Louisville, Kentucky, December 19, 2025
Kentucky has attracted $286 million in venture capital through 67 AI deals from 2019 to mid-2025, marking a significant increase in its tech sector. The state’s tech employment grew by 14%, and it currently has 67 data centers, with more on the way. Recent legislation aims to enhance support for AI infrastructure development, positioning Kentucky as a rising hub for AI innovation and economic growth, creating jobs and boosting tax revenues.
Louisville, Kentucky: State’s AI Investments Surge Over Six Years
Louisville, Kentucky – A recent report reveals that Kentucky has secured $286 million in venture capital across 67 artificial intelligence (AI) deals from 2019 to mid-2025, positioning the state 29th nationally in AI-related investments.
Key Findings
- Tech Employment Growth: Kentucky’s tech sector has expanded by 14% since 2019, ranking 25th in the South.
- Data Center Expansion: The state is home to 67 data centers, with six more under construction, projected to create over 10,000 temporary jobs and generate $118 million in new state and local tax revenue over the next decade.
- Legislative Support: In April 2025, Kentucky’s General Assembly passed House Bill 775, enhancing tax exemptions for qualified data center projects to extend economic benefits statewide.
Industry Impact
AI is becoming a major economic engine nationwide, driving investment, job creation, and infrastructure development, including in Kentucky.
Background
The report, titled “America’s AI Surge: Powering Investment, Jobs, and Growth in Every State,” was released by the Technology Association of Louisville Ky (TALK), in partnership with the American Edge Project (AEP) and the Technology Councils of North America (TECNA). It provides a comprehensive analysis of how AI is reshaping economic growth across all 50 states.
Looking Ahead
Kentucky’s proactive approach to AI investment and infrastructure development positions the state to capitalize on the growing AI sector, fostering innovation and economic growth in the coming years.
FAQ
What is the total AI-related venture investment Kentucky has secured since 2019?
Kentucky has secured $286 million in venture capital across 67 AI-related deals from 2019 to mid-2025.
How has Kentucky’s tech employment changed since 2019?
Kentucky’s tech sector has expanded by 14% since 2019, ranking 25th in the South.
What legislative action has Kentucky taken to support AI infrastructure?
In April 2025, Kentucky’s General Assembly passed House Bill 775, enhancing tax exemptions for qualified data center projects to extend economic benefits statewide.
How many data centers are currently operating in Kentucky?
Kentucky is home to 67 data centers, with six more under construction.
What economic impact are the new data centers projected to have?
The new data centers are projected to create over 10,000 temporary jobs and generate $118 million in new state and local tax revenue over the next decade.
Key Features
| Feature | Details |
|---|---|
| Total AI Venture Investment | $286 million across 67 deals since 2019 |
| Tech Employment Growth | 14% increase since 2019, ranking 25th in the South |
| Data Centers | 67 existing, 6 under construction |
| Projected Economic Impact of Data Centers | 10,123 temporary jobs, $118 million in new tax revenue over the next decade |
| Legislative Support | House Bill 775 passed in April 2025 to enhance tax exemptions for data center projects |
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