Artificial Intelligence (AI)

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 DeepSeek

This 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

This is the first blog in a series covering the Fiscal Year 2025 National Defense Authorization Act (“FY 2025 NDAA”).  This first blog will cover: (1) NDAA sections affecting acquisition policy and contract administration that may be of greatest interest to government contractors; (2) initiatives that underscore Congress’s commitment to strengthening cybersecurity, both domestically and internationally; and (3) NDAA provisions that aim to accelerate the Department of Defense’s adoption of AI and Autonomous Systems and counter efforts by U.S. adversaries to subvert them. …
Continue Reading President Biden signs the National Defense Authorization Act for Fiscal Year 2025

This is part of an ongoing series of Covington blogs on the implementation of Executive Order No. 14110 on the “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence” (the “AI EO”), issued by President Biden on October 30, 2023.  The first blog summarized the AI EO’s key provisions and related OMB guidance, and subsequent blogs described the actions taken by various government agencies to implement the AI EO from November 2023 through October 2024.  This blog describes key actions taken to implement the AI EO during November 2024 and potential implications of the 2024 U.S. election.  We will discuss developments during November 2024 to implement President Biden’s 2021 Executive Order on Cybersecurity in a separate post. Continue Reading November 2024 Developments Under President Biden’s AI Executive Order

This is part of an ongoing series of Covington blogs on the implementation of Executive Order No. 14110 on the “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence” (the “AI EO”), issued by President Biden on October 30, 2023.  The first blog summarized the AI EO’s key provisions and related OMB guidance, and subsequent blogs described the actions taken by various government agencies to implement the AI EO from November 2023 through September 2024.  This blog describes key actions taken to implement the AI EO during October 2024.  We will discuss developments during October 2024 to implement President Biden’s 2021 Executive Order on Cybersecurity in a separate post. Continue Reading October 2024 Developments Under President Biden’s AI Executive Order

This is part of an ongoing series of Covington blogs on the implementation of Executive Order No. 14110 on the “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence” (the “AI EO”), issued by President Biden on October 30, 2023.  The first blog summarized the AI EO’s key provisions and related Office of Management and Budget (“OMB”) guidance, and subsequent blogs described the actions taken by various government agencies to implement the AI EO from November 2023 through August 2024.  This blog describes key actions taken to implement the AI EO during September 2024.  It also describes related developments in California related to the goals and concepts set out by the AI EO.  We will discuss developments during September 2024 to implement President Biden’s 2021 Executive Order on Cybersecurity in a separate post. Continue Reading September 2024 Developments Under President Biden’s AI Executive Order

A key component of President Biden’s October 2023 Executive Order on Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence is a directive to develop a mandatory industrial base survey for the development of advanced artificial intelligence (“AI”) models and computing clusters.  Leveraging authority under the Defense Production Act, President Biden charged the Department of Commerce, Bureau of Industry and Security (“BIS”) to implement this industrial base assessment.  On September 9, 2024, BIS proposed to amend its Industrial Base survey regulations by establishing reporting requirements for the development of advanced AI models and possession of large-scale computing clusters.

Section 4.2(a)(ii) of the October 2023 Executive Order directed BIS to “require companies, individuals, and other organizations or entities that acquire, develop, or possess a potential large-scale computing cluster to report any such acquisition, development, or possession,” as its authority for the proposed rule.  BIS had previously released a mandatory survey for companies it had identified as “developing or planning to develop potential dual-use foundation models.”  This proposed rule now sets forth further reporting requirements, as well additional details on the rationale for the survey – rationale that could have serious implications for government contractors.Continue Reading Every Quarter, On the Quarter:  BIS Proposes New Reporting Requirements for the Development of Advanced Artificial Intelligence Models and Possession of Large-Scale Computing Clusters

This is part of an ongoing series of Covington blogs on the implementation of Executive Order No. 14110 on the “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence” (the “AI EO”), issued by President Biden on October 30, 2023.  The first blog summarized the AI EO’s key provisions and related OMB guidance, and subsequent blogs described the actions taken by various government agencies to implement the AI EO from November 2023 through July 2024.  This blog describes key actions taken to implement the AI EO during August 2024.  It also describes key actions taken by NIST and the California legislature related to the goals and concepts set out by the AI EO.  We will discuss developments during August 2024 to implement President Biden’s 2021 Executive Order on Cybersecurity in a separate post. Continue Reading August 2024 Developments Under President Biden’s AI Executive Order

This is part of an ongoing series of Covington blogs on implementation of Executive Order 14028, “Improving the Nation’s Cybersecurity,” issued by President Biden on May 12, 2021 (the “Cyber EO”).  The first blog summarized the Cyber EO’s key provisions and timelines, and subsequent blogs described the actions taken by various government agencies to implement the Cyber EO from June 2021 through June 2024.  This blog describes key actions taken to implement the Cyber EO during July 2024.  It also describes key actions taken during July 2024 to implement President Biden’s Executive Order on Artificial Intelligence (the “AI EO”), particularly its provisions that impact cybersecurity, national security, and software supply chain security.Continue Reading July 2024 Developments Under President Biden’s Cybersecurity Executive Order and AI Executive Order

This is part of an ongoing series of Covington blogs on implementation of Executive Order 14028, “Improving the Nation’s Cybersecurity,” issued by President Biden on May 12, 2021 (the “Cyber EO”).  The first blog summarized the Cyber EO’s key provisions and timelines, and subsequent blogs described the actions taken by various government agencies to implement the Cyber EO from June 2021 through May 2024.  This blog describes key actions taken to implement the Cyber EO, as well as the U.S. National Cybersecurity Strategy, during June 2024.  It also describes key actions taken during May 2024 to implement President Biden’s Executive Order on Artificial Intelligence (the “AI EO”), particularly its provisions that impact cybersecurity, national security, and software supply chain security.Continue Reading June 2024 Developments Under President Biden’s Cybersecurity Executive Order, National Cybersecurity Strategy, and AI Executive Order