AI Regulation Trojan Horse Risk Analyzer

Policy & Lobbying Levers

Regulatory Framework Tier

Incumbent Lobby Pressure 85%

Audit & Verification Frequency

Liability Cap Protections

Open Source Exemption Shield

Source Context (VP JD Vance): "It feels a little bit to me like a bit of a Trojan horse... big AI companies turning to the government for regulation while the administration wants to 'regulate smartly'."

Simulated Regulatory Consequences

Startup Compliance Burden

$420,000 / yr

Calculated OPEX

Startup Moat Index

78.4%

Market Contestability

Regulatory Capture Risk

Medium-High

Incumbent Entrenchment

Trojan Horse Vulnerability

Elevated

Moat disguised as safety

Policy Assessment: Under a Smart Regulation framework with 85% incumbent lobby influence, mandatory annual audits generate a $420,000 / yr overhead for early-stage ventures. Despite open-source shields, incumbent barrier creates a 78.4% moat index, posing an Elevated Trojan Horse vulnerability.

Trojan Horse AI Regulation Risk Analyzer Explained

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AI regulation proposals often mask incumbent capture as safety mandates. This model quantifies how compliance overhead locks in existing monopolies. Selecting Heavy Compliance or raising lobby pressure amplifies annual audit multipliers and base regulatory tier fees, raising startup costs. Simultaneously, the Startup Moat Index jumps into severe territory, illustrating how captured regulations create insurmountable walls for entrants.