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AI industry-backed group plans multimillion push for US regulation

• ByStartupStory     |    October 30, 2025

AI Industry-Backed Group Launches Multimillion-Dollar Campaign to Shape US AI Regulation

As artificial intelligence becomes increasingly integral to technological innovation and economic growth, a new AI industry-backed advocacy group has emerged, preparing to launch a multimillion-dollar campaign to influence the future of AI regulation in the United States. The group, named Build American AI, reflects growing efforts within the AI sector to ensure regulatory frameworks promote innovation at a national level while avoiding a patchwork of divergent state laws.

The Rise of Build American AI

Build American AI is a nonprofit policy group spun out of the pro-AI super PAC Leading the Future, which plans to invest tens of millions of dollars in political races during the 2026 midterms. Unlike Leading the Future, which focuses on directly supporting political candidates, Build American AI will deploy an eight-figure advertising campaign aimed at shaping legislative debates in Congress and state governments.

The group is classified as a “dark money” organization, meaning it is not required to disclose its donors. This status allows for considerable funding inflows from the industry while maintaining donor confidentiality. This recent move signals a step up in the AI industry’s political and advocacy engagement, leveraging deep financial resources to assert influence over the policy environment governing emerging AI technologies.

Advocating for Federal Uniformity in AI Regulation

Central to Build American AI’s mission is advocating for uniform, federal-level AI regulation rather than allowing individual states to set their own disparate frameworks. Many in the industry, including this group, view the prospect of varied state regulations as a potential drag on innovation and commercialization. States such as California have already enacted several AI laws, and over 30 states have introduced or passed AI-related legislation addressing issues like biometric data usage, transparency for AI-generated content, and algorithmic accountability.

Industry leaders warn that a patchwork approach could result in costly compliance challenges and inconsistencies that undermine both technological progress and investment attraction. Build American AI and similar voices argue that federal regulation is the most effective way to build predictable standards, foster innovation, and secure America’s position as a global leader in AI development.

Alignment with Federal Government AI Policy

Build American AI’s agenda closely mirrors policy directions taken by the current US federal administration under President Donald Trump, who, since taking office in 2025, has rolled back several regulatory initiatives from the prior administration viewed as overly restrictive or bureaucratic.

In January 2025, the Trump administration issued an executive order “Removing Barriers to American Leadership in Artificial Intelligence,” emphasizing deregulation and a free-market-driven approach. The administration subsequently unveiled “America’s AI Action Plan,” outlining more than 90 proposed federal actions designed to accelerate AI innovation, build domestic AI infrastructure, and lead globally in AI diplomacy and security.

The plan encourages federal agencies to revise or rescind regulations seen as impeding innovation and even signals withholding federal AI-related funding from states with “burdensome” AI laws. This stance reflects a clear preference for federal preemption over state-level policymaking, aligning with the advocacy goals of Build American AI.

Political and Legislative Context

The political landscape around AI regulation is complex and increasingly polarized. Several states have forged ahead with their own AI rules, while federal legislation is still evolving. For example, California’s AI-related bills cover AI testing, impact assessments, and requirements for insurer disclosures when AI is used in healthcare claim determinations. Meanwhile, other states like Colorado, New York, Texas, and Utah have passed laws addressing AI governance, data privacy, and transparency.

On the federal level, bipartisan efforts have produced targeted legislation such as the “TAKE IT DOWN Act,” which aims to address nonconsensual distribution of AI-generated synthetic intimate imagery, and the “CREATE AI Act,” which codifies access to AI research resources. However, comprehensive AI regulatory frameworks remain under debate, with many lawmakers cautious about imposing strict mandates potentially stifling innovation.

Congress also deposed a proposal to ban state AI laws for 10 years, defeated in September 2025 by a 99-1 Senate vote, illustrating the contentious balance between federal authority and states’ rights. Build American AI’s efforts seek to continue tipping this balance toward centralized federal oversight favorable to industry growth.

The Implications of a Multimillion-Dollar Advocacy Push

With plans to spend eight figures on advertising between late 2025 and early 2026, Build American AI aims to capture public and legislative attention through issue-focused campaigns. Their messaging will emphasize the benefits of a harmonized, innovation-friendly regulatory environment, cautioning against fragmented state rules that could complicate development cycles and slow deployment of AI solutions.

This financial backing marks one of the largest coordinated AI advocacy efforts to date, reflecting the sector’s growing economic stakes. The potential influence extends beyond regulatory text to shaping public opinion on AI’s risks and rewards, as well as the direction of US technological leadership.

Industry Concerns Over Over-Regulation

AI industry leaders have voiced growing concern that aggressive regulation at the state level could hamper startups and established companies alike. Regulatory complexity raises compliance costs, deters investment, and increases uncertainty, particularly for AI firms competing globally.

By advocating for federal harmonization, Build American AI seeks to provide clear guardrails within which innovation can flourish. The group aligns with arguments that AI’s transformative potential requires balanced policies that address ethical and safety concerns without undermining economic competitiveness.

The Broader Regulatory Landscape

While US policymakers weigh a relatively deregulatory stance, other regions, notably the European Union, have embraced more stringent AI laws emphasizing consumer rights, transparency, and risk mitigation, exemplified by the EU AI Act. U.S. companies operating internationally often face these differing standards, leading to complex compliance challenges.

This contrast fuels the geopolitical dimension of AI regulation, linking regulatory approaches to broader questions of technological dominance and strategic competition between the US, EU, and China. Build American AI’s push, therefore, also plays into broader national strategic goals aimed at securing technological leadership.

Future Outlook for AI Regulation in the United States

The next 12 to 18 months will be critical for AI policy in the United States. As Build American AI deploys its advertising campaign and political engagement, Congress is expected to consider various AI-related legislative proposals ranging from privacy protections to algorithmic transparency and fairness frameworks.

The Trump administration’s AI Action Plan emphasizes a “try-first” culture, seeking to foster a regulatory environment where innovation leads and safeguards evolve dynamically from practical experience. This approach contrasts with more precautionary models abroad and will shape American AI industry’s competitive positioning.

Conclusion

The formation of Build American AI and its multimillion-dollar campaign signifies a new phase in the AI regulation debate in the US—one driven by powerful industry interests mobilizing for federal regulatory uniformity. As states experiment with varied AI laws, the industry’s collective voice pushes for clarity, consistency, and reduced regulatory burden at the federal level.

Given AI’s rising importance to economic growth, national security, and global technological leadership, these developments represent critical moments not only for policymakers but also for startups, enterprises, and consumers poised to navigate the evolving AI landscape.

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