A digitized brain depicted artificial intelligence or AI.

Delaware launches AI sandbox program to accelerate breakthrough innovation

August 11, 2025

The state of Delaware has placed a bid to lead the nation in tech innovation and advancement, launching the artificial intelligence (AI) Sandbox Initiative to create a dedicated space to develop agentic AI technologies and regulations.

The sandbox will serve as a controlled testing ground to safely create AI technologies in a flexible, supervised environment. By placing these spaces under intense scrutiny and applying safeguards to protect the public, developers can briefly ease regulatory constraints to facilitate breakthroughs. Plans are in place to deploy these technologies in the corporate governance, biotechnology, healthcare, chemicals and financial services sectors.

Developers will primarily use the sandbox to focus on building agentic AI technologies and models as opposed to other AI variations. Agentic AI is capable of autonomous decision-making, drawing conclusions from its environment and acting independently to achieve pre-determined goals. These advanced models require limited supervision and mimic human decision-making processes to provide specialized, proactive and adaptable solutions.

This leap in AI innovation follows on the heels of the White House’s declaration to expand AI data centers and facilitate tech innovation through its AI Action Plan. While Delaware is one of the early proponents of enacting state policies to drive or regulate AI development, it’s not the only state pioneering these efforts.

Colorado is among Delaware’s contemporaries, spurring efforts to monitor AI development through the Colorado Artificial Intelligence Act. Set to go into effect in 2026, the Act implements safeguards on high-risk AI technologies to mitigate the potential for discrimination based on a variety of factors.

California has also attempted to move legislation centered around regulating AI technologies. The Frontier Artificial Intelligence Models Act was deemed to be too broad, leading to the governor vetoing the bill before it got off the ground.

While Delaware’s AI Sandbox Program has been signed by the governor, it hasn’t been officially established yet. The resolution will now head to the Delaware AI Commission to draft comprehensive legislation for review by January 2026.


Photo by Google DeepMind from Pexels

Adam Rollins

Adam Rollins brings his expertise as a Researcher and Writer to the Managing Editor role for several of SPI's key publications, including Government Contracting Pipeline, Texas Government Insider, and the latest addition, Government Market News. With a rich background as a freelance Content Specialist, Adam has honed a passion for learning and information gathering, delving into various industries. His research and writing have spanned a range of topics, from artificial intelligence (AI) technology, conservation, and project outsourcing, to managed IT services and software development.

Holding a bachelor's degree in English from Texas State University, Adam's proficiency in message development is complemented by his robust research skills and seasoned writing experience. These attributes make him an invaluable asset to SPI, ensuring the delivery of insightful and impactful content to the company's clientele.

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