Trump's AI team fractures over strategy against G20 backdrop

Chapel Hill, N.C. — At the G20 innovation summit, officials from the Trump administration aimed to convey a unified message on the U.S. approach to AI leadership. However, tensions arose between the Commerce Department and the White House's technology policy team. The summit, hosted by the U.S. this year, featured prominent figures from the tech industry and officials from powerful nations.

The U.S. presented its AI strategy as a model, contrasting its less stringent regulatory approach with the EU's more rigid stance. While OSTP Director Michael Kratsios touted regulatory flexibility that fosters investment and clarity, Commerce Secretary Howard Lutnick stressed the importance of in-person participation for key figures.

The summit's messaging on data centers, a contentious issue, also reflected the underlying division. OSTP and Commerce were reportedly at odds over the topic, with Kratsios advocating for it during his virtual meeting with tech leaders despite a prior announcement to avoid the issue. The administration is still formulating its AI regulatory framework, deciding whether to create a new regulatory body or rely on existing laws.