The 10 States With The Largest AI Economies

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Since ChatGPT’s introduction in 2022, use of artificial intelligence has proliferated in both personal and professional contexts. According to a 2025 survey conducted by the Federal Reserve Bank of St. Louis, 55% of American adults use generative AI tools, including 37% of the workforce. AI’s explosive growth has been fueled by tech industry leaders pouring hundreds of billions of dollars into data center construction. This spending is also driving continued economic growth in the United States. 

Tech giants Alphabet, Amazon, Meta, and Microsoft stand out as the largest AI hyperscalers in the United States. These four companies are projected to allocate a combined $750 billion to AI infrastructure in 2026, a 77% increase from last year, according to a recent report from Goldman Sachs. Among the same four companies, AI-related capital expenditures are expected to hit a staggering $5.3 trillion between 2025 and 2030. 

Both the scale and economic impact of the AI boom is unprecedented. Research published by St. Louis Fed earlier this year shows that combined AI spending accounted for 39% of economic growth in the U.S. over the first three quarters of 2025. For reference, spending across similar categories – including research and development, equipment, and software – accounted for only 28% of GDP growth during the dot-com boom in 2000. 

While investment in AI infrastructure has been a boon for the U.S. economy as a whole, AI spending tends to be concentrated in certain pockets of the country. Several states are emerging AI hubs, and these places have seen an influx of billions of dollars in venture capital investment in recent years. 

Using data from the American Edge Project’s report America’s AI Surge, Climate Crisis 247 identified the states with the largest AI economies. We ranked all states with available data, including the District of Columbia, on VC investment in AI and machine learning technology between 2019 and 2025 as a share of annual gross domestic product. Calculations were made using 2025 GDP data from the Bureau of Economic Analysis. All supplemental data is from the American Edge Project. 

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10. District of Columbia

  • Venture capital investment in AI, 2019-2025: 1.1% of local GDP in 2025
  • Venture capital AI deals, 2019-2025: 135 ($2.1 billion value)
  • Net-change in tech sector jobs. 2019-2025: -1%
  • AI data centers in state: 7 existing; 0 planned

9. North Carolina

  • Venture capital investment in AI, 2019-2025: 1.1% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 369 ($9.8 billion value)
  • Net-change in tech sector jobs. 2019-2025: +27%
  • AI data centers in state: 102 existing; 44 planned

8. Washington

  • Venture capital investment in AI, 2019-2025: 1.1% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 897 ($10.2 billion value)
  • Net-change in tech sector jobs. 2019-2025: +20%
  • AI data centers in state: 134 existing; 9 planned

7. Utah

  • Venture capital investment in AI, 2019-2025: 1.3% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 275 ($4.2 billion value)
  • Net-change in tech sector jobs. 2019-2025: +25%
  • AI data centers in state: 44 existing; 86 planned

6. Colorado

  • Venture capital investment in AI, 2019-2025: 1.5% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 572 ($9.0 billion value)
  • Net-change in tech sector jobs. 2019-2025: +17%
  • AI data centers in state: 60 existing; 17 planned

5. Connecticut

  • Venture capital investment in AI, 2019-2025: 1.6% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 167 ($5.9 billion value)
  • Net-change in tech sector jobs. 2019-2025: +6%
  • AI data centers in state: 61 existing; 33 planned

4. New York

  • Venture capital investment in AI, 2019-2025: 2.0% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 3,614 ($49.7 billion value)
  • Net-change in tech sector jobs. 2019-2025: +14%
  • AI data centers in state: 142 existing; 2 planned

3. Massachusetts

  • Venture capital investment in AI, 2019-2025: 3.3% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 1,582 ($27.2 billion value)
  • Net-change in tech sector jobs. 2019-2025: +1%
  • AI data centers in state: 49 existing; 0 planned

2. Delaware

  • Venture capital investment in AI, 2019-2025: 4.0% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 1,157 ($4.6 billion value)
  • Net-change in tech sector jobs. 2019-2025: +1%
  • AI data centers in state: 19 existing; 11 planned

1. California

  • Venture capital investment in AI, 2019-2025: 8.6% of state GDP in 2025
  • Venture capital AI deals, 2019-2025: 10,986 ($366.4 billion value)
  • Net-change in tech sector jobs. 2019-2025: +4%
  • AI data centers in state: 320 existing; 36 planned


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