Donald Trump was preparing to sign a sweeping executive order to rein in America's AI giants. Then one phone call from a billionaire ally killed it at the eleventh hour, exposing a bitter rift tearing apart his own West Wing, according to a new report from Politico.
Executive Order Details
The executive order would have created an oversight process for companies developing advanced AI models to submit their products for federal review before release. The White House action aimed to address fears that powerful AI models could help America's enemies launch devastating cyberattacks or other havoc.
The Fateful Call
The call last week came from David Sacks, Trump's former AI and crypto czar, who urged the President to scrap the order. The reversal blindsided West Wing staff who had believed, until that moment, that the administration was marching in lockstep.
Top White House officials assumed Trump had already signed off on the directive and are livid that Sacks went around them to lobby him directly, according to the Wall Street Journal. 'David Sacks, just having supported what [the group was] doing, just thought better of it, and contacted the president and said, "I think you're making a mistake,"' a senior White House official told Politico.
Three Factions Emerge
The shocking sabotage has revealed three main camps in the West Wing battling over the direction of AI policy. Sacks favors lighter regulation so US industry can compete with China. Pete Hegseth, on the other hand, is pushing for the Pentagon to erect more barriers against advanced AI models that could pose national security risks.
'David [Sacks] wants more of a hands-off approach to AI and Hegseth doesn't think it goes far enough,' a second White House official told Politico. Susie Wiles and Scott Bessent, however, are seen as moderates, lobbying for rules that let AI companies voluntarily give the US government access to their latest models.
'Susie, as much as she's trying to straddle the middle line, she's very much concerned, and is a bit more hawkish than middle of the road,' a source told Politico.
Future of the Order
The order that was killed earlier this month could return to the President's desk, as officials note that Trump may yet change his mind on the matter. One official told Politico that the directive isn't canceled but merely postponed, and while a clause or two might be revised, 'it's also possible that we talk to the president about it, and he says, "Yeah, that sounds logical. Let's just go do it."'



