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Tech Groups Push Back on Biden AI Executive Order, Raising Concerns It Could Crush Innovation
webThis article covers industry pushback against Biden's 2023 AI Executive Order, highlighting tensions between AI governance/safety regulation and innovation concerns from major tech industry associations — relevant to AI policy and governance debates.
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Summary
Multiple tech industry associations including NetChoice, the U.S. Chamber of Commerce, and SIIA expressed concerns about Biden's AI Executive Order, arguing it is too broad, confusing, and could stifle innovation. Critics warned of overlapping regulatory timelines, excessive government power, and insufficient industry input. Some voices also noted the EO lacked representation from AI risk and security specialists beyond major tech companies.
Key Points
- •NetChoice argued the EO's broad regulatory measures would stifle new competitors and expand federal government power over American innovation.
- •The U.S. Chamber of Commerce acknowledged the EO's promise but flagged 'substantive and process problems,' including short overlapping timelines for agency action.
- •Concerns raised that agencies like the FTC and CFPB might overreach beyond congressional limits under the EO's broad mandates.
- •Protect AI CEO noted the EO lacked input from AI risk and security specialists, not just large tech companies.
- •SIIA expressed top-level support but also raised concerns about specific directions taken in the order.
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President Joe Biden’s executive order on artificial intelligence has largely received a warm welcome from AI experts and government leaders, but it is facing pushback from multiple tech industry associations that say the EO is too confusing, too broad and could potentially stifle innovation.
NetChoice, the U.S. Chamber of Commerce and the Software & Information Industry Association — which represent some of the largest AI and tech companies in the world — expressed several concerns about the long-awaited 111-page executive order , which marks the most aggressive step by the government to rein in the technology to date.
“Broad regulatory measures in Biden’s AI red tape wishlist will result in stifling new companies and competitors from entering the marketplace and significantly expanding the power of the federal government over American innovation,” Carl Szabo, vice president and general counsel at NetChoice, an advocacy group that represents major AI companies such as Amazon, Google and Meta, said in a statement.
“This order puts any investment in AI at risk of being shut down at the whims of government bureaucrats,” he continued. “That is dangerous for our global standing as the leading technological innovators, and this is the wrong approach to govern AI.”
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Szabo added that there are many federal government regulations that already govern AI that can be used to rein in the technology, but the Biden administration “has chosen to further increase the complexity and burden of the federal code.”
The Chamber of Commerce said the EO shows promise and addresses important AI priorities, but also raises concerns and needs more work.
“Substantive and process problems still exist,” Tom Quaadman, executive vice president of the Chamber’s Technology Engagement Center, said in a statement. “Short, overlapping timelines for agency-required action endangers necessary stakeholder input, thereby creating conditions for ill-informed rulemaking and degrading intra-government cooperation.”
Federal agencies such as the Federal Trade Commission and the Consumer Financial Protection Bureau “should not see this as an opportunity to do as they please,” Quaadman added. “All agencies must continue to act within congressional limits and abide by Supreme Court rulings.”
The wide-ranging executive order, which aims to tackle everything from AI privacy risks to federal procurement, calls on several agencies to take on new responsibilities related to artificial intelligence. The order also addresses new strategies for federal agency use of the technology, including issuing guidance for agency deployment, helping agencies access AI systems through more efficient and less expensive
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