Entrepreneurs Flocked to Colorado. Now Red Tape Is Driving Some Away

Proposed AI bill has many wondering whether state’s regulations killing its entrepreneurial spirit

By Owen Tucker-Smith of The WSJ. Excerpts:

"A widely circulated report last month from the state’s chamber of commerce reported a loss of publicly traded companies based in the state, estimating that Colorado had lost workers from some 98 firms to relocations or failed site-selection opportunities since 2019."

"Companies’ latest complaint is over a landmark state bill regulating artificial intelligence. A previous version of the bill would have required companies to take steps to reduce the risk that AI-based algorithms used for high-stakes decisions such as employment or healthcare discriminate against users."

"The state added half a million jobs in the mid-2010s as startup culture and domestic migration drove explosive growth, but the economy has recently grown sluggish."

"Blake Scholl, chief executive of the Denver-based aviation company Boom Supersonic, moved to Colorado a decade ago, inspired by its thriving business climate, but said the pileup of regulations has delayed his construction projects."

"the AI bill would add compliance costs and distract attention from companies when they need to focus on winning the AI race."