AI National Security Memo, CA’s Growing Innovation Economy, AI Combats Extreme Heat, and a Big CHIPS Win for Silicon Valley

Welcome to SV-AI (Silicon Valley - Accelerates Innovation), my newsletter focused on the responsible development and deployment of innovations strengthening California's global competitive edge. Please subscribe to receive upcoming editions. Here, I’ll share tech policy news and leadership insights that you need to know and how technologies, like Artificial Intelligence, are being used IRL. In this edition, I’ll share news about the Biden-Harris administration’s new AI national security memo, California’s growing economy, new ways AI is being used to address complicated problems, and a big CHIPS win for Silicon Valley.

AI 101

First, I want to welcome the inaugural fellows of SLVG’s Institute for California AI Policy (I-CAP) AI Fellowship Program, Akshay Mendon and Hamed Honari , PhD. Akshay and Hamed will work closely with Foothill De Anza Community College to develop an AI and machine learning curriculum for community colleges in the Bay Area that will expand access to AI education and workforce opportunities.

Speaking of how the next generation is working to advance AI, I recommend checking out the global prize winners from Intel’s AI Global Impact Festival . The annual celebration recognizes students and amazing young people who are leveraging AI to address community issues.

For example, high schooler Crystal Yang was named an AI Changemaker for creating Audemy, the largest global collection of audio-based games for visually-impaired people powered by speech recognition models. Her app will help transform education for those affected by visual impairments.

I am always excited by the potential for new innovation in this space, and especially by the young people who have taken a passion for it. Check out the other prize winners here .

New AI National Security Memo

Last week, the Biden-Harris administration issued a comprehensive memo focused on AI and national security. The memo aims to ensure the U.S. uses AI responsibly across key national security agencies by:

• Pushing for investment in AI infrastructure, including chip supply chains, while promoting innovative research into new AI technology.
• Providing guidance for the use of AI in national security missions, in order to harness the technology while protecting democratic values.
• Directing the government to collaborate with international allies to establish an AI governance framework.
• Pointing to a supplemental document outlining other ways to implement the memo’s guidance, including a framework for risk management and transparency.

I continue to appreciate the Administration’s willingness to work with innovators to ensure adequate resources for the development of new technology. As AI continues to advance, it is crucial that the government (at all levels) partners with the private sector to retain U.S. global technology leadership.

CA’s Innovation Economy Grows

September’s jobs report , released by Governor Newsom’s office last week, shows continued growth for California’s innovation economy. The state added more than 14,000 jobs in September, outpacing the national economy overall this year.

According to the Public Policy Institute of California, “California is home to 35 of the world’s 50 leading AI companies, high-impact research and education institutions, and a quarter of the technology’s patents and conference papers.” The presence and continuing growth of these companies has helped drive our state’s economic growth.

At the same time, my view is that economic growth and expansion driven by technology and AI is not a zero-sum game. My friend Vincent Thomas shared this interesting piece with me that shows continued tech expansion in New York .

As I wrote back in 2021 in an op-ed for the Sacramento Bee - “Business competitiveness is not a zero-sum game. As the recovery builds steam there will be opportunities for states like Texas to grow businesses that make sense for them. And there will also be ways for California to further ramp up the innovation that drives our economy. The pandemic [created] the inflection point we now face, but a long road of choices preceded it. It is up to California to pivot, and to plot a new path forward.”

CHIPS R&D Flagship Facility Headed to Sunnyvale

The U.S. Department of Commerce announced this week that Sunnyvale will be home to the new National Semiconductor Technology Center (NSTC). The new facility, known as the Design and Collaboration Facility (DCF), will be one of three CHIPS for America research and design (R&D) facilities and will also operate as the headquarters of Natcast, the non-profit entity designated by Commerce to operate the NSTC.

This is an important milestone for those, including SVLG , who were strong advocates for this historic investment in California’s semiconductor industry.

This selection highlights Silicon Valley’s unique strength in advancing U.S. technological leadership and our business competitiveness. As we enter the Fourth Industrial Revolution, driven by AI advancements, this flagship R&D center is a win-win for Silicon Valley and our government.

SVLG is proud to have championed the Valley’s unparalleled value proposition alongside Governor Newsom, California’s Congressional Delegation, and other state and local leaders.

AI IRL

During this summer’s dangerous heat waves, Google Research used AI-enhanced satellite and aerial imagery to help urban planners and city officials make informed decisions about heat resilience. The tool helped determine which cooling techniques, such as planting trees or implementing cool roofs, could help reduce temperatures and address extreme heat.

So far, the tool has been piloted in 14 U.S. cities, including Stockton, California. I found it fascinating that they were able to apply this tool down to the neighborhood level, understanding that there is no one-size-fits-all approach. This is a great example of AI being used to drill down on a solution to a complicated problem.

Learn more here .

Final Thoughts

There are a couple of interesting pieces on AI that I want to call attention to in closing:

First, the Harvard Business Review published a compelling piece on the importance of bringing everyone along when embracing AI. David De Cremer writes that “ 80% of organizations say that their main technological goal is hyperautomation...Executives have a tendency to pursue that goal without any feedback from their employees—the people whose jobs, and lives, will be most affected by achieving it. But my decades of research into the enterprise adoption of emerging technologies has proved one thing time and again: The savviest leaders prioritize participation by the rank and file throughout the adoption process.”

In case you missed it, I recommend reading Google CEO Sundar Pichai’s keynote address during UNGA’s first-ever Summit of the Future. I think Google SVP James Manyika summed up the core takeaway nicely in a LinkedIn post stating , “His message was clear: AI presents a transformative opportunity to unlock human potential on a global scale, and we have a responsibility to ensure its benefits reach everyone.”

Second, in a new LinkedIn article , SVLG General Counsel Peter Leroe-Munoz discusses the balance to be struck with the responsible development of Artificial General Intelligence (AGI). AGI, which refers to AI applications learning and growing beyond human-established parameters, often inspires thoughts of dystopian science fiction. But with responsible development, humans can use that advancing, self-directed tech to solve critical issues, such as climate change. The key is managing growth strategically so that we always know how to harness that tech for good.

And, finally, please remember to get out and vote next week.

Make your voice heard - our democracy is only as strong as the commitment of all of us to participate. Your vote matters; it’s your power to shape the future.

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