this post was submitted on 12 Sep 2025
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The government wants AI to accelerate quickly in the U.S. โ€” and it's about to take the first steps to remove as much red tape as possible, Office of Science and Technology Policy director Michael Kratsios told Axios in an exclusive interview.

Why it matters: Kratsios is at the center of AI policy in the Trump administration, and the White House is laser-focused on reshaping the rules around the technology.

Driving the news: OSTP later this month will ask the public and businesses to weigh in on the federal regulations that they think hold back the development and deployment of AI, Kratsios told Axios.

This request for information is the first policy action recommended in the White House's AI action plan aimed at removing bureaucratic red tape. What they're saying: Kratsios said that Europe's comprehensive AI law, the EU AI Act, is "not at all the way the U.S. is approaching this" space.

The White House is instead backing what he describes as a "use-case and sector-specific" framework. For example, in health care, there could be regulations that hinder the development of particular medical devices, Kratsios said. Or in finance, there could be regs around algorithmic trading and consumer protection holding AI back.

Kratsios also applauded Senate Commerce Chair Ted Cruz's recent introduction of legislation that would allow companies to test products in a less-strictly regulated AI "sandbox," or testing zone. "Sandboxing, broadly in the world of emerging tech, is something I have been a big proponent of, and the president has supported over the years," Kratsios said.

What we're watching: With Kratsios steering AI policy, Washington's new playbook is aimed squarely at clearing regulatory burdens, but the administration will have to grapple with growing state-level action.

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Yeah baby! Strip those regs! Who's ready for some more early 2000's level fraud induced corporate bankruptcies? We'll call it "Vibe Accounting", which is where some idiot who can barely add uses an LLM to spit out financial statements that have no basis in reality.

/s