The White House has put on hold a draft executive order that would have granted the federal government sweeping authority to override state artificial-intelligence regulations.

The proposed order directed the Department of Justice to form an AI Litigation Task Force empowered to challenge state laws in court, while allowing federal agencies to review and potentially nullify state-level rules viewed as restrictive.

It also tied compliance to federal broadband funding, positioning Washington as the central arbiter of AI governance across the country.

The move comes after weeks of intensifying resistance from state governments, bipartisan lawmakers and civil-society groups.

Many warned the proposal risked weakening state sovereignty and undermining local protections against AI-related harms, while raising constitutional concerns about federal pre-emption.

Earlier attempts to insert similar provisions into major congressional legislation had already faltered amid political pushback.

Rather than escalate the fight, the administration is redirecting its energy toward The Genesis Mission, a national initiative built around strengthening America’s AI capabilities through high-performance computing, data infrastructure and coordinated federal research.

Officials argue this shift allows the federal government to lead on innovation without immediately confronting states over regulatory authority.

With the order paused, states retain the ability to implement their own AI laws while the White House reassesses its long-term approach.

The decision marks a notable recalibration in federal strategy, balancing the desire for national cohesion around AI with the political realities of state-federal tensions.