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JD Vance offers jolting preview of U.S. AI policy
Samuel O'Brient
4 min read
A few months into Donald Trump’s presidency, the U.S. still doesn’t have a clear picture of what artificial intelligence (AI) policy for the next four years will look like.
It is a pivotal time for the sector, as many tech companies unveil new products and roll out new versions of their AI models. But with Trump’s tariffs causing high economic uncertainty, many top tech stocks are struggling, leaving many investors unsure of how to play this complicated financial landscape.
Through it all, several of the industry’s most prominent tech companies have tried to influence Trump’s AI policy. OpenAI and Google (GOOGL) recently sent letters encouraging the administration to roll back regulations on the sector.
Vice President JD Vance has stated that he supports easing regulations on tech companies. He recently offered more insight as to where he stands and what investors can expect regarding Trump’s AI policy.
JD Vance discusses AI at length at VC event
A former Silicon Valley insider before venturing into politics, Vance earned quick acclaim from tech leaders before Trump’s victory. He’s continued to ride this wave through his time in the White House, taking multiple opportunities to discuss AI and offer his take on how it should be regulated.
In February 2024, Vance spoke at the Paris AI Action Summit, making the case for easing AI regulation, stating that the U.S. believes “that excessive regulation of the AI sector could kill a transformative industry just as it’s taking off,” but refusing to sign the summit’s declaration on AI safety and transparency.
On Tuesday, March 18, Vance appeared at the Andreessen Horowitz American Dynamism Summit in Washington D.C. and once again spoke about AI policy. He made it clear that his stance on the technology has not changed at all since Paris, examining AI through a free market lens.
“In America, we’ve got to be tech-forward,” he stated. “Yes, there are concerns. Yes there are risks, but we have to be leaning into the AI future with optimism and hope, because I think real technological innovation is going to make our country stronger.”
Vance added that the U.S. government has been failing both “populists and tech optimists” for as long as 40 years, although he did not acknowledge that technology looked significantly different four decades ago.
The central theme of his address seemed to be that a lack of regulation will move the tech sector forward. But some experts have expressed doubts that this approach is the best tactic for spurring economic growth through AI.
"While Vance argues that reducing AI regulation will spur growth, history has shown that deregulation without safeguards often prioritizes profit over people, leading to systemic harm,” states Elika Dadsetan-Foley, CEO of VISIONS, Inc.
“AI has the potential to enhance industries, but without clear ethical guidelines, accountability measures, and intentionally-driven oversight, it is more likely to exacerbate job displacement, reinforce bias, and widen economic divides.”
HP Newquist , Executive director of The Relayer Group, accuses Vance of simply parroting the arguments made by noted venture capitalist Marc Andreesen regarding a no-holds barred AI landscape with guardrails only applied afterward on a case-by-case basis.
“Unfortunately, this is being disingenuous and very dangerous," he notes. “Restrictions need to be built in now, because trying to add regulations and controls later is a case of closing the barn doors after the horses have been set free.”
Trump and Vance’s AI plans may make the job market more complicated
Vance also discussed the Trump administration’s plans for further tariffs, stating that they are “dead serious about rearranging our trade and tariff regime internationally.” He reiterated the Trump talking point that they want to see companies building in the U.S. describing cheap labor as a crutch.
Despite acknowledging that AI may displace some of America’s workers, he attempted to justify it by claiming that further tech innovation will help create more jobs. However, Dadsetan-Foley also sees some problems with this argument. As she states:
“Vance’s claim that "cheap labor is a crutch" ignores the reality that many of the workers most at risk from AI-driven automation, which may particularly include low-wage, immigrant, and service-sector employees, have also historically been denied access to the very innovation he champions.”
While easing AI restrictions may help tech companies expand, that doesn’t mean that they will hire American workers. Many tech leaders have lamented the lack of engineering talent in the U.S. Dev Nag, CEO of QueryPal, sees some potential problems ahead if these plans proceed.
“The Vice President's stance on domestic investment might overlook how thoroughly America's AI leadership depends on global talent flows,” he notes. “Any policy framework that disrupts these talent flows by conflating high-skill immigration with labor market competition risks undermining the very innovation ecosystem it aims to protect.”
