California: Governor Newsom deploys first-in-the-nation GenAI technologies to improve efficiency in state government
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Apr 29, 2025

Governor Newsom deploys first-in-the-nation GenAI technologies to improve efficiency in state government

What you need to know: California continues to improve efficiency and engagement in state government by advancing its first-in-the-nation project to integrate cutting-edge artificial intelligence technology into state operations.

Los Angeles, California – California continues to implement Governor Gavin Newsom's Executive Order on Generative Artificial Intelligence (GenAI), today with Governor Newsom announcing the state has entered into three new agreements to utilize GenAI to reduce highway congestion, improve roadway safety, and enhance customer service in a state call center.

The announcement today, made at Accenture headquarters in Los Angeles, is part of Governor Newsom's ongoing strategy to implement technologies and practices that make state operations more efficient and responsive to the people it serves. In 2023, Governor Newsom issued an executive order directing state agencies to utilize GenAI technologies to improve state services and help solve important issues. Since that time, the state has integrated AI and other efficiency solutions to make state government work faster and even more effective.

GenAI is here, and it's growing in importance every day. We know that state government can be more efficient, and as the birthplace of tech it is only natural that California leads in this space. In the Golden State, we know that efficiency means more than cutting services to save a buck, but instead building and refining our state government to better serve all Californians.

Governor Gavin Newsom

Leading in efficiency

California is leading in the effort to implement AI and other technologies into state government operations, quickly adopting projects through its new innovative procurement method, Request for Innovative Ideas (RFI2). RFI2 allows the state to quickly test technology through safe and secure environments, providing the state and the innovator community valuable insights while protecting state data. RFI2 was adopted by the state in 2019, after Governor Newsom sought to improve the onerous state purchasing process and help the state to more efficiently adopt these new technologies.

Leading in engagement

Governor Newsom has also implemented new technologies through the Office of Data and Innovation, including the groundbreaking new Engaged California project. This first-in-the-nation digital democracy platform is currently being used to help the community in the Los Angeles wildfire recovery. Today, Governor Newsom will also host a roundtable event in the LA area to meet with stakeholders integral in the Engaged California project — and to discuss projects for expansion statewide.

"We are committed to harnessing the latest technologies to better serve Californians. With GenAI, we're improving government service while also showing the benefits this California-based industry can bring to governments all over the world." California Government Operations Agency Secretary Nick Maduros

Projects moving forward today include:

GenAI to reduce highway congestion

The California Department of Transportation (Caltrans) released a problem statement to process and interpret complex data to improve its traffic pattern analysis, address bottlenecks, and enhance overall traffic management. To solve this issue, Azure Open AI, GenAI technology developed by Microsoft and utilized by Accenture, LLP, used a vast amount of data from authentic, well-recognized sources to analyze potential transportation scenarios and develop solutions, including reducing traffic congestion, enhancing incident response, and improving transit reliability.

The next phase of this project will analyze real-time and historical data from roadways to predict traffic bottlenecks, detect incidents faster, and identify locations for safety enhancements. This cutting-edge solution will empower Caltrans to improve mobility and reduce traffic delays across the state.

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"California is a global leader in GenAI innovation, and the signing of these contracts provides the state an essential tool to help solve some of our most pressing transportation challenges. Under Governor Newsom's leadership, California is enthusiastically advancing this cutting-edge technology and will now harness its power to help save lives and streamline mobility for all people." California Transportation Secretary Toks Omishakin

GenAI for traffic safety

Caltrans will also be using GenAI to investigate near misses of injuries/fatalities to identify risky areas and monitor interventions designed to increase safety of vulnerable road users, including bike riders and pedestrians. Under the contract, Deloitte Consulting, LLP used Gemini GenAI technology to help identify high-collision locations and recommended targeted safety improvements across the highway system to proactively address road safety risks — especially for vulnerable road users.

By analyzing various datasets—including crash records, roadway conditions, and equity indicators—GenAI uncovered patterns, prioritized safety interventions, and delivered data-driven insights to help the department better protect all Californians on the road. In the next phase, the tool will expand upon the datasets to better identify and address locations in need of safety upgrades which will be evaluated by the department prior to taking any actions.

"These historic contracts exemplify Caltrans' commitment to innovation and being a national leader in adopting new technologies to improve lives and communities. Using GenAI through smart, responsible implementation will be a game changer in developing solutions to ease traffic gridlock and reduce deaths and serious injuries on our roadways." Caltrans Director Tony Tavares

GenAI to enhance customer service

The California Department of Tax and Fee Administration (CDTFA) will use GenAI to swiftly search more than 16,000 pages of reference materials and assist staff in providing responses to taxpayers via telephone and live chat.

During a pilot project carried out over the last 10 months, Claude, a next-generation AI assistant developed by Anthropic, was utilized by Symsoft Solutions LLC to reduce the time it takes to handle an average CDTFA customer inquiry. Typically, during peak tax filing periods, an additional 280 staff from throughout the department are temporarily reassigned to provide backup to the call center. With this new technology, CDTFA will be able to continue providing excellent customer service while limiting the need for disruptions from staff reassignments.

"California is demonstrating that GenAI can help us improve the way we do business for Californians.  This project will serve as a proof point moving forward to see if we can scale this technology across state government call centers." CDTFA Director Trista Gonzalez.

GenAI, the California way

California will continue to implement GenAI for the benefit of all Californians, presenting additional challenges and calling for new GenAI projects by AI innovators. The second round brings the state closer to possibly using GenAI for operational efficiencies in housing, workforce planning, and bill analysis. The work is ongoing, and the state anticipates wrapping up this second round by summer 2025.

For more information about why California is the home of GenAI, visit GenAI.ca.gov.

GenAI for productivity

Also in response to the Governor's executive order to help implement AI solutions to make state government more efficient, effective, and productive, the state is now implementing additional AI solutions for state departments. The state recently launched a first-in-the-nation State Digital Assistance AI tool through the California Department of Technology, which will be provided to eight state departments through a pilot program. The departments will utilize the tool through a pilot program to test how GenAI can help increase productivity by assisting staff to quickly develop images, and summarize and analyze state data.

California has also rolled out Microsoft 365 Copilot chat for state departments, which is being offered at no cost to the state for the pilot period. Copilot Chat is a GenAI assistant to enhance staff productivity by streamlining information analysis, assisting with content creation, answering questions, and more.

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Harnessing the power of AI

AI is already changing the world, and California will play a pivotal role in defining that future. Home to Silicon Valley and the birthplace of the tech industry, California continues to dominate as the leader in AI. The state is home to 32 of 50 top AI companies worldwide.

In addition to California's efforts to deploy GenAI in state government, Governor Newsom co-hosted a GenAI summit in May 2024 with leaders across academia, industry, civil society, and government to discuss how the state can best use this transformative technology on behalf of Californians.

First of-its-kind effort with NVIDIA

In August 2024, the state partnered with NVIDIA to launch a first-of-its-kind AI collaboration. The initiative, signed by Governor Gavin Newsom and NVIDIA founder & CEO Jensen Huang, aims to train students, educators and workers; support job creation and promote innovation; and use AI to solve challenges that can improve the lives of Californians.

Staying ahead of threats

Last year, Governor Newsom also signed a series of bills to crack down on sexually explicit deepfakes and require AI watermarking, protect performers' digital likenesses, and combat deepfake election content.

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