This sounds correct. My only hope is since AI will be regulated in the US, there is still a chance that given other countries do not have the same leverage as the US, they will keep AI unregulated as a way to avoid being controlled by the US.
AI will not be regulated in the US because the first amendment prohibits such regulation. Software is speech and is this protected per Bernstein v DOJ.
You can distribute binaries as speech but the services you're offering as an API is a different matter, more interstate commerce, what you're allowed to sell as opposed to what you're allowed to say
"software is speech" .. if speech is taken to be solely a means of communication between humans, this statement has been untrue ever since Turing