The basics:

• NJ has launched major AI initiatives at Princeton, NJIT and Rutgers.
• AI could impact nearly 50% of work hours, creating new value.
• Tech leaders call for simpler AI policies and investor incentives.

New Jersey’s innovation engine is revving. In the past year alone we’ve green-lit millions in AI investments, launched an AI hub in Princeton, kicked off the NJII Venture Studio at NJIT’s Paul Profeta Center in Newark, as well as TechUnited:NJ’s venture studio BetterFutureLabs in partnership with Rutgers. These moves aren’t ivory-tower science projects – they’re jet fuel for the scrappy founders turning bold ideas into world-changing companies. If we keep the throttle down and stay out of our own way with red tape, we’ll transform smart bets into lasting economic wins.

AI isn’t tomorrow’s story; it’s reshaping work right now. PwC estimates the tech can enhance nearly half of all working hours by stripping out the mind-numbing tasks none of us were hired – or wired – to do. That means more time for big-picture creativity, faster product cycles and higher-value jobs. Globally, AI is on track to be a $1.3 trillion market by 2032. The question is simple: will we capture that upside here or watch it fly overhead?

Early-stage startups are where the magic happens. They don’t have litigation armies or billion-dollar R&D labs. They have speed, hustle and the guts to tackle real problems with fresh code. Give them access to capital, talent, and customers and they’ll give the Garden State durable growth, high-wage jobs and headline-grabbing exits.

Here’s what that takes:

• Keep the policy playbook simple. Trenton is already floating a stack of AI bills – so many that it feels like we have more proposed regulations than actual AI companies in the entire state. Well-intentioned, sure – but if they pile up like Jenga blocks we’ll suffocate the very companies we’re trying to help. Guardrails are smart; a maze is fatal.
• Unleash capital with QSBS parity. Forty-five states recognize the federal Qualified Small Business Stock exemption. We don’t – so investors get a tax break in almost every other ZIP code around the country. This is actively driving entrepreneurs and investment out of N.J. Aligning with QSBS is the fastest, cheapest way to flood New Jersey startups with growth capital and keep them headquartered here.
• Put founders at the table. Policy works best when the people living the problem help write the solution. TechUnited:NJ stands ready to continue to bring real-time founder feedback to legislators so rules evolve with the market, not months behind it.

We’ve done this before. Edison lit up Menlo Park. Bell Labs gave the world the transistor and, frankly, the modern digital age. Those breakthroughs happened because New Jersey let innovators build, experiment and scale. We can do it again – only this time the prize is a global AI industry that will define the next century of work.

Let’s make sure the companies that change the world are proud to include “Made in NJ, empowering the world” in their messaging. Cut the friction, line up the incentives, and watch the flywheel spin: ideas → startups → jobs → reinvestment. That’s how we keep talent here, attract even more, and cement our reputation as the state where innovation isn’t just history – it’s the headline.

Aaron Price is president & CEO of TechUnited:NJ, a nonprofit built to empower entrepreneurs, innovators and instigators to build a better future for New Jersey and beyond.