AI Regulation Battle Heats Up Ahead of 2026 Midterms

The ongoing struggle over artificial intelligence (AI) regulation has intensified as New York Governor Kathy Hochul recently moved to weaken a proposed bill aimed at imposing basic protections for AI technologies. This shift occurred shortly after President Donald Trump issued an executive order designed to eliminate state-level regulations in favor of federal standards. The bill, known as the RAISE Act, was sponsored by New York Assemblyman Alex Bores, who has been vocal about the need for oversight in the rapidly evolving AI landscape.

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The AI industry has mobilized significantly in this regulatory battle, with the PAC Leading the Future at the forefront. Funded by prominent figures such as OpenAI President Greg Brockman and the venture-capital firm Andreessen Horowitz, the PAC has a substantial budget of $100 million. Its first ad of the 2026 election cycle targeted Bores, framing his regulatory efforts as detrimental to innovation and job creation in New York. The ad's messaging suggests that the RAISE Act would lead to a chaotic regulatory environment, a narrative that Bores contends is an attempt to intimidate not only him but also Governor Hochul.

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In a recent development, Hochul initiated a two-week amendment process that could determine the fate of the RAISE Act. Critics, including Bores, interpret her actions as a capitulation to the AI industry, particularly given the PAC's aggressive campaign against him. Hochul's proposed changes would replace the RAISE Act with language from California's SB 53, which has already been softened under industry pressure. This move, if approved by state legislators, could set a precedent for minimal regulation in two of the largest states in the U.S., potentially undermining efforts for more robust oversight.

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Despite the PAC's efforts, Bores maintains that public support for the RAISE Act is strong, with 84% of New Yorkers favoring the legislation. He argues that AI's impact on daily life—ranging from job security to educational tools—has made it a pressing issue for voters. Bores, who has a background in computer science and experience in the tech industry, believes that the push for regulation is not only necessary but also popular among constituents.

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Bores has expressed concern over the political dynamics at play, stating, “Let’s be clear about what just happened: a handful of AI oligarchs bribed Donald Trump into selling out America’s future.” He emphasizes the need for more congressional members who will advocate for necessary regulations to safeguard against the potential dangers of unregulated AI development.

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In response to the evolving situation, a spokesperson for Governor Hochul stated, “In the absence of federal leadership on responsible AI, New York is leading with common-sense laws to protect children, families, and consumers.” This sentiment reflects Hochul's commitment to advancing AI responsibly, even as she navigates the pressures from both the industry and political opponents.

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• “Frankly, I wasn’t surprised,” — Alex Bores, New York Assemblyman

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• “Trump isn’t just ignoring potential dangers from out-of-control AI development; he’s throwing the door wide open for them.” — Alex Bores, on Trump's executive order

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As the 2026 midterms approach, the battle over AI regulation is set to be a significant issue, with implications for both state and federal policies.

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