Viriginia & Texas leading on supporting AI innovation

R Street says that if we want to look for a way to regulate AI without impeding innovation look to Virginia and Texas. 900 bills regulating AI have been proposed in 2025. Virginia Governor vetoed HB 2094 because its “rigid framework fails to account for the rapidly evolving and fast-moving nature of the AI industry and puts an especially onerous burden on smaller firms and startups that lack large legal compliance departments.”

They also say that Texas’ HB 149 (2025 | TX) removed problematic issues that mirrored Virginia’s vetoed legislation.

Governing | More States Reject Fear-Based AI Regulation