Bill Summary
The "Small AI Innovators Empowerment Act" is a proposed legislation that seeks to address the challenges faced by small artificial intelligence (AI) businesses in the United States. The bill authorizes the Department of Commerce, specifically through the National Institute of Standards and Technology (NIST), to conduct a comprehensive study on various obstacles these businesses encounter.
Key components of the study include:
1. **Funding Opportunities**: Analyzing available federal and non-federal funding sources, including early and seed funding, and the accessibility and impact of these funds on small AI businesses.
2. **Tax Credits**: Examining the use of research and development tax credits and how changes to these credits affect small AI firms.
3. **Support Systems**: Assessing the role of accelerators and incubators in helping establish small AI businesses.
4. **Federal Policy Impact**: Investigating how federal policies influence small AI firms, including technological disparities compared to larger businesses, regulatory uncertainties, and the effects of partnerships and competition policies.
5. **Talent Challenges**: Analyzing difficulties in recruiting and retaining skilled talent within the AI sector.
6. **Additional Challenges**: Identifying other relevant challenges faced by these businesses, as determined by the Secretary of Commerce.
7. **Recommendations**: Providing proposals and recommendations to address the identified challenges.
The bill defines a "United States small artificial intelligence business" as a for-profit entity primarily engaged in AI activities, headquartered in the U.S., with 250 or fewer employees. The legislation aims to empower these businesses to contribute significantly to the U.S. economy and enhance their competitiveness in the AI field.
Possible Impacts
The "Small AI Innovators Empowerment Act" could affect people in several ways, including:
1. **Increased Access to Funding**: By analyzing various funding opportunities, the legislation may lead to enhanced access to federal and non-federal resources for small AI businesses. This could empower entrepreneurs and startups in the AI sector to secure the capital they need to develop their technologies, potentially leading to job creation and economic growth in their communities.
2. **Support for Talent Recruitment and Retainment**: The study's focus on talent recruitment and retention challenges could lead to recommendations and policies that make it easier for small AI businesses to attract and keep skilled workers. This could improve career opportunities for individuals in the AI field, resulting in a more robust workforce and innovation within the industry.
3. **Improved Policy and Regulatory Framework**: The examination of the downstream impacts of federal policy on small AI businesses could result in more favorable regulatory conditions and clearer guidelines for operation. This could reduce uncertainty for entrepreneurs, making it easier for them to plan for the future, pursue partnerships, and explore growth opportunities, ultimately benefiting both the businesses and the consumers they serve.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7968 Introduced in House (IH)]
<DOC>
119th CONGRESS
2d Session
H. R. 7968
To authorize the Department of Commerce to carry out a study on
challenges faced by United States small artificial intelligence
businesses, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 17, 2026
Mr. Subramanyam (for himself, Mr. Obernolte, and Mr. Gottheimer)
introduced the following bill; which was referred to the Committee on
Science, Space, and Technology
_______________________________________________________________________
A BILL
To authorize the Department of Commerce to carry out a study on
challenges faced by United States small artificial intelligence
businesses, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Small AI Innovators Empowerment
Act''.
SEC. 2. STUDY ON CHALLENGES FACED BY SMALL ARTIFICIAL INTELLIGENCE
BUSINESSES.
(a) In General.--Subject to the availability of appropriations, the
Secretary of Commerce, acting through the Director of the National
Institute of Standards and Technology, and in consultation with the
Administrator of the Small Business Administration, shall seek to enter
into an agreement with an appropriate entity with relevant expertise,
as determined by the Director of the National Institute of Standards
and Technology, which may include a federally funded research and
development center, to conduct a study on challenges faced by United
States small artificial intelligence businesses located across the
United States.
(b) Elements.--The study under subsection (a) shall include the
following:
(1) An analysis of Federal and non-Federal resource funding
opportunities for United States small artificial intelligence
businesses, including relating to the following:
(A) Data on early and seed funding sources.
(B) Accessibility of Federal funding opportunities,
timeline of receiving such funding, and the impact of
physical asset collateral and other loan requirements
on United States small artificial intelligence
businesses.
(C) Availability and use of non-Federal funding
opportunities.
(2) Usage of research and development tax credits, and the
impact of tax credit restrictions or changes on United States
small artificial intelligence businesses.
(3) Usage of accelerators and incubators in the process of
establishing United States small artificial intelligence
businesses.
(4) An analysis of downstream impacts of Federal policy on
United States small artificial intelligence businesses,
including an assessment of technology stacks, with
consideration of the following:
(A) Differences in usage of artificial intelligence
tools between United States small artificial
intelligence businesses and other businesses across the
infrastructure, model, and application layers of the
artificial intelligence ecosystem, and the role of
access to computing resources, cloud services, and
data.
(B) Impact of regulatory uncertainty on exit
strategies and acquisition opportunities for United
States small artificial intelligence businesses.
(C) Impact of partnerships with larger firms and
competition policy frameworks on opportunities for
growth of United States small artificial intelligence
businesses.
(5) An analysis of talent recruitment and retainment
challenges faced by United States small artificial intelligence
businesses.
(6) An analysis of any other potential challenges faced by
United States small artificial intelligence businesses the
Secretary determines appropriate.
(7) Proposals and recommendations to address any such
challenges.
(c) Definitions.--In this section:
(1) Artificial intelligence.--The term ``artificial
intelligence'' has the meaning given such term in section 5002
of the National Artificial Intelligence Initiative Act of 2020
(15 U.S.C. 9401).
(2) United states small artificial intelligence business.--
The term ``United States small artificial intelligence
business'' means a business that creates, develops, or
customizes artificial intelligence products or services as its
primary business activity and that--
(A) is headquartered in the United States;
(B) is organized for profit;
(C) operates primarily within the United States or
makes a significant contribution to the United States
economy through payment of taxes or use of American
products, materials, or labor;
(D) is independently owned and operated, including
a business that is backed by private funding, equity
financing, or an institutional investor; and
(E) employs 250 or fewer people.
(3) Technology stacks.--The term ``technology stacks''
means the collection of technologies, tools, and infrastructure
utilized by such businesses.
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