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119-s-1775119th CongressWALLET

Protecting AI and Cloud Competition in Defense Act of 2025

Sponsored By: Senator Warren, Elizabeth [D-MA]

Introduced

Summary

This bill would tighten how the Department of Defense buys cloud services and foundation AI models to protect government data and keep competition healthy. It focuses on giving the government clear control over its data and on forcing competitive, multi-cloud procurement choices for AI and cloud systems used by DoD.

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  • Acquisition teams must run competitive procurements for cloud computing, data infrastructure, and foundation model solutions and prioritize multi-cloud technology unless it is infeasible or creates a substantial national security risk. This aims to improve security, resiliency, interoperability, and competition.
  • Covered providers face new limits on using Government-furnished data. The bill would require the Government to retain exclusive rights to access and use its data and would bar using that data to train commercial products without express authorization. A "covered provider" is defined by a $50 million DoD contract threshold over the past five fiscal years and violations carry fines or contract termination.
  • Oversight increases with a report due January 15, 2027 and annually for four years. The report must assess competition, market concentration, and list any exemptions given, and a public version must be posted on the Department of Defense website.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 0 benefits, 1 costs, 2 mixed.

New DoD rules for cloud and AI

This bill would make the Department of Defense change how it buys cloud, data, and AI services. It would require competition and favor modular, multi-cloud designs when safe. The government would keep exclusive rights to use and access all Government data. Government-furnished data could not be used to train or improve a vendor's commercial products without DoD permission. Violations could bring fines or contract termination. National-security exemptions could be issued but must be reported to the DoD chief AI official. These rules would take effect upon enactment.

Which companies face new DoD rules

This bill would define a "covered provider" for DoD rules. A company would be a covered provider if it had at least $50,000,000 in DoD contracts in any of the prior five fiscal years. Covered providers would be subject to the bill's procurement and data-use requirements. This rule would take effect upon enactment.

Which AI models count as foundation

This bill would define a "foundation model" for DoD procurement. A model would qualify if it either (A) uses self-supervision, has at least 1,000,000,000 parameters, and works across many contexts, or (B) performs or could be modified to perform high-risk tasks that threaten security, the economy, public health, or safety. Models that meet this definition would fall under the bill's procurement and data-use rules. This definition would take effect upon enactment.

Sponsors & CoSponsors

Sponsor

Warren, Elizabeth [D-MA]

MA • D

Cosponsors

  • Sen. Schmitt, Eric [R-MO]

    MO • R

    Sponsored 5/15/2025

Roll Call Votes

No roll call votes available for this bill.

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