AI Action Plan Presents Opportunities for Startups

Startups and innovators in AI-driven industries should pay close attention to the Administration's aim to win the global "AI Race," which is outlined in this comprehensive advisory from DWT's AI regulation and compliance team.

As the AI landscape evolves, startups should stay informed and strategically align their operations with these policies to maximize growth potential.

What to Know Now About the AI Action Plan

• The Administration's AI Action Plan emphasizes deregulation, national competitiveness, and rapid adoption of emerging technologies.
• The plan was accompanied by executive orders directed at accelerating AI innovation, building American AI infrastructure, leading in AI diplomacy and security, and requiring "ideological neutrality" in federally procured AI systems while rescinding prior DEI-driven requirements.
• AI developers doing business with the federal government need to ensure compliance with new federal procurement rules emphasizing transparency and ideological neutrality; systems must be "designed to pursue objective truth" and free from ideological bias, with DEI-based design mandates explicitly prohibited.
• Private companies will have opportunities to propose and participate in AI export programs and infrastructure projects but must navigate stricter export controls and security requirements.
• Federal agencies will begin work on developing guidelines and evaluation standards to define and measure AI system reliability and performance.

Plans for Research and Development

In part, the Administration's plan aims to:

• Expand access to large-scale computing resources for startups and others, such as academics.
• Establish regulatory sandboxes for testing AI tools in controlled environments.
• Develop high-quality, AI-ready datasets and expand access to federal data.
• Invest in AI-enabled manufacturing and scientific research.

Conclusion

The Administration's AI Action Plan and executive orders present significant opportunities for startups to engage in AI innovation, infrastructure development, and global market expansion. By reducing regulatory barriers, streamlining permitting processes, and promoting American AI exports, the plan aims to position the U.S. as a leader in the global AI race. Startups must also navigate new transparency and bias standards.