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Advocating For American Dominance in AI

New White House AI & Crypto Czar, David Sacks with President Trump signing

Executive Order on Artificial Intelligence

THE WHITEBOARD

• President Trump Signs Executive Order on AI Policy Plans
• DeepSeek R1: What Impact on US Policy?
• PCAST and Unbiased AI modeling
• House Passes Fix Our Forests Stipulating Use of AI Technology
• Two Congressional Bills We Expect To Be Introduced in the 119th
• Tim Parrish, NAIA Co-Founder and Senior Advisor Fighting for AI
• Member Focus: Gold Member Perpeta, AI Education and Training
• NAIA Nears 200 Members and First Event in February

ADMINISTRATION UPDATE

TRUMP SIGNS AI EXECUTIVE ORDER - 180 DAY REVIEW:

President Trump signed a new Executive Order last Friday called "Removing Barriers to to American Leadership in Artificial Intelligence" (HERE). It states "This order revokes certain existing AI policies and directives that act as barriers to American AI innovation" which rescinds the previous Biden Executive Order 14110 of October 2023. David Sacks, the recently appointed White House Special Advisor on AI & Crypto stated the Biden EO was a "100 page monstrosity of burdensome regulation".

The Trump AI EO also directed for an Artificial Intelligence Action Plan to be delivered within the next 180 days. The effort will be led by Special Advisor David Sacks; Assistant to the President for Science and Technology, Michael Kratsios and National Security Advisor, former Florida Congressman Michael Waltz.

Sacks on the ALL IN podcast commented that the EO's goal is to "to figure out what the industry actually needs to make us number one globally in AI". See below for the Special Advsior's comments on another Executive Order issued covering AI and the impact of DeepSeek.

DEEPSEEK RATTLES THE MARKETS BUT HOW DOES THE US GOVERNMENT REACT:

The opening question on all the business shows this Monday were "Is the release of China's DeepSeek R1 the same as the Sputnik crisis for the United States"? Sputnik brought about a period of fear and anxiety about the US being behind technologically the Soviet Union in satellite development. Is it the same with China as Nvidia lost nearly $600 billion in market cap by the close of Monday's market?

NAIA Leadership and Members are connecting on what they are testing and seeing from the free open source large language model. The release that challenge's OpenAI's ChatCPT and Meta's Llama 3.1, was the number one download from Apple over the weekend. Members commented that from their early testing "it was good but very verbose". Others rejected the claim of $6 million training cost and number of chips utilized. NAIA's team is analyzing and formulating what should this mean for potential US policy changes. Our thoughts:

1. Expect an even larger push for chip export controls and possibly an outright ban of Nvidia's H20 inference ship. Remember Biden's Bureau of Industry and Security issued a draft final rule on January 13, 2025 (HERE) to place restrictions on chip export. Comments still open.
2. President Trump also has the ability to block any download of DeepSeek on a National Security basis. Expect the strong anti-China Caucus in Congress to push for this policy but does this undermine less expensive AI development in the US?
3. As David Sacks posts on X above, expect even less regulatory controls on AI development from the Trump AI Review Group (someone quickly tell Congress with their 120+ bills in the 118th Congress).
4. Money, money, money. There will be an even bigger push for US government funding for AI infrastructure. However, Conservatives will be critical of even more money hitting the deficit after the CHIPs and Science Act that allocated up to $280 billion in funding. Former Congressman Ken Buck stated on Bloomberg, "we can't just throw money at AI issues".
5. Is this China's response to January's restrictive US investment ban on AI in China? The Biden Administration implemented a rule that took effect at the beginning of this year that prohibits investments in or required notification of certain investments in Chinese AI companies to the US government (HERE). Will Congress even tighten further US and non-US investment in China's AI efforts?

We will be watching and keeping the NAIA Community informed on the latest movements in Washington.

Send us your thoughts on the impact of DeepSeek and the US Government response to Ron@thenaia.org and we will share them.

TRUMP ALSO SIGNS EO ON PCAST - UNBIASED AI MODELS

At the same time last week that President Trump was signing his Executive Orders related to Crypto and AI, the third Executive Order he signed was rechartering the formation of the President's Council of Advisors on Science and Technology or PCAST (HERE). AI Czar David Sacks and Assistant to the President for Science and Technology, Michael Kratsios will Co-Chair the Council. Sacks relayed on the ALL In podcast mentioned above that PCAST will "return to truth telling in science and get away from "woke science". "We don't want AI models to be ideologically biased. We have an agenda basically avoiding "woke AI" and we want AI models to be as politically unbiased as possible".

ON THE HILL

BILLS WE ARE WATCHING IN THE 119TH CONGRESS:

H.R.471 - Fix Our Forests Act (PASSED THE HOUSE)

This bill passed the House of Representatives on a vote of 279 to 141 and one of the clauses is to comprehensively assess and predict, using data tools (including artificial intelligence) and other decision support products, fire and smoke in the wildland and built environment interface across jurisdictions. It will now move to the Senate.

Sponsor: Rep. Westerman, Bruce [R-AR-4] (Introduced 01/16/2025)

Committees: House - Natural Resources; Agriculture; Science, Space, and Technology

Two We Expect To See Re-Submitted from the 118th Congress:

H.R.9497 - AI Advancement and Reliability Act of 2024 - 118th Congress

To amend the National Artificial Intelligence Initiative Act of 2020 to establish a center on artificial intelligence to ensure continued United States leadership in research, development, and evaluation of the robustness, resilience, and safety of artificial intelligence systems, and for other purposes.

Sponsor: Rep. Obernolte, Jay [R-CA-23] (Originally Introduced 09/09/2024)

Committees: House - Science, Space, and Technology

S.4178 - Future of Artificial Intelligence Innovation Act of 2024 - 118th Congress

To establish artificial intelligence standards, metrics, and evaluation tools, to support artificial intelligence research, development, and capacity building activities, to promote innovation in the artificial intelligence industry by ensuring companies of all sizes can succeed and thrive, and for other purposes.

Sponsor: Sen. Cantwell, Maria [D-WA] (Originally Introduced 04/18/2024)

Committees: Senate - Commerce, Science, and Transportation

Interested in learning more or submitting your thoughts on the above legislation? Contact NAIA's Congressional Liaison: Caleb Max - Caleb@thenaia.org

NAIA NEWS

NATIONAL LEADERSHIP: CO-FOUNDER AND SENIOR ADVISOR

"Throughout my career, from serving in the U.S. Marine Corps to my work in grassroots politics, I have fought for the freedom and wellbeing of Americans" stated Tim Parrish, a Marine (still a member of the USMC reserves) that has traveled and served around the World and is a top political strategist. "I am excited to ensure that the Artificial Intelligence community's voice is heard, both in Washington and in our State Capitols. By joining together under NAIA, we will influence the direction of government regulation and maintain our global leadership."

NEW MEMBER FOCUS:

Based in North Carolina, Paul Carney is the Founder and CEO of Perpeta. A serial entrepreneur who built his first start-up web business back in 1997 as a challenge to figure out how to take advantage of this thing called the "web." Paul, a Gold Startup Member of NAIA, went on to assist with two more internet-based start-up companies, one was sold to techies.com and the other, Natural Insight, sold to Movista in late 2019. Whether you're using AI for work, personal projects, or career growth, Perpeta helps you unlock the full potential of generative AI so that your prompts deliver creative, efficient, and accurate outcomes every time. Go to their website (HERE) to download and signup for learning resources.

NAIA CONTINUES TO GROW RAPIDLY. PLANS FOR FIRST ZOOM EVENT IN FEBRUARY UNDERWAY:

Just three weeks ago, we announced the formation of the National Artificial Intelligence Association (HERE) and today, we are approaching the 200 NAIA Members level. From one person startups to hundreds of employees. we look forward to being your strong voice for the AI community! Sign up below to learn more and we will be announcing soon our first Zoom MeetUp with leading Washington policymakers and key staff members. Our Spring DC Fly-In plans are also underway. Watch this space for more details.

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