HWG LLP AI & Emerging Technologies Alert

By: Austin Bonner and Alex Tate

This summer, the Trump administration’s AI Action Plan recommended that the Federal Communications Commission (FCC) “evaluate whether state AI regulations interfere with the [FCC’s] ability to carry out its obligations and authorities under the Communications Act of 1934.”  At yesterday’s open meeting, the FCC twice voted unanimously to invite public comment on state and local regulations that slow the expansion of wireless and wireline telecommunications service—including state and local AI regulations.  The two items are:

  • A Notice of Proposed Rulemaking (NPRM) seeking comment on state and local permitting regulations that inhibit the deployment of wireless networks. The NPRM asks how “AI tools are, or may be, used in communications networks to provide higher quality service and ensure the efficient and intensive use of the electromagnetic spectrum for the public benefit” and how state and local AI regulation prevent providers from realizing these benefits and otherwise impede the advancement of wireless telecommunications.  It also asks for commenters to “provide legal theories on how the Commission has authority under sections 253 and 332(c)(7) to preempt these state and local AI regulations.”
  • A Notice of Inquiry (NOI) seeking comment on how the process of obtaining state and local government authorizations impedes wireline deployments within the meaning of section 253. The NOI specifically calls for comments on “whether state or local laws seeking to govern or limit uses of AI are prohibiting or effectively prohibiting the provision of wireline telecommunications services.”

These broad requests for comment present an opportunity to shape the FCC’s perspective on AI, as well as state and local regulations that may limit AI adoption.  Stakeholders should consider how AI regulations may be impacting permitting, customer service, network design, spectrum management, and any other aspect of wireless or wireline telecommunications service.  For the NPRM, comments will be due 30 days after it is published in the Federal Register and reply comments will be due 15 days later.  For the NOI, comments are due November 17, and reply comments are due December 17.

These FCC actions align with other White House deregulatory efforts around AI.  The Office of Science and Technology Policy (OSTP) recently issued a Request for Information on federal laws, regulations, and policies that are preventing or delaying AI development and adoption.  OSTP specifically invites comments on specific laws and policies creating barriers, regulatory frameworks that are not appropriate for or are structurally incompatible with AI applications, and what forms of clarification about regulatory requirements would be most effective.  Those comments are due on October 27 (assuming the government shutdown does not alter that timeline).  The Office of Management and Budget is also expected to launch an effort to ensure that federal funds from AI-related discretionary funding programs are not distributed to states with AI regulations the administration views as too onerous.

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HWG LLP’s cross-disciplinary Artificial Intelligence and Emerging Technologies practice advises clients on federal and state legislative and regulatory proceedings, company compliance, and related litigation matters.  Please contact Austin Bonner for more information.

This advisory is not intended to convey legal advice.  It is circulated publicly as a convenience and does not reflect or create an attorney-client relationship.