Key Takeaways:
- The South Carolina Small Business Chamber of Commerce is advocating for artificial intelligence (AI) regulation as the state’s legislative session approaches
- AI poses serious risks, including the potential for grooming children for sexual exploitation and providing inadequate mental health support
- 47 states currently have bills to manage AI use within the healthcare space, with a focus on mental health services
- A conflict is expected between states that pass AI regulations and President Donald Trump’s executive order blocking state AI oversight
- A legal battle may ensue, testing the power of the executive order and the authority of states to regulate AI
Introduction to AI Regulation
The South Carolina Small Business Chamber of Commerce is pushing for artificial intelligence regulation as the state’s legislative session approaches. According to Frank Knapp, president and CEO of the SC Small Business Chamber of Commerce, AI poses serious risks that require immediate state action. As Knapp stated, "What we don’t want is artificial intelligence grooming our children for sexual exploitation and for them to commit harm to themselves even suicide. The same happens with adults that look for emotional counseling with these AI chat boxes. That is a serious problem." This concern highlights the need for regulation to prevent the potential misuse of AI, particularly in sensitive areas such as mental health services.
Healthcare Focus Drives State Action
The push for AI regulation is driven in part by concerns about its role in mental health services. Knapp noted that 47 states currently have bills to manage AI use within the healthcare space, with a focus on mental health applications. Charleston resident Will Vandergrift expressed support for regulation, particularly in this area, stating, "AI should not be used as a mental health provider at all. I don’t think that is, I don’t think you can replace a human’s expertise with something as nuanced as the human psyche." This perspective underscores the importance of human expertise in mental health services and the need for caution when using AI in this context.
Federal-State Conflict Expected
President Donald Trump’s executive order blocking state AI oversight is expected to create a conflict with states that pass AI regulations. Knapp argued that states cannot wait for federal action, stating, "We just can’t wait for down the road. It’s all happening now and it’s up to the states. Congress is not going to do anything to regulate the negatives out of AI." This sets the stage for a potential legal battle between states that pass AI regulations and the president, testing the power of the executive order. The outcome of this conflict will have significant implications for the future of AI regulation in the United States.
The Need for Immediate Action
The South Carolina Small Business Chamber of Commerce is advocating for immediate state action to regulate AI, citing the potential risks and consequences of inaction. As Knapp emphasized, the issue is urgent, and states must take the lead in addressing the negative consequences of AI. The fact that 47 states are already considering bills to manage AI use within the healthcare space suggests that there is a growing recognition of the need for regulation. However, the conflict with the federal government’s executive order may slow or hinder progress in this area, highlighting the need for a coordinated and comprehensive approach to AI regulation.
Conclusion and Future Outlook
The debate over AI regulation is likely to continue, with states pushing for greater oversight and the federal government resisting these efforts. As the use of AI becomes increasingly prevalent in various aspects of life, including healthcare and mental health services, the need for effective regulation will only grow. The outcome of the conflict between states and the federal government will have significant implications for the future of AI development and deployment in the United States. As Knapp noted, "It’s all happening now, and it’s up to the states" to address the challenges and risks associated with AI. Ultimately, a balanced approach that takes into account the benefits and risks of AI will be necessary to ensure that this technology is developed and used in a responsible and beneficial manner.
https://www.live5news.com/2026/01/03/south-carolina-group-pushes-ai-regulation-ahead-legislative-session/


