New Jersey is launching the AI Innovation Challenge, a statewide effort to speed the use of artificial intelligence for social and public good.
Backed by the NJ Economic Development Authority (NJEDA) under Gov. Phil Murphy’s AI Moonshot, this challenge provides funding, mentorship, and resources for teams and startups building AI-driven solutions to tackle problems across the state.
The moonshot reference was made by Murphy at his State of the State address in January 2024 and alludes to President John F. Kennedy’s vow to put a man on the moon before the end of the 1960s.
New Jersey is moving quickly to embrace the possibilities of AI. Earlier this month, the New Jersey Artificial Intelligence Hub, founded in partnership with Princeton University, the State of New Jersey, Microsoft and CoreWeave, said it will launch an AI Accelerator, powered by the global innovation platform Plug and Play, early next year.
The AI Accelerator, to be located in West Windsor, will link New Jersey’s AI startups and higher-ed-affiliated entrepreneurs with mentors, investors and industry partners and attract other startups to the state.
In partnership with the NJEDA, Plug and Play will be the operator of the NJ AI Innovation Challenge. This challenge will take place over the next 12 months, rewarding up to $3.34 million in funding to local entrepreneurs to build the future of AI startups in New Jersey.
Plug and Play, founded in 2006, is a Sunnyvale, Calif.-based venture capital firm focused on deploying capital to early-stage technology companies. Its website says “We are dedicated to driving innovation within large organizations, helping them stay ahead of the curve and thrive in today’s rapidly evolving business landscape. By selecting strategically aligned startups that meet their unique tech challenges, our partners benefit from firsthand insights into technological trends and networking opportunities with industry leaders.”
The applicants for the challenge are encouraged to utilize New Jersey’s publicly available data hub, the NJOIT Open Data Center, to create their AI startups.
The state hopes that the challenge can lead to innovations that can streamline operations and boost efficiency and develop cutting-edge digital tools for innovation in the public sector that provide smarter, faster and more responsive services and improve life for New Jersey residents.
Applications began to be accepted on Dec. 15 and will be taken until Jan. 19. Winners will be chosen on Jan. 29. Up to 10 companies or teams will be picked for Grant Award No. 1 ($1 million total). That will be followed by Demo Day on March 27 when the Grant Award No. 1 winners present their solution and milestones completion, with the opportunity to be awarded additional grant funding ($2.3 million total).
Teams of individuals must be composed of at least three people, including one technical AI expert, a minimum of half the team of New Jersey residents and the group must incorporate as a legal entity before receiving funding. Early-stage companies must have no more than 224 employees, at least half of New Jersey-based team or New Jersey students or full-time workforce in New Jersey (Proof of New Jersey workforce, if not student-based, required) and is registered to do business in New Jersey (Tax clearance required within 30 days).
Teams and companies participating in the challenge must develop software solutions using one or more of the following AI technologies:
Learning and Adaptation AI: AI powered software leveraging machine learning, deep learning, or reinforcement learning to continuously learn from data and optimize processes over time. Examples include predictive analytics platforms, AI-driven workflow automation tools and intelligent business process optimization solutions.
Autonomous Decision-Making: Software solutions capable of making decisions independently to automate processes without human intervention. Examples include AI-powered financial trading algorithms, automated fraud detection systems and intelligent supply chain management platforms.
Data-Driven Insights: AI software focused on extracting actionable insights from large datasets through AI-driven analytics. Applications include predictive customer analytics, AI-enhanced business intelligence platforms, and dynamic pricing models.
Natural Language Processing (NLP): AI software enabling human-like interactions through text or speech processing. Examples include AI chatbots for customer support, AI-driven content generation platforms, and automated language translation software.
Perception and Interaction: AI-powered software utilizing computer vision or speech recognition to enhance digital interactions. Examples include AI-driven virtual assistants, automated video content analysis tools, and real-time transcription software.
Generative AI: AI software focused on creating new digital products, designs, or content using generative algorithms. Examples include AI-assisted design platforms, generative text and image creation software, and AI-driven product innovation tools.
A proposed AI-based software solution must address challenges facing New Jersey by contributing to measurable efficiency improvements or enabling the creation of novel software solutions. Solutions that only support general business operations without a direct AI-driven impact on efficiency or innovation will not qualify.
