Trump Rejects Formal AI Licensing as 75 Data Center Projects Face Backlash
Updated
Updated · Financial Times · Jul 3
Trump Rejects Formal AI Licensing as 75 Data Center Projects Face Backlash
2 articles · Updated · Financial Times · Jul 3
Summary
Sriram Krishnan said Trump will not create an "FDA for AI" or any formal licensing regime, arguing centralized approval would slow model launches and choke US innovation.
That stance comes even after Washington used national-security powers to force Anthropic to pull Mythos and delay OpenAI's 5.6, which Krishnan said happened reluctantly over safety concerns flagged by Amazon.
Krishnan instead backed a light-touch system built around a voluntary industry clearinghouse and a 30-day government review framework, while warning longer official holds would hurt American competitiveness against China.
The deregulatory push faces political resistance: polls show broad support for tougher AI rules, and at least 75 data-center projects worth about $130 billion were disrupted by local opposition in early 2026.
Trump has still tried to answer voter unease by pressing AI companies to share gains more broadly, including discussing equity stakes for the American public with OpenAI chief Sam Altman.