March 16: This week in AI federal policy
DC/ai Decoded: A weekly newsletter on developments in artificial intelligence and quantum federal policy
This week decoded
A bipartisan group of senators has introduced legislation to create a commission guiding Congress on AI policy. Nearly the entire Senate Democratic caucus calls for an investigation into the bombing of a school in Iran—raising fresh questions about the Pentagon’s reliance on artificial intelligence. Meanwhile, fallout continues over the Trump administration’s response to Anthropic.
Read more below
Congress
Hearings
This week
On March 17, the House Financial Services Committee holds a hearing on “Updating America’s Financial Privacy Framework for the 21st Century.”
On March 17, The Senate Judiciary Committee holds a hearing on “Stealth Stealing: China’s Ongoing Theft of U.S. Innovation.”
On March 17, the House Homeland Security Cybersecurity and Infrastructure Protection Subcommittee holds a hearing on “DeepSeek and Unitree Robotics: Examining the National Security Risks of PRC Artificial Intelligence, Robotics, and Autonomous Technologies and Building a Secure U.S. Technology Base.”
Upcoming
On March 26, the House Financial Services Digital Assets, Financial Technology, and Artificial Intelligence Subcommittee holds a hearing on “Innovation at the Speed of Markets: How Regulators Keep Pace with Technology.”
Legislation
Sens. Mark Warner (D-VA) and Mike Rounds (R-SD) introduced the Economy of the Future Commission Act to establish the Economy of the Future Commission to develop recommendations to help policymakers address the economic and workforce impacts of AI. (Text)
Reps. GT Thompson (R-PA) and Suzanne Bonamici (D-OR) introduced the Cybersecurity Skills Integration Act to create a pilot program for competitive grants to career and technical education programs that integrate cybersecurity into their curriculum. (Text)
Correspondence
Senate Democratic Leader Schumer (D-NY) and Sens. Bennet (D-CO), Van Hollen (D-MD), Kaine (D-VA), Warren (D-MA), Schatz (D-HI), Reed (D-RI), Shaheen (D-NH), Hirono (D-HI), Blumenthal (D-CT.), Gillibrand (D-NY), Murray (D-WA), Merkley (D-OR), Heinrich (D-NM), Baldwin (D-WI), Markey (D-MA), Welch (D-VT), Duckworth (D-IL), Alsobrooks (D-MD), Smith (D-MN), Kim (D-NJ), Sanders (I-VT), Gallego (D-AZ), Warnock (D-GA), Durbin (D-IL), Padilla (D-CA), Whitehouse (D-RI), Luján (D-NM), Blunt Rochester (D-DE), Klobuchar (D-MN), Hickenlooper (D-CO), Wyden (D-OR), Peters (D-MI), Kelly (D-AZ), Slotkin (D-MI), Coons (D-DE), Rosen (D-NV), Booker (D-NJ), Ossoff (D-GA), Cortez Mastro (D-NV), Schiff (D-CA), Warner (D-VA), Cantwell (D-WA), Hassan (D-NH), Murphy (D-CT), and King (I-ME) sent a letter to Defense Secretary Pete Hegseth demanding that the Department of Defense carry out an investigation into airstrikes on a school in Minab, Iran, including asking “Have any U.S. military operations in Iran utilized, or will any utilize, artificial intelligence tools, and if so, provide specifics of how they are being used and for what purpose? What human verification and redundancy policies are in place, if any, to evaluate the accuracy and legitimacy of AI-generated targets?” and requesting “a copy of any procedures service members use to verify AI-generated targets and recommend them for execution.” (Letter)
Trump Administration
National Telecommunications and Information Administration (NTIA)
On March 23, the NTIA will host a hybrid industry listening session on the Public Wireless Supply Chain Innovation Fund to focus on advancing AI-native telecommunications networks through the Innovation Fund. (NTIA)
Noteworthy Quotes and Events
CONGRESS
Miscellaneous
Rep. Don Beyer (D-VA) told a Punchbowl News conference, “My guess is that at 430 people, maybe 25 are paying attention in a serious ‘what’s happening in terms of AI policy?’ It’s not that they’re not serious people. It’s just they’re not coming from technical backgrounds.” He added, “We can’t deal with climate change, we can’t deal with immigration reform, we can’t deal with Social Security. We’re not good at the debt. Why are we magically going to be able to do a good framework for AI at the federal level?... Until we do something real that really sets up that framework, it’s irresponsible not to let the states try. Plus … when the states do it, we understand what works and what doesn’t work.” (MeriTalk)
Beyer also said, “It’s got to be Democrats and Republicans sitting down with all the things that we know we have to do, and getting a bill and putting it out there. And if the Republicans are ahead on it, great, I’d love to be a part of it, as long as they don’t put in something like the present preemption.” He added, “I’m a pessimist just about Congress’s ability, in the short run, to get things done, which is why I think we all need to figure out: How do we take an institution full of good people who are trying to do good things across party lines, and get them to work together in a way that actually gets results.” (MeriTalk)
House Homeland GOP posted “Today, nation-state adversaries and terrorist groups are weaponizing social media networks and emerging technology like AI to radicalize, recruit, and spread propaganda in the homeland. This is evident as tensions with Iran continue. Last year, the House PASSED RepPfluger’s ‘Generative AI Terrorism Risk Assessment Act’ to ensure DHS is staying ahead of these threats as they evolve.”
Sen. Chris Coons (D-DE) posted “We’re once again seeing AI-generated content spreading misinformation about elections, this time in Hungary. It’s increasingly clear that AI-generated misinformation is influencing elections here in America and around the world and needs to be reined in. Congress needs to get serious about passing smart, strategic rules about AI before it’s too late. I already have a couple of bipartisan bills I’m working on. The Protect Elections from Deceptive AI Act would prohibit deceptive AI-generated content about federal candidates like what we’re seeing in Hungary. The NO FAKES Act would protect all Americans from spreading unauthorized deepfake content using your voice and likeness. And we need to do way more to protect our kids and our privacy from threats posed by artificial intelligence. There’s bipartisan support in the Senate for regulating AI to ensure the country as a whole benefits and Americans are protected against its largest risks. I believe we can get this done. I’m ready to work with anyone to make it happen.”
Rep. Sara Jacobs (D-CA) posted “We need strict guardrails when the military uses AI, whether it’s in Iran or anywhere else – full stop.”
Rep. Lloyd Doggett (D-TX) posted “The Trump regime is following Xi Jinping’s playbook by punishing any private citizen or company that disagrees with them. Anthropic CEO Dario Amodei was one of the few AI executives to criticize the Trump regime for sending advanced AI chips to China. Following his warning, Trump issued an executive order targeting ‘woke AI,’ and now Pete Hegseth has designated Anthropic a ‘supply-chain risk.’”
Doggett also posted “’As Trump Regime insists that it should not be denied the ability to use Artificial Intelligence for domestic mass surveillance and to operate weapons without human control, Anthropic has rightly declined. Now it has been joined by other important forces in opposition to this dangerous Regime overreach.’”
Rep. Richard Hudson (R-NC) posted “America’s leadership in global AI development ultimately hinges on whether our nation can support the compute-intensive systems that drive innovation across science, medicine, national security, and the broader economy. Silicon carbide is essential to that foundation.”
Floor Remarks
Sen. Dan Sullivan (R-AK) delivered remarks on the Senate floor, saying, “Because these technologies in which we are in a race with China in terms of their development might determine who controls the entire 21st Century between the United States and China. Fortunately, Mr. President, we’re starting to focus on these. I’m starting to focus on these, and I would say there are three main areas, digital currency, and blockchain technology, artificial intelligence, and biotech. So if you’re on the hill on different committees, and I’m on the Commerce Committee as well as Armed Services, we are doing hearings, we are doing markups, we established commissions. There’s a lot of work, a lot of debate. I would say, Mr. President, a lot of it is bipartisan, which I think is good, to focus on these emerging technologies because in some ways they’re just as important as our military competition with the Chinese Communist Party. And in my view, Mr. President, it is becoming increasingly clear that we are in a race with the Chinese Communist Party on who will control these critical technologies. The economic resilience and financial strength and productivity of our economy, and, yes, the national security of our citizens increasingly depends on who wins these races in these critical emerging technology areas. A couple of things related to that, Mr. President, I just want to touch on. And I’m going to come down to the floor and speak more and more on these and what we need to do. But make no mistake, as I dig into these issues deeper, as we get the briefings from the experts, it has become clear that we should not -- should not underestimate the Chinese Communist Party in these areas. They can compete. They are competing. I think sometimes in the area of technology, we think, well, we’re the United States, we’re the top dog. But we need to take them very seriously. And in some areas, in these technologies, subcomponents of these technologies, say, for example, like robotics, I think you could make a good case that the Chinese are already in the lead. And we have to take that very seriously. Another thing, Mr. President, is that a fundamental component of competing successfully against China in at least two of three of these technologies, blockchain technology and A.I. is that we have to have abundant American energy to power in advance in these technological areas. Again, for the benefit of our own citizens and our own national security, it is critical that we unleash American energy, all forms of American energy. I am an all-of-the-above energy proponent -- oil, gas, coal, renewables, nuclear. We used to talk about the energy transition, Mr. President, but in terms of winning the race on these kind of technologies, we really need to be talking about energy addition, because we’re going to need all forms of American energy, American energy dominance, when it comes to blockchain technologies, crypto, and A.I. so, in these areas, Mr. President, I believe that, for example, in blockchain technology, when developed properly, it can not only help but ensure our economic resilience, our economic competitiveness and, very importantly, Mr. President, as it relates to competing with China, the continued dominance of the U.S. dollar as the world’s reserve currency, which, as I mentioned, Mr. President, is a critical comparative advantage we have over the Chinese and which they are trying to erode, both in terms of their own digital currencies, but in other ways in terms of working with other countries that want to erode the dollar’s preeminence. Related, blockchain technology can make sure the U.S. is more resilience to economic warfare. Again, only if we are the leaders related to China. In these areas, I think we’re off to a pretty good start, Mr. President, by actually passing laws that are beginning to establish the rules of the road for these technologies, like stablecoin, when we recently passed the GENIUS Act. Next up, as we’re working on additional rules for the road, to establish the strength of these technologies based in America, not China, is the market structure legislation that we are working on. As some of you know, the CLARITY Act passed the House. We’re continuing to move that legislation forward here in the Senate, splitting some of it apart with legislation, such as the digital commodity intermediary act, that recently passed out of the Agriculture Committee. This is also bipartisan legislation, Mr. President. And again, it’s a good start, but we have a long way to go, but I think it’s critical to keep in mind one of the most important elements of this is to beat China, for our economic security, for our national security, and that includes, of course, Mr. President, in the area of A.I. and biotech, as I mentioned. Again, the race against China here is critical. Who wins these technological races will almost certainly dominate key elements of the 21st Century. We need to optimize the full promise of A.I. while protecting our citizens against some of the related harms, particularly protecting our children when it comes to this new technology. Smart regulation and legislation and well-thought-out legislative actions from Congress should focus on empowering our people and accelerating societal benefits that result from the use of A.I., like especially, Mr. President, in health care, in education, where I believe the promise of artificial intelligence is immense and transformative in a very positive way, for our country and our citizens. When I talk to the experts, they believe that we are winning the A.I. race with China, but we can’t be complacent at all. As I mentioned, they can compete, and every day we need to keep moving forward and recognizing that this is a critical competition that we cannot let the CCP dominate and control.”
Sen. Ron Wyden (D-OR) delivered floor remarks, saying, “The Pentagon, the IRS, the FBI, the Secret Service, all of them, Mr. President, have purchased Americans’ location information or web browsing information. The government’s purchase of all this private information ought to be enough, but I want to wrap up by talking about how artificial intelligence could be used on these records. Artificial intelligence tools are designed to comb through enormous data sets, find patterns, and identify behaviors of interest to the government. A few years ago, Americans may have believed that their personal information would be overlooked in an ocean of data. Now, we know A.I. can be looking at everybody. I’ve been warning for nearly a decade that data available for purchase from companies is just as sensitive as information the government collects directly. Creating A.I. profiles of Americans based on that data represents a chilling expansion of mass surveillance that must not be allowed. As my colleagues are aware, the Trump Administration decided to single out the -- one company over the weekend for punishment because the company didn’t want its artificial intelligence tool used for mass surveillance of Americans. Company’s CEO said if the government’s purchase of sensitive data is currently legal, it’s only because the law has not yet caught up with the rapidly growing capabilities of A.I. That in a nutshell is the problem our bipartisan legislation will fix. Update the law to current realities, stop the government from buying data on Americans from sleazy data brokers. It has to be addressed in a Section 702 reauthorization bill, which Congress will actually consider, because if legislators don’t seize this opportunity, technology will just get further and further ahead of the law, and Americans will rightly have little faith that Congress is interested in protecting their privacy.”
What I’m Reading This Week
Americans Have Little Confidence in Lawmakers Managing AI Policy, Elaine Mallon, The National News Desk.
White House Preps Executive Order Targeting Anthropic, The Tech Buzz.
About Zero One Strategies
Zero One Strategies is a specialized government relations practice dedicated to navigating the complex landscape of U.S. federal policy in emerging technologies. As advancements in technology continue to outpace regulatory frameworks, Zero One Strategies aims to provide strategic guidance and bipartisan advocacy for innovators and businesses operating at the forefront of technological development.
The practice focuses on key areas such as artificial intelligence, digital assets, blockchain, decentralized technologies, cybersecurity, data, and digital infrastructure, as well as the multiple policy issues impacting these sectors, including tax and financial services.
Contact us at Stacey@ZeroOneStrategies.com
