States take the lead in AI regulation as federal government steers clear

US state legislatures are where the action is for placing guardrails around artificial intelligence technologies, given the lack of meaningful federal regulation. The resounding defeat in Congress of a proposed moratorium on state-level AI regulation means states are free to continue filling the gap.

Several states have already enacted legislation around the use of AI. All 50 states have introduced various AI-related legislation in 2025.

Four aspects of AI in particular stand out from a regulatory perspective: government use of AI, AI in health care, facial recognition, and generative AI.

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