Trump postpones AI executive order, cites need to compete with China

U.S. President Donald Trump on Thursday announced he had postponed signing an executive order on artificial intelligence (AI), citing objections to certain aspects of the order and a desire not to undermine the country’s competitive position against China in AI development.

Trump had originally planned to sign the order at a ceremony on Thursday afternoon, which was expected to be attended by CEOs of major AI companies.

According to the U.S. news website Semafor, the administration’s plans were delayed following lobbying from xAI founder Elon Musk, Meta CEO Mark Zuckerberg, and former Trump AI adviser David Sacks.

“I think it gets in the way of, you know, we’re leading China, we’re leading everybody, and I don’t want to do anything that’s going to get in the way of that lead,” Trump told reporters in the Oval Office.

xAI, Meta, and Craft Ventures, Sacks’ venture capital firm, did not immediately respond to Reuters’ requests for comment outside regular business hours.

The executive order was intended to create a voluntary framework for AI developers to coordinate with the U.S. government before publicly releasing advanced AI models, according to sources familiar with the plan.

Trump did not specify which parts of the order he opposed. Tech industry advocates have expressed concerns that the order could slow the rollout of new AI models or require companies to adjust how these models operate, potentially affecting profits.

The president had also planned to direct the U.S. government to use advanced AI models to strengthen cybersecurity for government systems, as well as for critical sectors such as banks and hospitals.

Concerns are rising across the government and private sector over cybersecurity risks posed by powerful AI systems, including Anthropic’s Mythos. While Anthropic has warned that Mythos could enhance complex cyberattacks, cybersecurity experts say fears of unrestricted hacking may be overstated.

Since returning to office, Trump has generally taken a softer approach toward Big Tech than his predecessor, President Joe Biden, even as AI plays an increasingly influential role in U.S. equity markets. However, some prominent Trump supporters are calling for stricter oversight of the technology.

-Reporting by Courtney Rozen and Jacob Bogage in Washington, Jody Godoy and Karen Freifeld in New York; Additional reporting by Ananya Palyekar; Writing by David Ljunggren; Editing by Deepa Babington, Edmund Klamann, and Jamie Freed/Reuters