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The big winner of the special session? Big Tech | Vince Bzdek

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If you are looking for winners and losers from the recent legislative special session, the biggest winner has to be the tech industry, which showed itself to be a force to be reckoned with in the fight over the AI bill.

There are 100 legislators in the Colorado Legislature.

The tech industry hired 150 lobbyists to exert pressure on the AI bill, according to an Axios analysis of state records.

In other words, the politicians were outnumbered by 50 — just one reflection of the clout the tech industry now has in Colorado.

Amazon, health care companies and TechNet, a coalition of tech CEOs, all hired multiple lobbyists, according to Axios.

The industry also has a governor who aligns more and more with their interests of late. Polis, a former tech entrepreneur himself, vetoed several bills in the regular legislative session that would have put limits on the tech industry, saying he was concerned they would quash innovation in an industry vital to Colorado’s economy.

He approved Colorado’s first-in-the-nation bill to regulate AI recently, but immediately expressed reservations and has now asked for revisions. 

In the just-concluded special session, state Sen. Robert Rodriguez, the Democratic majority leader, proposed updating AI rules to hold companies developing and using the technology liable for harm and discrimination. Rodriguez faced pushback from all those lobbyists, and eventually struck a series of compromises that then unraveled hours later.

In the end, lawmakers delayed the AI law’s implementation to June 30, 2026, rather than next February, to open up more discussion on the law and possible changes.

Rodriguez was not happy about the tech pressure. “Business, consumer protection advocates, labor and educators came together. But, Big Tech didn’t like the deal because they didn’t like the liability,” he said on the Senate floor.

Sen. Julie Gonzales, a Democrat from Denver, voted for the bill but echoed Rodriguez in her own speech on the Senate floor.

“All 35 of us in this building know that we, too, have witnessed the stunning brunt of AI leverage,” she said.

On the other hand, Brittany Morris Saunders, President & CEO of the Colorado Technology Association (CTA), celebrated the delay.

“We appreciate Senator Rodriguez’s decision to delay implementation of SB24-205,” she said in a statement to our Denver editor Luige Del Puerto. “This decision recognizes the complexity of artificial intelligence and the importance of building a framework that protects consumers, supports businesses, and provides clarity for policymakers. By extending the timeline, we now have the opportunity to work collaboratively on practical solutions that strengthen consumer trust, safeguard jobs and preserve Colorado’s competitiveness.”

The rise of tech clout in Colorado is part of a general increase in lobbying and industry influence at the state Capitol. Colorado’s overall lobbying spending hit a record $69.6 million during the 2023–2024 fiscal year — more than double what it was a decade earlier, with steady increases over recent years.

The growth in business lobbying may in part reflect the lack of elected clout the business community has among the state’s major officeholders, all of whom are Democrats. Lobbying may be one of the few useful weapons they have left to try to win some policy battles.

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And the tech industry’s growing ability to sway policymaking is surely a direct reflection of its growing economic footprint in the state as well.

Colorado’s tech sector is booming, according to the Colorado Chamber:

• Tech accounts for 10% of state employment and 20% of GDP.

• Over the past five years, tech added 47,440 net new jobs— the most for any industry in the state.

• Colorado has the third most concentrated tech economy in the U.S., and ranks 5th in projected growth and venture capital funding, according to recent reports. The industry is expected to expand 11.5 percent in the next five years, led by the behemoth Palantir, now one of the top 10 tech companies in the world, with a valuation of $448 billion.

• The Denver metro area also received some $1.7 billion in venture capital during the second quarter, which represents a sharp increase over the first quarter. That was despite the fact that venture capital investments had declined nationally during the latest quarter, according to the financial data company Pitchbook.

In a blue state, it’s unusual for a coalition of business interests to have as much clout as the tech industry does in Colorado. But much of the credit for that has to go to Polis, who often strikes a more libertarian line on business and market issues, sometimes frustrating his fellow Democrats but pleasing the minority Republicans.

For example:

Wielding the veto: He vetoed a bill that compels large social media companies to remove accounts engaged in illegal activity, such as gun sales and sex trafficking involving children under 13. In a very rare move, the legislature overrode his veto. In June 2025, he also vetoed a bill that would have regulated AI-powered rent pricing software, arguing it would stifle innovation.

A veto warning led to the demise of a bipartisan Senate bill that would have required online platforms to verify ages before showing sexually explicit material. His influence also led lawmakers to neuter a bill putting tighter regulations on ride-hailing services, like Uber and Lyft.

“Tech hub” designation: The Polis administration successfully campaigned for a federal designation for Colorado as a quantum technology “Tech Hub” under the CHIPS and Science Act. This is expected to attract significant federal and state investment to grow the industry, with projections of over 10,000 new jobs.

Targeted grants: In April 2024, the Polis administration awarded grants to create Colorado Technology Hubs focused on industries like clean tech, cybersecurity, and aerospace. These hubs aim to advance innovation and create jobs across the state.

Quantum industry incentives: In August 2025, Polis signed a bill to create a $74 million incentive package for quantum-based companies that choose to grow in Colorado, aligning with efforts to secure additional federal funding.

In his own words, Polis has been an unabashed booster of Big Tech: “Colorado is the best place to start and grow a business, we are a national hub for the tech industry. Our robust tech industry is made up of Colorado-grown companies that flock here for our low taxes, business-friendly environment, quality of life, and strong workforce, and we will continue welcoming new businesses to our great state.”

Maybe he’ll even run as a pro-business Republican in his next campaign, whatever that might be. He’ll get plenty of tech dollars if he does.

Vince Bzdek, executive editor of The Gazette, Denver Gazette and Colorado Politics, writes a weekly news column that appears on Sunday.


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