Tech Voices: Trump’s AI executive order, toymaker pulls ChatGPT toys

Seeking Alpha’s statements, announcements, and remarks that could impact the technology sector.

  • President Trump has reportedly prepared a draft executive order aimed at undermining state laws regulating AI.

The draft EO directs the Justice Department to create an AI Litigation Task Force with the intent of challenging state AI laws and preempting them with less restrictive federal guidelines, according to CNN.

The White House told CNN that discussion about potential orders is speculative.

  • CNN also said that a teddy bear equipped with OpenAI’s (OPENAI) ChatGPT 4o chatbot has been temporarily pulled from the market over concerns that it could engage in inappropriate conversations with youngsters.

Singapore-based Folo Toys pulled the bear along with its other AI-enabled toys after researchers at the US PIRG Education Fund reported they were able to dispense dangerous information, such as how to light a match, and discuss sexually explicit subjects. The company now plans to conduct an internal safety review of the toys, according to CNN.

PIRG said OpenAI has since suspended the toy company for violating its policies, CNN added.

Microsoft (MSFT) is a major investor in OpenAI.

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