The Exchange Weekly Newsletter - 12.15.2025
Federal-state AI collision intensifies, agent interoperability becomes table stakes, React2Shell exploited within 48 hours, infrastructure becomes strategic discipline
This past week marked the moment when abstract AI policy debates crystallized into concrete executive action, procurement mandates, and compliance deadlines that technology and security leaders can no longer treat as theoretical. The White House signed an executive order explicitly challenging state AI laws, created an AI Litigation Task Force with a 30-day formation deadline, and tied remaining Broadband Equity Access and Development funds to state compliance with federal AI preferences. In parallel, the Office of Management and Budget issued Memorandum M-26-04 requiring federal agencies to demand “truth-seeking” and “ideological neutrality” from large language model vendors, complete with documentation requirements and contractual language that will reshape how government buys AI.
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