This is part of an ongoing series of Covington blogs on the AI policies, executive orders, and other actions of the Trump Administration. This blog describes AI actions taken by the Trump Administration in July 2025, and prior articles in this series are available here.
White House Issues AI
Continue Reading July 2025 AI Developments Under the Trump AdministrationThe Defense Production Act (DPA) has long been viewed as the primary federal mechanism for managing and supporting defense production. Since it was enacted in September 1950—just months after the Korean War began—the DPA has armed the President with wartime-style powers to prioritize contracts, allocate scarce materials, and finance surge defense production capacity. These DPA industrial authorities are subject to periodic reauthorization, with the current sunset set for September 30, 2025. While the reauthorization of the DPA remains pending, the Senate Armed Services Committee (SASC) has advanced a new NDAA provision that would convert the extant Industrial Base Fund (IBF) (10 U.S.C. section 4817) into a Pentagon-controlled toolkit that closely mirrors—but is not identical to—DPA’s Title III authorities. The introduction of section 849A of the FY 2026 NDAA suggests that the SASC is no longer willing to entrust the re-armament of the Pentagon and revitalization of the Defense Industrial Base (DIB) solely to reauthorization of the DPA—a process that lives or dies in other committees’ jurisdictions. Continue Reading Forging a Modern Strategic Production Base: Senate Proposes Stand-Alone Defense-Production Powers for the Pentagon
This is part of an ongoing series of Covington blogs on the AI policies, executive orders, and other actions of the Trump Administration. This blog describes AI actions taken by the Trump Administration in April 2025, and prior articles in this series are available here.
White House OMB Issues
Continue Reading April 2025 AI Developments Under the Trump AdministrationThis is part of an ongoing series of Covington blogs on the AI policies, executive orders, and other actions of the Trump Administration. This blog describes AI actions taken by the Trump Administration in March 2025, and prior articles in this series are available here.
White House Receives Public
Continue Reading March 2025 AI Developments Under the Trump AdministrationOn April 9th, President Trump signed an Executive Order titled “Reforming Foreign Defense Sales To Improve Speed And Accountability” (“the FMS EO”). The FMS EO directs the Departments of Defense and State to reform the foreign defense sales system with the goal of “simultaneously strengthen[ing] the security capabilities of our allies and invigorat[ing] our own defense industrial base.”
The EO’s policy goals likely will receive bi-partisan support, as both the Biden administration and the first Trump administration oversaw record transfers of U.S. defense articles and services to foreign allies. Indeed, the FMS EO comes just a few months after the Department of State reported that the final year of the Biden administration saw the “highest ever annual total of sales and assistance provided to our allies and partners,” with a total value of $117.9 billion in sales under the Foreign Military Sales (FMS) program, a 45.7% increase from FY 2023. Moreover, many of the policy goals align generally with recommendations the House Foreign Affairs Committee’s TIGER Task Force issued last year.
On the other hand, the FMS EO would reduce Congressional review and export restrictions on the transfer of certain sensitive defense articles, expand the ability of foreign allies to procure defense items directly from U.S. contractors through direct commercial contracts, and place a new emphasis on cost and burden-sharing by allies. These measures are more likely to encounter resistance. Continue Reading New Executive Order Targets Reforms to Foreign Military Sales
On April 3, the White House Office of Management and Budget (“OMB”) released two memoranda with AI guidance and requirements for federal agencies, Memorandum M-25-21 on Accelerating Federal Use of AI through Innovation, Governance, and Public Trust (“OMB AI Use Memo“) and Memorandum M-25-22 on Driving Efficient Acquisition of Artificial
Continue Reading OMB Issues First Trump 2.0-Era Requirements for AI Use and Procurement by Federal AgenciesThis is part of an ongoing series of Covington blogs on the AI policies, executive orders, and other actions of the Trump Administration. The first blog summarized key actions taken in the first weeks of the Trump Administration, including the revocation of President Biden’s 2023 Executive Order 14110 on the “Safe, Secure, and Trustworthy Development and Use of AI” and the release of President Trump’s Executive Order 14179 on “Removing Barriers to American Leadership in Artificial Intelligence” (“AI EO”). This blog describes actions on AI taken by the Trump Administration in February 2025.Continue Reading February 2025 AI Developments Under the Trump Administration
Last month, DeepSeek, an AI start-up based in China, grabbed headlines with claims that its latest large language AI model, DeepSeek-R1, could perform on par with more expensive and market-leading AI models despite allegedly requiring less than $6 million dollars’ worth of computing power from older and less-powerful chips. Although
Continue Reading U.S. Federal and State Governments Moving Quickly to Restrict Use of DeepSeekThis is the first in a new series of Covington blogs on the AI policies, executive orders, and other actions of the new Trump Administration. This blog describes key actions on AI taken by the Trump Administration in January 2025.
Outgoing President Biden Issues Executive Order and Data Center Guidance for AI Infrastructure
Before turning to the Trump Administration, we note one key AI development from the final weeks of the Biden Administration. On January 14, in one of his final acts in office, President Biden issued Executive Order 14141 on “Advancing United States Leadership in AI Infrastructure.” This EO, which remains in force, sets out requirements and deadlines for the construction and operation of “frontier AI infrastructure,” including data centers and clean energy facilities, by private-sector entities on federal land. Specifically, EO 14141 directs the Departments of Defense (“DOD”) and Energy (“DOE”) to lease federal lands for the construction and operation of AI data centers and clean energy facilities by the end of 2027, establishes solicitation and lease application processes for private sector applicants, directs federal agencies to take various steps to streamline and consolidate environmental permitting for AI infrastructure, and directs the DOE to take steps to update the U.S. electricity grid to meet the growing energy demands of AI.
On January 14, and in tandem with the release of EO 14141, the Office of Management and Budget (“OMB”) issued Memorandum M-25-03 on “Implementation Guidance for the Federal Data Center Enhancement Act,” directing federal agencies to implement requirements related to the operation of data centers by federal agencies or government contractors. Specifically, the memorandum requires federal agencies to regularly monitor and optimize data center electrical consumption, including through the use of automated tools, and to arrange for assessments by certified specialists of data center energy and water usage and efficiency, among other requirements. Like EO 14141, Memorandum M-25-03 has yet to be rescinded by the Trump Administration.Continue Reading January 2025 AI Developments – Transitioning to the Trump Administration
In his first few days in office, President Trump issued several executive orders (“EOs”) and memoranda, many of which may have implications for federal contractors and grant recipients, including the following:Continue Reading President Trump Issues Numerous Executive Orders with Potential Impacts on Federal Contractors and Grant Recipients