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White House Urges Allies to 'Free AI' from Over-Regulation

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  Published in Science and Technology on Tuesday, December 9th 2025 at 9:53 GMT by Fox News

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White House Official Calls on Allies to “Free AI from Innovation‑Killing Regulations”

In a recent speech at a U.S.‑hosted technology summit held in Washington, a senior White House official urged the United States’ key allies to adopt a more balanced approach to artificial intelligence (AI) regulation—one that protects citizens without stifling the rapid pace of innovation that AI promises. The remarks, delivered by White House Deputy National Security Adviser Jake Sullivan, came in the context of mounting pressure from the European Union (EU) and other partners to impose stricter rules on AI systems, especially those that could affect privacy, security, and the economy.

Why the “Free AI” Plea Matters

Sullivan’s comments were aimed at a crucial juncture in the global AI debate. The U.S. has long championed the notion that AI is a national‑security imperative and a cornerstone of economic growth. According to the White House, AI could create up to $15.5 trillion in global economic value by 2035—more than the entire GDP of a large country such as Brazil. Yet, the United States has faced growing concerns that heavy-handed regulation—particularly those imposed by the EU—could push companies toward the less‑regulated Chinese market or slow the speed at which new AI technologies are deployed in the U.S. market.

“The goal is not to stop innovation, but to make it safe,” Sullivan said. “If we allow regulations that act as a wall rather than a guide, the U.S. risks losing its competitive edge.”

The EU’s AI Act: A Double‑Edged Sword

The EU’s AI Act, announced in 2023 and slated for enforcement later this year, is the world’s first comprehensive framework aimed at regulating AI systems. It classifies AI applications into risk tiers, with “high‑risk” systems—such as those used in law enforcement or recruitment—subject to strict transparency, data‑quality, and human‑in‑the‑loop requirements. Companies are required to conduct a compliance assessment, maintain detailed logs, and, in some cases, submit to a pre‑market review by an EU‑appointed supervisory authority.

While the Act’s proponents argue that it protects citizens and ensures that AI systems are trustworthy, critics—including Sullivan and several U.S. tech CEOs—warn that the Act’s compliance costs could be prohibitive for smaller firms. The European proposal also includes a “right to challenge” clause that allows individuals to request a review of an AI system’s decision, potentially slowing down deployment timelines.

U.S. Regulatory Stance: A “Safety‑First” Framework

The U.S. is taking a more “pragmatic” approach. Rather than imposing a one‑size‑fits‑all regulatory regime, the Biden administration is working on a set of guidelines that emphasize transparency, ethical AI design, and voluntary industry standards. The Department of Commerce has released an “AI Risk Management Framework” that outlines best practices for identifying and mitigating biases, ensuring data privacy, and maintaining accountability.

“The approach we’re taking is risk‑based,” Sullivan explained. “We want to encourage innovation but also make sure that AI systems are safe, secure, and fair.” This stance aligns with the White House’s 2024 AI Bill of Rights, which seeks to guarantee that AI applications do not undermine individual privacy or civil liberties.

Global Implications and Strategic Concerns

Sullivan’s remarks also touch on geopolitical considerations. The U.S. and China are in a strategic “AI race,” with China’s government investing heavily in AI research and development through its “Made in China 2035” plan. The U.S. fears that an overly restrictive regulatory environment could give China an advantage in attracting talent and securing market dominance.

By urging allies to “free AI from innovation‑killing regulations,” Sullivan is essentially calling for a unified global framework that balances safety and competitiveness. This includes engaging with the EU to find common ground on high‑risk AI, while also encouraging other allies—such as Canada, Australia, and Japan—to adopt similar risk‑based approaches.

The White House also plans to host a “Global AI Governance Summit” later in the year to bring together tech companies, academia, and policymakers to draft a multilateral AI treaty. The goal, as Sullivan put it, is “to create an environment where AI can thrive while also protecting the public.”

Reactions and Next Steps

Tech leaders such as Elon Musk and Sam Altman have echoed Sullivan’s concerns about the potential of regulation to choke innovation. Musk even suggested a “global AI safety commission” that would allow for real‑time oversight. Meanwhile, the EU has responded cautiously, acknowledging the need for international cooperation but standing firm on its safety-first ethos.

On the domestic front, the House and Senate are reportedly reviewing a bipartisan AI safety bill that would provide funding for AI research while establishing a federal AI oversight board. The Senate Foreign Relations Committee has also signaled its support for the U.S.’s calls for a global AI treaty.

Bottom Line

Jake Sullivan’s impassioned call for a “free‑but‑safe” AI environment underscores a pivotal moment in the international AI landscape. While the U.S. is committed to maintaining its technological edge and ensuring public trust, the conversation remains fraught with tension between innovation and regulation. The outcomes of upcoming policy debates—both domestically and abroad—will shape the trajectory of AI for years to come.