Congress has decided against incorporating AI preemption into the National Defense Authorization Act, allowing states to continue setting their own AI regulations. This move maintains state power to enforce stricter AI rules, emphasizing public safety over a unified federal approach. Despite lobbying from tech giants like Meta, OpenAI, and Google for a national framework, lawmakers deemed AI preemption unsuitable for a defense-focused bill. This decision follows the Senate's earlier rejection of similar proposals, amid a surge of over 50 AI-related bills introduced at the state level in 2024. The decision underscores the ongoing debate over federal versus state control in AI governance.