Innovation and Technology

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Innovation and Technology

Advancements in technology have long shaped business productivity and economic growth. Today, employers and employees across the Commonwealth are grappling with new technologies, including artificial intelligence tools, which provide both challenges and opportunities.

The widespread adoption of new technologies creates an environment ripe for entrepreneurship and new industries.
To seize this opportunity, all businesses across Virginia must have access to the critical infrastructure and technology capabilities needed to thrive.

The recommendations in this section provide a comprehensive policy framework to drive economic growth through technology and innovation through 2035 and beyond.

Recommendations

Artificial Intelligence

Digitize data and information and implement ethical AI solutions in government operations to modernize services, reduce administrative costs, and improve permit processing times
Develop programs to integrate responsible and trustworthy AI technologies into business operations that enhance productivity and workforce efficiency while providing guidance and model policies regarding AI use by employees
Advocate for cohesive federal-level, industry-specific AI regulations while maintaining state-level oversight focused on protecting data privacy and preventing unlawful and unethical applications
Develop and implement new workforce training resources and improve visibility and access to existing training resources to strengthen workplace skills essential in an AI-enabled workplace for incumbent workers, those transitioning industries, and those seeking new opportunities
Quickly establish AI-related curricula and classroom use policies in the K-12 system and at higher education institutions that encourage appropriate AI training and usage for students
Develop and provide training in business process redesign, systems thinking, and change management for managers who are leading the deployment of ethical AI tools and resources in a rapidly changing workplace

Broadband, Cybersecurity, and Digital Infrastructure

Expand access to broadband to achieve universal high-speed internet coverage across Virginia with priority in unserved areas and continued use of performance metrics tied to public investment to ensure timely project delivery
Strengthen digital and physical infrastructure security for data centers, cloud computing facilities, advanced manufacturing sites, and private telecommunications networks, including examining and updating existing state statutes to properly define and protect private infrastructure from theft and vandalism
Create small business and local government cyber protection programs providing training, risk assessment tools, and security resources, including resources for Cyber Maturity Model Certification (CMMC) compliance
Expand cloud, digital, and energy infrastructure investments in targeted growth regions
Establish a process for the safe and secure relocation of telecommunications facilities in the public rights of way, including the creation of a permanent funding source for the reimbursement of any relocation costs

Innovation Ecosystems and Research Commercialization

Reinstate and expand research and development (R&D) tax credits and incentives for Virginia businesses
Create and expand university-industry partnerships focusing on technology transfer in the quantum computing, artificial intelligence, energy, biotechnology, pharmaceuticals, aerospace, defense, and advanced manufacturing sectors
Develop regional innovation districts through public-private partnerships with both public and private nonprofit educational institutions
Increase applied research funding for priority sectors including energy, biotechnology, pharmaceuticals, aerospace, defense, quantum computing, and artificial intelligence
Establish innovation hubs with shared makerspaces, testing facilities, and business incubators

Entrepreneurship and Start-up Growth

Expand early-stage venture capital access through the Virginia Innovation Partnership Corporation and programs such as Lab to Launch
Simplify regulatory processes for technology companies and emerging industries
Support and expand technical assistance programs and access to capital for entrepreneurs, including first-time founders and small business owners seeking to expand or enter new industries
Create regulatory sandboxes for testing emerging technologies in quantum computing, artificial intelligence, biotechnology, energy, aerospace, and autonomous systems