Texas Challenges AI Boundaries With Striking New Governance Law - a State vs. Federal Showdown

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texas ai governance law
Published on:June 26, 2025
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AI New Revolution Team
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While states across the nation race to regulate artificial intelligence, Texas has ultimately joined the party. Governor Greg Abbott signed the Texas Responsible Artificial Intelligence Governance Act (TRAIGA) into law on June 22, 2025. The Lone Star State isn't exactly leading the charge—California, Colorado, and Utah beat them to it. But hey, fourth place isn't bad.

The law kicks in January 1, 2026. Started as House Bill 1709, it ended up as HB 149 with watered-down provisions. Typical legislative diet plan: ambition goes in, compromise comes out.

TRAIGA casts a wide net. It applies to anyone developing AI in Texas, producing AI products used by Texans, or doing AI business in the state. Period. The definition? Basically any machine system generating content or decisions that influence environments. Pretty broad stuff. Privacy concerns are mounting as these systems collect extensive personal data from citizens.

What's interesting is what got cut. The original bill had teeth for private sector regulation. The final version? Not so much. It's mostly focused on government agencies and a handful of private sector risks. Texas lawmakers clearly didn't want to scare off tech companies with too many rules. Money talks.

Government agencies face the real restrictions. They must provide clear notice when using AI systems in citizen interactions. No hiding behind algorithms. No dark patterns. No sneaky robot stuff.

The law does have some absolute no-nos. Social scoring systems? Banned. AI designed to manipulate people toward violence or crime? Illegal. The use of biometric identification without consent is also strictly prohibited. These guardrails apply to both government and private actors.

For enforcement, Texas established a regulatory sandbox program and created the Texas Artificial Intelligence Council to oversee compliance. They're serious about preventing AI misuse while still promoting innovation.

Will it work? Who knows. As AI legislation pops up across more states, Texas wants to position itself as business-friendly while still addressing the scariest AI risks. Classic Texas. All hat, just enough cattle.

Violations of TRAIGA will be exclusively investigated by the Texas Attorney General, with penalties ranging from $10,000 to $200,000 depending on the severity of the offense.

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