at least one AI system. In return, companies would be required to disclose plans to mitigate consumer safety and financial risks.<\/p>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">The waivers would last for two years at a time, up to 10 years, harkening back to the <a href=\"https:\/\/www.theverge.com\/ai-artificial-intelligence\/684924\/congress-big-beautiful-bill-state-ai-law-ban-pushback\" rel=\"nofollow noopener\" target=\"_blank\">failed moratorium<\/a> that sought to pause all state-level AI regulation for a decade. That bill was <a href=\"https:\/\/www.theverge.com\/politics\/704424\/ai-moratorium-ted-cruz-steve-bannon-trump\" rel=\"nofollow noopener\" target=\"_blank\">defeated<\/a> in the Senate in July.<\/p>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">The power to grant those exceptions would rest with the federal agency whose regulations would otherwise be in effect, such as the Federal Trade Commission, which enforces <a href=\"https:\/\/www.ftc.gov\/legal-library\/browse\/rules\/childrens-online-privacy-protection-rule-coppa\" rel=\"nofollow noopener\" target=\"_blank\">current<\/a> online privacy protections for children. Waivers would be automatically granted if the agency does not respond within 90 days. If rejected, the company would be able to appeal to the White House Office of Science and Technology Policy (OSTP), which would oversee the sandbox program and have the authority to override the denial. Every year, Congress would receive a report on the number of times federal rules were waived or modified.<\/p>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">Technology accountability group The Tech Oversight Project <a href=\"https:\/\/techoversight.org\/2025\/09\/10\/sandbox-ai-giveaway\/\" rel=\"nofollow noopener\" target=\"_blank\">calls<\/a> the bill a \u201csweetheart deal for Big Tech CEOs\u201d that potentially gives companies that donate to Donald Trump a different set of rules than smaller startups. Consumer advocacy organization Public Citizen <a href=\"https:\/\/www.citizen.org\/news\/sandbox-act-puts-public-safety-on-the-chopping-block-in-favor-of-corporate-immunity\/\" rel=\"nofollow noopener\" target=\"_blank\">warns<\/a> that the bill would allow Silicon Valley to apply the \u201cmove fast and break things\u201d attitude to laws and regulations. Both groups raise concerns about the bill giving the OSTP the power to overrule federal agencies, many of which have already been hobbled by the <a href=\"https:\/\/www.theverge.com\/politics\/608528\/elon-musk-doge-government-takeover-what-to-know\" rel=\"nofollow noopener\" target=\"_blank\">now-dismantled DOGE<\/a>.<\/p>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">President Trump\u2019s <a href=\"https:\/\/www.theverge.com\/policy\/713788\/trump-ai-action-plan-explainer\" rel=\"nofollow noopener\" target=\"_blank\">AI Action Plan<\/a>, announced in July, endorsed the creation of regulatory sandboxes for AI companies. Trump\u2019s plan also includes a <a href=\"https:\/\/www.theverge.com\/ai-artificial-intelligence\/712537\/trump-ai-action-plan-white-house-ai-law-moratorium\" rel=\"nofollow noopener\" target=\"_blank\">back door to the moratorium<\/a> by rescinding funding to states that do regulate AI.<\/p>\n<p class=\"duet--article--dangerously-set-cms-markup duet--article--standard-paragraph _1ymtmqpi _17nnmdy1 _17nnmdy0 _1xwtict1\">Cruz\u2019s own state of Texas passed an AI <a href=\"https:\/\/legiscan.com\/TX\/bill\/HB149\/2025\" rel=\"nofollow noopener\" target=\"_blank\">law<\/a> in June that creates a similar regulation \u201csandbox\u201d but limits it to 36 months.<\/p>\n","protected":false},"excerpt":{"rendered":"On Wednesday, Sen. Ted Cruz introduced legislation to create a regulation \u201csandbox\u201d that would allow artificial intelligence companies&hellip;\n","protected":false},"author":2,"featured_media":148348,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[182,181,507,1343,172,74],"class_list":{"0":"post-148347","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-policy","12":"tag-tech","13":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/148347","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=148347"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/148347\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/148348"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=148347"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=148347"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=148347"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}