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Elizabeth Warren Warns Of AI Policy That Could Create Long-Term Problems For National Security
Forbes Breaking News
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5/5/2025
During a Senate Armed Services Committee hearing on Tuesday, Sen. Elizabeth Warren (D-MA) spoke to nominees about AI guidance.
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00:00
Thank you, Senator Shaheen. Senator Warren.
00:03
Thank you, Mr. Chairman. Thank you for being with us today.
00:07
So, artificial intelligence presents big opportunities and big risks for national security.
00:14
Federal agencies should benefit from AI innovation, but instead,
00:20
a few big tech companies could lock the government into expensive, anti-competitive products.
00:27
I'm working with Senator Schmidt on this, and last month, the Office of Management and Budget
00:33
published guidance to ensure that the government can, quote,
00:37
benefit from a competitive American AI marketplace.
00:42
The guidance does not apply to DoD, but is all the more important at DoD,
00:47
given the billions of dollars that DoD is set to give out in AI and cloud contracts.
00:54
So, today, I want to just run through some of the lessons from OMB's guidance.
01:00
Number one, interoperability.
01:02
A big tech contractor could build its cloud tool so that it works only with its own AI,
01:09
which would trap DoD into paying sky-high prices, potentially for subpar products.
01:16
And that is why OMB encouraged agencies to require AI tools to work with other companies' products.
01:26
Mr. Candonazzi, do you agree that DoD would benefit from interoperability?
01:32
Senator, I appreciate the question.
01:34
I'm not familiar with the term interoperability as defined in that particular report,
01:37
but more broadly, in general, yes, it's a great thing for the department to secure.
01:41
Okay, good. I'm going to take that as a yes,
01:45
that you think the product should be able to work with other products, work in connection.
01:49
In general, more connectivity and flexibility to enable a networked approach is a good thing for software.
01:53
We're at the same place then.
01:55
Let's do another one, data use.
01:57
The biggest AI contractors can also stomp out competition
02:02
by training their models on troves of government data
02:06
so that smaller companies don't stand a chance.
02:10
This is a disaster for competition and a disaster for data security.
02:14
Data on the location of our service members or on DoD's contracts
02:19
should not be anywhere near a commercial AI model, for example.
02:25
The White House is clear here.
02:27
It says contractors should not use government data
02:30
to train publicly or commercially available AI algorithms
02:35
without an agency's permission.
02:38
So, Mr. Catanasi, do you agree it is important
02:41
for both competition and data security
02:44
to limit contractors from training their commercial tools on government data?
02:52
Senator, I appreciate the question.
02:54
And in general, yes, I'd say we want to make sure we're following the law
02:57
with regards to the application of these tools.
02:59
No, that's not my question.
03:00
This is not a question of law yet.
03:02
This is just a question of what we should be doing
03:04
in our acquisitions at DoD.
03:06
So, Senator, I'm not familiar with the White House
03:08
particular guidance on this issue,
03:10
but as you laid it out, it seems to make sense,
03:12
and I would be supportive of discussing that with you if confirmed.
03:15
Okay, look, government contracts for AI
03:18
and for cloud tools should, one, prevent lock-in,
03:22
and, two, protect government data.
03:24
That's all we're talking about here.
03:26
Senator Schmidt and I have a bipartisan bill
03:29
to make sure that DOD contracts do exactly that.
03:33
Next week, we will reintroduce the Protecting Cloud and AI Competition in Defense Act
03:41
to make sure that billions of dollars in DOD contracts
03:45
go toward fueling innovation in AI and cloud technology
03:49
and not just helping the biggest companies get even bigger.
03:53
So, let me ask you, Mr. Catanasi,
03:56
will you commit to working with me and with Senator Schmidt
03:59
to stop any competitive practices by big tech
04:03
that could threaten our national security?
04:06
Senator, artificial intelligence represents the most promising capabilities
04:11
for transformational productivity and impact of the department.
04:13
I would be thrilled if confirmed to work with you and Senator Schmidt on this issue.
04:17
That looks good.
04:17
I look forward to working with Senator Schmidt
04:19
and with you and all of the members of this committee.
04:22
I think we could make some real progress here.
04:25
Thank you, Mr. Chairman.
Recommended
5:32
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