The California Chamber of Commerce today launched a broad public awareness campaign urging state officials to ensure that California remains the global leader in developing and supporting the artificial intelligence (AI) economy.
The campaign features digital advertisements and videos to be widely distributed across various media platforms and in public locations over the next several weeks as state lawmakers conclude their work for the year. Its goal is to highlight the importance of thoughtful, pro-growth regulations for an industry that’s put California on the map as the natural epicenter of AI innovation and entrepreneurship.
Working Together
“We want California’s elected officials to work with us in helping ensure our state continues to be where the story of AI’s exciting future is written for years to come,” said CalChamber President and Chief Executive Officer Jennifer Barrera. “It’s important to avoid imposing any uneven, only-in-California regulations that will make it harder for us to compete.”
California is home to 32 of the world’s leading 50 AI companies. Preliminary data show 2025 is likely to be a significant milestone in AI-startups, with many of these new efforts taking root in the San Francisco Bay Area. AI entrepreneurs raised $74.6 billion in venture capital in just the first six months of the year, The Washington Post noted recently – more than triple the total amount of VC commitments over the same period in 2024.
CalChamber’s campaign makes clear that to maintain California’s leadership and harness AI’s full promise for everyone, elected officials should strive to avoid the type of over-regulation that could styme the state’s competitiveness.
AI Potential
AI holds immense potential to drive progress and solve complex challenges – the kind of technological innovation embraced by California for decades. The state’s AI economy will continue to grow under a balanced, risk-focused regulatory framework that permits – not stifles – safe innovation.
Adding too many hurdles could incentivize California-based companies to expand elsewhere, resulting in a multi-billion dollar missed opportunity for the state’s economy.
CalChamber urges an approach to regulation that is focused on demonstrable risks, aligning with national and global efforts designed to protect Californians while unlocking AI’s transformative potential.
Economic Impact
In 2023, a specific AI-related sector in California employed about 111,259 people across 3,496 establishments, paying out $24 billion in wages. That’s an average annual wage of $215,968 — far above the state average, according to an analysis by Encina Advisors.
That same analysis found that the AI sector alone generated approximately $1.86 billion in state income taxes in 2023.
California’s overall tech sector — a broader category that includes AI — accounts for $542.5 billion in direct economic impact, making up about 16.7% of the state’s gross domestic product (GDP), according to Digital Silk.
