During Trump’s First Term, ChatGPT, which sparked the generative AI model boom, had not yet been released. Four years later, as Trump is set to return to the White House, artificial intelligence (AI) is now seen as a transformative technology and has become the focal point of global tech competition. With less than a month until his second inauguration, Trump’s team for AI development and governance is nearly complete. Key positions, including the White House Office of Science and Technology Policy and the newly created White House AI and Cryptocurrency Czar, have been filled. These individuals, from politics, business, and Silicon Valley, will shape U.S. AI policy for the next four years.
Key Figures in Trump’s AI Team
One of Trump’s key actions in recognizing the importance of AI was creating the position of White House AI and Cryptocurrency Czar. Earlier, he announced the appointment of David Sachs as the “AI Czar” for the White House.
In a statement, Trump said Sachs would guide U.S. policy on AI and cryptocurrency, two areas crucial for America’s future competitiveness. Sachs is tasked with developing a legal framework for the cryptocurrency industry to achieve clarity and foster growth in the U.S. This marks the first time the U.S. government has established a dedicated role for overseeing AI and cryptocurrency policy.
Sachs is a well-known Silicon Valley venture capitalist who co-founded PayPal with Elon Musk and Peter Thiel, playing a key role in its early operations.
Following this appointment, Trump nominated Michael Kratsios, a researcher at Stanford University’s Human-Centered AI Institute, to head the White House Office of Science and Technology Policy (OSTP) and serve as the President’s Chief Technology Advisor. For the past three years, Kratsios has been managing director at Scale AI.
Kratsios previously served as the U.S. CTO during Trump’s first term and was the Deputy Secretary of Defense for Research and Engineering at the Pentagon. He led the development of the “American AI Initiative” in 2019, marking the first national-level AI promotion initiative by the U.S. government.
Additionally, Lynn Parker, Trump’s former Deputy CTO and founding Director of the National AI Initiative Office, has been recalled to the administration. Parker, who previously worked at Microsoft, X, and Meta, has been nominated as the Executive Director of the White House Council on Science and Technology Advisors and as a senior advisor to the White House Office of Science and Technology Policy.
In addition to these core positions, other nominations with AI expertise have raised attention, as they may influence the administration’s stance on AI.
Trump has also nominated Jacob Helberg, an executive at Silicon Valley tech firm Palantir, to be the Deputy Secretary of State for Economic Growth, Energy, and Environment. This position includes responsibilities for developing and implementing U.S. international science and technology policies. Helberg, a member of the U.S.-China Economic and Security Review Commission (USCC), advocates for increasing competition with China in AI.
An important supporter of Trump in the tech sector is Elon Musk, who is expected to play a key role in the new government. Musk has consistently called for stricter AI regulation, which could influence Trump’s decisions on the matter.
Experts noted that although Trump frequently discussed AI during the election, he did not propose concrete strategies or policies, which suggests he will rely more on the input of his team and strategic advisors.
Potential Policy Direction
As Trump’s team takes shape, the U.S. tech industry expects his AI policies to soon take form, with some measures seen as likely.
During his campaign, Trump promised to repeal President Biden’s executive orders on AI once he assumes office. In October 2023, Biden signed an executive order on the safe, reliable, and trustworthy development and use of AI, focusing on AI system safety and how to address potential misuse. This order imposes safety regulations for AI systems and products, requiring companies to conduct rigorous safety tests before developing advanced AI systems.
Trump and other Republicans criticized Biden’s order, arguing that it would impose unnecessary restrictions on U.S. AI development and promote “radical left-wing ideologies,” potentially enabling AI-based censorship. The Republican platform published in July 2024 explicitly stated, “We will repeal Joe Biden’s dangerous executive orders that hinder AI innovation… Instead, Republicans support AI development rooted in free speech and human flourishing.”
Trump’s pledge to revoke Biden’s executive order reflects his overall stance on AI: relaxing regulations. Experts from the think tank New America said that while it’s difficult to predict the specifics of Trump’s AI policies, it’s likely that he will push for reduced regulations for U.S. AI tech companies.
This policy direction is also evident in the appointments Trump has made. Analysts note that many of Trump’s tech advisors come from entrepreneurial or investment backgrounds, suggesting support for deregulation, especially for startups. Experts believe Sachs, with his entrepreneurial background, will likely push for a more laissez-faire economic approach, reducing red tape, and fostering a more favorable environment for AI innovation in tech startups rather than large companies.
Analysts also pointed out that Trump’s appointment of Sachs to oversee both AI and cryptocurrency suggests he will adopt a policy approach similar to that for cryptocurrencies. Trump had previously promised to ease regulations on the cryptocurrency industry if elected.
Analysts expected that, similar to his first term, Trump’s AI policies will differ significantly from Biden’s industry-focused approach. He predicts that Trump will encourage businesses to increase investment in AI and push for foreign companies, especially allies, to boost their investment in U.S. AI development, strengthening America’s AI industrial chain.
Reports from Nikkei revealed that on December 16, 2024, SoftBank founder Masayoshi Son met with Trump at Mar-a-Lago and pledged $100 billion in investments in the U.S. during Trump’s second term, a significant portion of which is expected to be directed toward AI.
Experts: AI Controls Related to China May Strengthen
As a leader in AI technology, U.S. policy over the next four years will influence global tech trends. According to CNN, in November 2023, the U.S.-China Economic and Security Review Commission (USCC) recommended the U.S. government initiate a major AI project modeled after the “Manhattan Project” during World War II, concentrating national resources on accelerating AI development, especially General AI (AGI). While Trump may not fully embrace this recommendation, experts believe it is likely that national resources will be used to boost AI development.
However, Trump’s broader deregulatory approach has raised concerns about the potential lack of safeguards for AI.
For many AI safety advocates, regulation isn’t just about preventing “AI apocalypse” scenarios but ensuring that AI tools, increasingly used in healthcare, housing, human resources, law enforcement, immigration, and military sectors, are safe, accurate, and non-invasive. Ensuring these tools’ secure and responsible use is becoming more critical.
Brookings Institution analysts suggest that under a “Trump 2.0” administration, the U.S. government may further relax AI regulations and reduce antitrust enforcement in the AI space. Trump’s deregulatory stance is expected to undermine international collaborations aimed at creating AI regulations to address growing risks. Furthermore, Brookings suggests that Trump’s focus on ensuring U.S. leadership in AI could result in even stronger AI-related export controls. During his first term, Trump was the first to implement chip export controls against China, a policy that Biden has continued and tightened. Trump is expected to further intensify export controls.
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