Before policymakers regulate AI, they need to understand a fundamental technology: neural networks.
Congress needs to act on child care challenges
The video game industry is concentrated in a handful of locations, leaving incredible talent in underserved areas frequently overlooked. Ben Kvalo started Midwest Games to change that narrative, supporting underrepresented game developers because increasing diversity in game development leads to better products and bigger markets. Ben recently joined us to talk about Midwest Games, the challenges of raising capital in the Midwest, the importance of small developers in maintaining a healthy video game ecosystem, and the potential benefits of AI for the industry.
Engine statement on SCOTUS Decision in Moody v. NetChoice and NetChoice v. Paxton
Consumer weather models are too coarse for farms and conservancies that are large enough to occupy their own microclimates. Dr. Carlos Gaitan started Benchmark Labs to solve this problem, leveraging artificial intelligence to create custom weather models for farmers and conservators—helping them increase their crop yield and better manage their land. Carlos recently sat down with us to discuss Benchmark Labs, his experience as an immigrant founder, the value of government funding for startups, and how policymakers should approach AI policy.
The Big Story: Changes to copyright rules would hurt news, commentary startups, and free expression. As a few countries adopt or consider laws that would require websites to pay whenever they—or their users—link to or quote a news article, the U.S. Copyright Office is studying what those sorts of laws would mean here. In comments this week, Engine emphasized the substantial unintended consequences of such policies, which would not just alter how information is shared and communicated online, but cause problems for startups and innovation.
The Engine team is grateful for the startups in our network and the opportunities we have had this year to raise their voices in the policy conversations with lawmakers. As we wrap up the holiday season and enter 2022, we want to highlight the incredible startups in our network whose work has contributed to a better and brighter startup ecosystem. We celebrate the startups in our network who have continued to build innovative solutions, bridged inequitable gaps, and have contributed to a vibrant startup ecosystem across the U.S.
The Big Story: Congress talks online content, but startups are sidelined. As Congress continues the drumbeat of complaints about user-generated content on the Internet, the conversation misses the realities of content moderation and the role content moderation plays for startups.
Debates about the intermediary liability framework provided by Section 230 have animated policy conversations as lawmakers grapple with harmful online content, including around election integrity, health information, and children’s safety. But those debates are almost exclusively focused on the largest Internet companies. Section 230, however, applies to all services of all sizes that host all types of user-generated content, including startups.
The Big Story: Startups watch as Congress considers tech nominees. This week, Senate committees weighed in on several individuals President Joe Biden nominated to key tech leadership roles, shedding some light on the direction the nominees might take to support startup innovators. In a series of hearings, Senators considered acting Federal Communications Commission (FCC) Chair Jessica Rosenworcel and FCC nominee Gigi Sohn, as well as Alan Davidson, who was nominated to lead the National Telecommunications and Information Administration (NTIA), Federal Trade Commission nominee Alvaro Bedoya, and Kathi Vidal, who was nominated to lead the Patent and Trademark Office.
The Big Story: Making the startup ecosystem more equitable. Startup founders with innovative ideas should have the chance to succeed, no matter where they’re located or what they look like. But too often, underrepresented founders—including women and founders of color—are denied the opportunity to get investments, launch, and grow. This week, Engine released an assessment of barriers that underrepresented founders face as well as policy proposals to alleviate those barriers.
The Big Story: Immigration in play in reconciliation bill, but path unclear. As the House eyes a path forward on the reconciliation bill, newly-added language would create temporary protections for millions of undocumented immigrants, which could make it easier for foreign-born innovators, founders, and STEM talent to stay and work in the U.S.
Today in Lisbon, Portugal, a collection of European nations launched the European Startup Nations Alliance, a formal body to support the implementation of the Startup Nations Standard. The standards, originally announced in March, are eight best practices designed to accelerate startup growth on the European continent and “make the European Union the most attractive” place to launch and grow a startup.
The Big Story: Biden puts up key tech, telecom nominees. This week, President Biden announced several long-awaited nominations that, if confirmed, will serve key roles in setting technology and telecom policies that impact the startup ecosystem.
The Big Story: Policymakers turn attention to patent policy. Over the past weeks, there have been several indications policymakers across D.C. are thinking about the various roles patents play in innovation policy—both recognizing their potential to support innovators but also seeking to understand how low-quality patents hurt startups and small businesses.
The Big Story: New tax deal could impact global startup ecosystem. Officials from around the world are moving forward with a new tax deal that would shift current tax laws and stands to impact both large companies and startups. G20 Finance Ministers this Wednesday endorsed the agreement that 136 countries agreed on last week, which would tax businesses based on where their goods and services are consumed—a shift from taxation based on physical presence. The deal would also set a new global minimum tax of 15 percent.
The Big Story: Congress hears about startups’ need for clear data rules. Lawmakers have turned back to discussions of a federal privacy framework, including at a hearing this week on data security, which featured testimony from Engine focused on how startups need clarity and certainty around data security practices.
The Big Story: SHOP SAFE bill advances despite potential to harm e-commerce startups and small businesses. In a first vote this week, the House Judiciary Committee advanced the SHOP SAFE Act, a bill that would create substantial costs and risks for e-commerce startups—making it harder for them to compete—and erect new barriers for entrepreneurs and small businesses who want to sell goods online.
The Big Story: Congress hits roadblock on immigration reform
A potential pathway to citizenship for Dreamers—a group critical to the startup ecosystem—was derailed this week when the Senate Parliamentarian blocked Democrats’ efforts to include immigration reform in the $3.5 trillion reconciliation bill. Many Dreamers are entrepreneurs, and, as a group, they employ over 86,000 individuals across the country. Legislators are now considering alternative proposals to ensure immigration provisions remain a priority.
In a series of State Policy Updates, we are exploring how state initiatives are impacting the innovation happening in startup ecosystems across the country. While much of Engine’s work centers on policy advocacy and education in the federal landscape, state-based policymakers impact startup formation and growth through their own work. We’re tracking what’s working for startups, what’s falling short, and what federal policymakers can learn from their state-level counterparts.
The America Invents Act (AIA), signed into law ten years ago today, was the most substantial update to the U.S. patent system in recent memory. Reflecting on the past ten years reveals the ways in which the AIA has supported startup success but also shows room for improvement.
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