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All issuesVolume 328, Issue 2IT NewsAI

As AI Technology Advances Rapidly, Can Global Governance Frameworks Keep Up?

ET Edge Insights, Friday, July 11th, 2025

The global AI landscape could undergo a dramatic transformation if the United States enacts President Trump's proposed 10-year moratorium on state regulation of AI and 'automated decision-making systems'.

Such a move would likely accelerate the growth and deployment of these technologies, with far-reaching implications for international governance frameworks, as not all countries, including India, are likely to take such a bold approach for easing regulatory frameworks.

Several questions then arise-will countries with greater regulation fall behind in terms of innovation? Or as innovation spikes in the US, countries such as India that are high adopters of technology, may become commercially more dependent? What then are the geopolitical and geoeconomic risks, bringing us to the most pertinent question, how should the world be thinking about regulating AI?

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