How AI Regulation Changed in 2025

In 2025, the landscape of AI regulation significantly evolved, with enterprise security questionnaires incorporating AI sections and customers demanding model cards and evaluation reports, driven by regulatory changes with 2026 deadlines. U.S. federal policy saw Executive Orders shaping procurement requirements, notably for large language models (LLMs), with agencies needing to update their policies by March 2026 to ensure compliance with principles like truth-seeking and ideological neutrality. State laws, such as California's training data transparency law and Colorado's algorithmic discrimination requirements, reflect a focus on deployment harms, while internationally, the EU and China introduced their own AI regulations, emphasizing documentation, evaluation, and provenance. The shift toward agentic AI systems, capable of complex interactions and tool usage, has complicated compliance, necessitating thorough testing and documentation. Builders are urged to make their AI systems' behaviors measurable and explainable to meet diverse regulatory expectations in a rapidly changing environment.