Net neutrality revival set to ensure level startup playing field
Startup News Digest 2/02/24
Startup News Digest 11/17/23
Startup News Digest 08/04/23
The Big Story: Bipartisan legislation to build AI resource for startups, researchers. A recently introduced bill would create government AI resources for startups and bolster needed talent in the field. The bipartisan bill—the Creating Resources for Every American To Experiment with Artificial Intelligence Act of 2023 (CREATE AI Act)—formally establishes the National Artificial Intelligence Research Resource (NAIRR) which will provide compute, datasets, and educational resources for startups, students, and academics. The legislation comes amid rapid growth of AI technology and will improve the competitiveness of U.S. startups.
Startup News Digest 07/28/23
The Big Story: Senate advances bills requiring user data collection, limiting legal content online. This week, the Senate Commerce Committee advanced two bills that carry serious risks for cybersecurity, user privacy, and third-party content available on startups’ services. The legislation, the Kids Online Safety Act (KOSA), and the Children and Teens’ Online Privacy Protection Act (COPPA 2.0), though well-intentioned, will increase costs of compliance, undermine startup competitiveness, and diminish user experience, as we highlighted in a letter ahead of the committee markup.
As startups struggle with talent, Canada is trying to attract U.S. bound high skilled immigrants
Hiring early employees is one of the first obstacles startup founders face, made more complicated by talent shortages in STEM fields and an immigration system that often makes it time consuming and expensive to hire high-skilled talent from abroad. Other countries—most recently Canada—are taking advantage of that reality to attract tech talent away from the U.S. Without urgent action from policymakers, the U.S. innovation ecosystem will soon lag behind, as talent will continue to seek out nations where they receive a warmer welcome and better support.
Startup News Digest 06/30/23
The Big Story: Supreme Court strikes down Biden student loan relief plan. The Supreme Court this week struck down President Biden’s student loan relief plan that would have canceled up to $20,000 in student debt for qualified borrowers. The decision, while not unexpected, is a blow to the millions of Americans riddled with student debt, and individuals whose debt acts as a barrier to pursuing entrepreneurship.
Startup News Digest 06/09/23
The Big Story: Startups call on Congress to fix R&D expensing. Lawmakers in both chambers of Congress took steps this week toward addressing a critical tax issue impacting startups’ bottom lines: a recently enacted change to how startups expense research, development, and experimentation costs. House and Senate lawmakers held two hearings this week exploring how the tax code, including incentives around R&D impact small businesses and startups.
Startup News Digest 06/02/23
The Big Story: House passes capital formation bills. The House passed several bills this week to improve capital access for startups, including by providing educational resources on capital raising options for underrepresented small businesses and another to broaden the pool of potential startup investors.
Startup News Digest 05/26/23
Startup News Digest 03/17/23
The Big Story: SVB fallout puts startup banking needs in the spotlight. In the wake of last week’s collapse of a key startup-facing bank, many in the startup ecosystem are concerned about the banking options and funding landscape for startups across the country. Last week, California regulators and the Federal Deposit Insurance Corporation (FDIC) shuttered and placed into receivership Silicon Valley Bank (SVB), a mainstay bank for the global startup ecosystem. At the same time, startups scrambled to move funds and were unsure if they’d have the capital to pay their employees this week.
Statement on the 5th Circuit Court of Appeals DACA Ruling
The following statement is attributed to Kate Tummarello, Executive Director of Engine, on the U.S. Court of Appeals for the 5th Circuit ruling in State of Texas v. United States of America.
Statement
“Yesterday’s decision by the U.S. Court of Appeals for the 5th Circuit ruling DACA illegal is a crushing disappointment for the thousands of DACA recipients living and working in the U.S., who provide meaningful contributions to our country, including our startup ecosystem. While existing DACA recipients currently retain their protections, it is clear Congress must act urgently to secure and extend protections for all Dreamers and send the message that they are valued, eliminating the constant threat of deportation.”
Startup News Digest 07/22/22
The Big Story: CHIPS Act takes precedence in USICA developments. The Senate is moving forward with pared-down competitiveness legislation following Tuesday’s procedural vote, which cleared a key procedural hurdle. While the narrower package largely focuses on subsidies for the semiconductor industry, it is also expected to include some of the larger bill’s provisions to increase funding to broadly support U.S. innovation. Senators expect to tee up final passage next week, which would then send the bill to the House for consideration.
Startup News Digest 07/15/22
The Big Story: Hope fades for pro-startup provisions in U.S. competitiveness package. After months of negotiations, Congress has hit another roadblock to advancing a compromise version of two bills aimed at boosting U.S. competitiveness: the Senate’s United States Innovation and Competition Act (USICA) and the House’s America Creating Opportunities for Manufacturing, Pre-Eminence in Technology, and Economic Strength (COMPETES) Act.
Startup News Digest 07/08/22
The Big Story: Copyright Office concludes ancillary copyright protections are not warranted. In a recent report, the U.S. Copyright Office explained why it does not recommend expanding or adopting new copyright-like protections for press publishers. The Copyright Office’s study was rooted in concerns about supporting vitally important local news media, but it focused specifically on whether policymakers should extend copyright-like protections (also known as “ancillary copyright”) to sharing hyperlinks and quoting news headlines or snippets of articles. Last week’s report concluded that it is not clear any new copyright-like protections would solve problems facing press publishers, while those sorts of copyright expansions would have “critical policy and Constitutional dimensions.”
Startup News Digest 06/24/22
The Big Story: Patent policy discussions resurface in D.C. this week. This was an active week for patent policy conversations in D.C., with the Senate, House, and Patent and Trademark Office (PTO) all weighing in. Procedures for reviewing low-quality patents took center stage, with many focused on the role the Patent Trial and Appeal Board (PTAB) plays in the startup and small business ecosystems. It is imperative that policymakers who want to understand the full impact of the PTAB—particularly in regards to U.S. startups—ensure startup voices have an equal seat at the table when the topics are discussed.
Startup News Digest 06/17/22
The Big Story: Possible federal privacy framework on the horizon. After years of discussions and negotiations, lawmakers are taking serious steps towards creating a much-needed federal privacy framework that would create consistency for startups and protections for consumers. Earlier this week, the House Energy and Commerce subcommittee on Consumer Protection and Commerce held a hearing discussing the American Data Privacy and Protection Act (ADPPA)—a draft bipartisan, bicameral bill that is the first meaningful step towards a federal privacy law following years of negotiations. Subcommittee Chair Jan Schakowsky (D-Ill.) reportedly said this week that the subcommittee will consider and vote on the bill during a markup next week.
Statement on the Let Immigrants Kickstart Employment (LIKE) Act
The following statement is attributed to Kate Tummarello, Executive Director of Engine, regarding today’s introduction of the Let Immigrants Kickstart Employment (LIKE) Act:
Statement:
“Engine is proud to support the Let Immigrants Kickstart Employment Act that would establish a startup visa program so that foreign-born entrepreneurs can launch and grow their startups in the U.S. and spur job creation. The legislation, led by Rep. Zoe Lofgren (D-Calif.), would help the nation maintain its status as a global hub of innovation by encouraging the formation of dynamic new companies and injecting new entrepreneurial talent into the startup ecosystem.”
Background:
The LIKE Act would create a new category of startup visas, providing foreign-born entrepreneurs who meet certain requirements with the protections needed to launch and grow their companies in the U.S., including a pathway to permanent residence. The legislation would also establish a nonimmigrant visa for certain essential employees of foreign-born founders in the U.S. on a startup visa. Foreign-born workers make valuable contributions to the U.S. economy by launching companies and creating new jobs, but restrictive immigration policies too often force startup founders to look elsewhere when launching their ventures. Currently, there is no visa category specifically set aside for foreign-born entrepreneurs who want to establish companies in the U.S. Legislation such as the LIKE Act will allow the U.S. to continue attracting and retaining the talent needed to compete globally by welcoming immigrant entrepreneurs to our shores.
DACA Decision Puts U.S. Startup Ecosystem at Risk
A ruling from a federal judge last week is disrupting an immigration program for individuals brought to the U.S. as minors, that entrepreneurs — among many others — have relied on in recent years. The ruling from a Texas district court found the Deferred Action for Childhood Arrivals (DACA) unlawful and blocks the administration from approving new applications. It is essential that policymakers implement a permanent solution, which includes a pathway to citizenship, for this community, because failing to do so can mean abandoning a critical source of U.S.-educated talent.
U.S. Needs a Startup Visa for Innovation to Thrive
Countries around the world are attracting innovators and entrepreneurs with pro-startup immigration policies, and Congress is beginning to take notice. This week, the House Judiciary Committee held a hearing on international talent loss to U.S. competitors, including Canada. Though the U.S. is a target destination for immigrant entrepreneurs looking to launch startups, other nations with more favorable immigration policies — including startup visas and considerable investments in entrepreneurial infrastructure and R&D — are quickly becoming hotspots for international talent. If we are to remain competitive and at the forefront of innovation, it is essential that policymakers reform immigration law so entrepreneurs can have access to the opportunities and talent they need to launch and grow their businesses in the U.S. instead.
