TEXAS AI REPORT

Texas AI law

Does TRAIGA Apply to Your Business? A Scope Guide.

TRAIGA's reach is wider than most Texas companies realize — but its duties are narrower, and exemptions carve out specific industries and interactions.

What Texas's AI Regulatory Sandbox Offers Builders

TRAIGA created a formal testing lane for AI companies: up to 36 months of development without separate licensing, with AG enforcement paused during participation. The catch: TRAIGA's core prohibitions still apply.

Texas Enacts One of the Nation's First Comprehensive AI Laws

Gov. Abbott signed HB 149 on June 22, 2025. TRAIGA takes effect January 1, 2026 — and it brings disclosure mandates, prohibited-use rules, and tiered civil penalties reaching $200,000 per violation for the most serious cases.

What Texas Companies Get Wrong About TRAIGA Readiness

The biggest TRAIGA risk isn't the headline penalties. It's process: no AI inventory, no paper trail, no time to re-engineer a system inside a 60-day cure window.