The next phase of OpenAI's political strategy (www.politico.com)

OpenAI is shifting its strategy to establish national AI policy through a state-by-state campaign, dubbed “reverse federalism,” as efforts for tech-friendly federal legislation stall in Washington. By lobbying state legislatures to enact preferred laws on AI safety, OpenAI aims to create a "critical mass" of states—starting with successful pushes in California and New York, and now targeting Illinois—thereby forming a de facto national standard. This approach allows OpenAI to influence the regulatory landscape while sidestepping potential federal gridlock, despite previous attempts by the tech lobby to prevent conflicting state laws. Significantly, the state laws promoted by OpenAI focus on transparency and reporting requirements rather than imposing stringent liabilities on AI developers. While this could stabilize the regulatory environment for OpenAI amid rising public concerns about AI risks, critics argue that these measures fall short of strong protections. The implications extend beyond state borders as Lehane believes successful legacies in these states may encourage federal lawmakers to adopt similar frameworks. This strategy not only highlights the complexity of navigating AI regulations but also reflects the industry's growing power and influence in shaping the future of AI governance.