This bill increases transparency and reduces national‑security risks from foreign‑linked AI for federal systems, but does so at the cost of added agency workload, procurement and compliance expenses, potential operational disruption, and reputational risks for vendors.
Federal agencies and taxpayers gain a public, regularly updated list of AI products tied to foreign adversaries, increasing transparency and enabling oversight of federal AI procurement.
Federal agencies can avoid procuring or using AI from hostile foreign entities, reducing supply‑chain and national security risks to sensitive systems and data.
The law preserves mission‑critical operational exceptions (including counterterrorism/counterintelligence) so agencies can maintain essential capabilities while managing foreign‑origin AI risks.
A broad definition of 'foreign adversary entity' risks sweeping in subcontractors and third parties, complicating vendor relationships and compliance across supply chains.
Overbroad listings and a fast, across‑the‑board avoidance of flagged products could restrict access to useful AI tools and disrupt agency operations.
Agencies may face increased procurement and transition costs to replace disallowed AI, raising expenses for taxpayers and complicating budgets.
Based on analysis of 3 sections of legislative text.
Requires a public FASC list of AI from designated foreign adversaries and directs agencies to review and consider excluding listed AI, with limited exceptions.
Introduced June 25, 2025 by Richard Lynn Scott · Last progress June 25, 2025
Requires the Federal Acquisition Security Council (FASC) and OMB to publish and maintain a public list of AI products or services produced or developed by a defined "foreign adversary," and directs executive agencies to review and consider excluding or removing listed AI from federal use. Agencies must complete reviews quickly and may approve limited exceptions for valid research, testing, counterterrorism/counterintelligence, or to avoid harming mission-critical functions, with required notifications to OMB and certain congressional committees.