This Month's Latest Tech News in Chattanooga, TN - Saturday May 31st 2025 Edition

By Ludo Fourrage

Last Updated: June 1st 2025

Chattanooga city skyline with digital tech and AI network graphics overlay

Too Long; Didn't Read:

Chattanooga made national tech headlines in May 2025 with the $22 million EPB Quantum Center partnership, large-scale lidar smart traffic rollout, and $1 million for AI mobility and disaster grants. Local universities secured $500K for AI projects, and Oak Ridge was selected for federal AI data center growth, affirming Chattanooga's innovation leadership.

Chattanooga has firmly positioned itself on the national tech map this May with the announcement of the $22 million EPB Quantum Center, a pioneering project forged through a partnership between IonQ and EPB that will offer commercial access to quantum computing, networking, and application development support as detailed in Chattanooga Market News.

As the first quantum tech center of its kind in the U.S., EPB Quantum Center will house the IonQ Forte Enterprise Quantum Computer and drive innovation in grid optimization, cybersecurity, and sustainable energy.

Mayor Tim Kelly underscored this milestone:

"Quantum technology has the potential to define Chattanooga's economic future. I think we will look back on this announcement as an important day in our city's history."

Alongside these advances, Chattanooga is rolling out one of the country's largest lidar-enabled smart traffic systems, expanding AI-powered municipal services, and supporting local entrepreneurs at the bustling INCubator hub, which hosted over 60 startups and facilitated networking at its recent open house according to The Chattanoogan.

Early adopters of this quantum infrastructure are poised for exponential growth, with McKinsey estimating trillions in economic impact for industries like logistics, energy, and manufacturing within the next decade as reported by Route Fifty.

Chattanooga's investments in cutting-edge technology, workforce development, and entrepreneurship signal a commitment to inclusive growth and innovation leadership.

Table of Contents

  • Chattanooga to Become the Nation's First Quantum Computing Hub
  • UTC Secures $500K Grant for AI-Driven Traffic Safety
  • Chattanooga Hosts U.S.'s Largest Lidar-Based Smart Traffic Network
  • Tennessee's $1M Funding Kickstarts Mobility and AI Disaster Preparedness
  • Quantum-AI Breakthroughs Position Chattanooga as a Research Powerhouse
  • Smart City Revolution: Local and Global Partnerships Accelerate Innovation
  • TSU's Dr. Robbie K. Melton Named Among 2025 Leading Women in AI
  • AI-Powered Fleet Management Transforms Tennessee's Logistics Sector
  • Cybersecurity and ‘AI Fatigue': New Corporate Risks Emerge in Tennessee
  • Oak Ridge Selected for DOE AI Data Center Boom, Boosting Regional Infrastructure
  • Conclusion: Chattanooga's Ongoing Journey at the Forefront of American Innovation
  • Frequently Asked Questions

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Chattanooga to Become the Nation's First Quantum Computing Hub

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Chattanooga is set to make history as the nation's first quantum computing hub, thanks to a $22 million partnership between IonQ and local utility EPB. This groundbreaking agreement will see the creation of the EPB Quantum Center, which will house IonQ's state-of-the-art Forte Enterprise quantum computer - boasting an impressive 36 algorithmic qubits - alongside EPB's advanced quantum networking infrastructure.

The effort aims to advance real-world applications like energy grid optimization and cybersecurity, while also building a quantum-ready workforce through specialized local training.

As IonQ President and CEO Niccolo de Masi highlighted,

“This partnership represents more than just a technological milestone, it's a pivotal step in building a quantum economy and IonQ ecosystem in Tennessee.”

The collaboration is strongly supported by local leadership and national policymakers, establishing Chattanooga's role in the evolving quantum landscape and fostering economic growth.

For a deeper look at the partnership and its impact, read the official IonQ and EPB partnership announcement, learn about facility and training details in the DatacenterDynamics article on the quantum computing center in Tennessee, and explore how the Quantum Innovation Center will shape Chattanooga's future in the Quantum Computing Report's comprehensive analysis.

Feature Details
Investment $22 million
Quantum Computer IonQ Forte Enterprise (#AQ36)
Opening Early 2026 (planned)
Key Focus Quantum networking, workforce development, practical applications

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UTC Secures $500K Grant for AI-Driven Traffic Safety

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The University of Tennessee at Chattanooga (UTC) has secured a $500,000 grant from the Tennessee Department of Economic and Community Development's Transportation Network Growth Opportunity (TNGO) program, propelling two transformative projects for local traffic safety and urban mobility.

The UTC Research Institute's Center for Urban Informatics and Progress (CUIP) will collaborate with DENSO to create an AI-powered system for real-time collision prediction and accident detection, and with LG CNS to deploy the nation's first smart crosswalk system - leveraging sensors and artificial intelligence to dynamically adjust crossing times and improve safety for pedestrians, especially children, seniors, and people with disabilities.

These initiatives reinforce Chattanooga's reputation as a smart city pioneer, and build on recent multi-million dollar federal grants targeting pedestrian safety and connected vehicle technologies.

UTC Interim Chancellor Robert Dooley affirms,

“This investment by the State of Tennessee affirms the University of Tennessee at Chattanooga's role as a leader in innovation and real-world research... These initiatives enhance quality of life and demonstrate how UTC drives progress benefiting our community, economy, and state.”

For more details, see the original announcement on UTC's UTC news site covering the $500K awarded for smarter streets, a comprehensive overview at HERE Chattanooga's deep dive into traffic safety innovations, and strategic context in HERE Chattanooga's report on the economic and community impact of these projects.

Initiative Partner Purpose/Features
AI Collision Prediction System DENSO Real-time accident detection, predictive analytics to improve emergency response
Smart Crosswalk System LG CNS Sensor-enabled, AI-timed pedestrian crossings for enhanced safety, especially for vulnerable groups

Chattanooga Hosts U.S.'s Largest Lidar-Based Smart Traffic Network

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Chattanooga is on track to launch the largest lidar-powered smart traffic network in the United States, deploying the cutting-edge Ouster BlueCity system across more than 120 intersections by the end of 2025.

Following a $2 million contract and a successful pilot at 12 intersections, the city's initiative combines high-resolution digital lidar sensors, advanced edge AI, and real-time 3D digital twins to manage traffic flow, analyze safety incidents, and support Vehicle-to-Everything (V2X) communications.

According to Mayor Tim Kelly, “Chattanooga is leading the country in adopting smart city technology to improve our roadways, and with it, the safety and quality of life for our citizens.” The technology uses powerful deep neural networks trained on over 4 million labeled lidar objects from 800 sites worldwide, running on NVIDIA Jetson platforms for real-time processing, low-latency detection, and comprehensive coverage in all lighting and weather conditions.

In partnership with Southern Lighting & Traffic Systems and the Center for Urban Informatics & Progress (CUIP) at the University of Tennessee Chattanooga, this system has already demonstrated transformative results - such as a 100% reduction in near-miss pedestrian incidents at a high-risk crossing.

As Dr. Mina Sartipi, CUIP Director, noted,

“We are just starting to capture the full benefits of this technology.”

The table below summarizes the key deployment data:

Deployment Scope Funding AI Training Dataset Intersections Covered Key Partners
Ouster BlueCity with lidar & edge AI $2 million 4M labeled objects (800 sites) 120+ (planned), 12 (pilot) City of Chattanooga, CUIP, Southern Lighting & Traffic Systems

To learn more about this milestone and Chattanooga's leadership in smart infrastructure, see the official contract announcement on the Yahoo! Finance article about Ouster BlueCity smart traffic system, a technical breakdown from ITS International's lidar smart city technology feature, and analysis of AI-powered traffic safety in the IoT M2M Council report on AI-powered real-time edge lidar.

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Tennessee's $1M Funding Kickstarts Mobility and AI Disaster Preparedness

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This May, Tennessee awarded $1 million in Transportation Network Growth Opportunity (TNGO) grants to accelerate mobility innovation and AI-powered disaster preparedness across the state.

Two University of Tennessee campuses secured $500,000 each: UT Chattanooga, in partnership with DENSO and LG CNS, will roll out AI-driven traffic safety systems that predict collisions, send real-time alerts, and launch a first-of-its-kind smart crosswalk to protect pedestrians with variable signal timing and enhanced night-time visibility (AI-powered safety tech at busy intersection).

Meanwhile, UT Knoxville and NTT DATA are developing an AI disaster management platform for business continuity, featuring live hazard route mapping and a generative AI assistant for emergency planning (official TNGO funding announcement).

TNECD's Commissioner Stuart C. McWhorter emphasized,

“It's critical that we work in lockstep with our educational institutions to ensure we are aligned with what industries need.”

These collaborative efforts position Tennessee as a leader in both smart mobility and rapid-response technology.

Below is a table summarizing the TNGO-funded projects:

Project Lead Institutions & Partners Key Focus Grant Amount
AI Traffic Safety & Smart Crosswalks UT Chattanooga, DENSO, LG CNS Collision prediction, real-time alerts, pedestrian safety innovations $500,000
AI-Driven Disaster Management UT Knoxville, NTT DATA Real-time hazard tracking, generative AI for preparedness and response $500,000

These investments are part of a broader $7.5 million state initiative to make Tennessee the Southeast's top destination for automotive and mobility R&D (two UT campuses receive TNGO funding), advancing both public safety and economic growth.

Quantum-AI Breakthroughs Position Chattanooga as a Research Powerhouse

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Chattanooga has firmly positioned itself as a national research powerhouse thanks to a landmark $22 million partnership between EPB and IonQ, establishing the EPB Quantum Center - the first quantum computing and networking hub in the United States.

Housing IonQ's Forte Enterprise quantum computer, which boasts 36 algorithmic qubits and industry-leading accuracy, the Center will serve as a platform for pioneering research in areas like energy grid optimization, advanced materials, and AI-driven applications.

The initiative is complemented by a strong focus on workforce development and public-private collaboration, with the University of Tennessee at Chattanooga and Oak Ridge National Laboratory providing education, research, and hands-on training in quantum information science.

As IonQ CEO Niccolo de Masi explained,

“This partnership represents more than just a technological milestone, it's a pivotal step in building a quantum economy and IonQ ecosystem in Tennessee.”

IonQ's recent advancements in applying quantum computing to artificial intelligence - including notable improvements in large language model training - underscore Chattanooga's growing influence at the intersection of quantum and AI. For a deeper dive, explore feature details of this technology ecosystem in IonQ's official announcement on the Chattanooga quantum computing hub and learn how hybrid quantum-classical models are transforming AI with IonQ's latest AI breakthroughs in quantum-enhanced applications.

Chattanooga's integrated approach - linking research, education, and regional industry - sets a blueprint for American innovation in the next era of tech.

Key Metric Value
Investment $22 million
Quantum Computer IonQ Forte Enterprise (#AQ36)
Focus Areas AI, energy grid, materials science

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Smart City Revolution: Local and Global Partnerships Accelerate Innovation

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Chattanooga has become a rising national model for smart city innovation thanks to ambitious local initiatives and global partnerships. The University of Tennessee at Chattanooga's Center for Urban Informatics and Progress (CUIP) recently secured a $500,000 grant from the Tennessee Department of Economic and Community Development to develop two groundbreaking systems: an AI-driven traffic collision prediction platform with DENSO and the country's first smart crosswalk system using real-time sensors and AI in collaboration with LG CNS, prioritizing pedestrian safety for vulnerable groups (read how UTC is building the future of traffic safety and smart streets).

Illustrating Chattanooga's collaborative spirit, UTC and startup accelerator CO.LAB have also created an industry-facing mobility partnership, opening their Smart City testbeds and data resources to selected startups in a 10-week sustainable mobility accelerator (discover how UTC and CO.LAB are accelerating innovation through new mobility partnerships).

“CUIP is excited to spearhead two major TNGO-funded projects...Thanks to their support and the continued investment of the Tennessee Department of Economic and Community Development, it is clear that Tennessee - and Chattanooga in particular - is where the future of urban mobility and safety will be created,” said Dr. Mina Sartipi, CUIP's executive director in a recent statement.

“These initiatives not only enhance the quality of life in Chattanooga but also demonstrate how UTC can drive progress that benefits our community, economy, and the entire state.”

Find more details on UTC's smart city programs and recent grant awards here.

Together, these efforts showcase Chattanooga's leadership at the intersection of education, technology, and global industry.

TSU's Dr. Robbie K. Melton Named Among 2025 Leading Women in AI

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Dr. Robbie K. Melton of Tennessee State University (TSU) has been recognized among the 2025 Leading Women in AI by The AI SHOW @ ASU+GSV, a distinction that celebrates over 200 women driving advancements in educational technology and artificial intelligence.

As TSU's Interim Provost, Vice President for Academic Affairs, and Vice President for Technology and Innovation, Dr. Melton's visionary leadership has shaped TSU into a premier center of digital innovation, notably with the creation of the SMART AI for All Research Center - a hub for AI education, faculty training, and immersive technology experiences for students and the broader community.

Her contributions are recognized not only within academia but also through her role on the Southern Regional Education Board's Commission on Artificial Intelligence, where she advocates for equitable AI access and workforce development across 16 Southern states (learn more about her tech leadership and AI policy impact).

At a recent summit celebrating these honorees, Dr. Melton emphasized the wider significance of her recognition:

“As a Black woman in technology, this award signifies not only personal achievement, but also a powerful symbol of representation and possibility. This recognition serves as a beacon for young women, especially young Black women, to see what is possible.”

For a deeper look at the SMART Immersive Technology Center's innovative AI labs, training resources, and academic eSports initiatives, visit the official SMART Center website.

AI-Powered Fleet Management Transforms Tennessee's Logistics Sector

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Tennessee's logistics sector is experiencing a significant transformation as AI-powered fleet management tools gain traction statewide. Companies like Motive are pioneering advancements such as real-time driver safety monitoring, personalized AI coaching, predictive maintenance, and integrated analytics platforms.

Their latest AI-driven solutions help detect and prevent the leading causes of collisions - including fatigue, lane swerving, and unsafe parking - and integrate with fleet management software to automate tasks, streamline reports, and provide live, actionable insights for operators.

According to recent industry data, AI tools are delivering measurable results: customer fleets have seen up to 80% fewer collisions within a year of deploying AI dashcams, and $2 million in insurance premium cost savings.

The following table highlights key AI-enabled safety and operational features now available to Tennessee fleets:

FeatureDescriptionImpact
Driver Fatigue DetectionAnalyzes over 10 indicators (e.g., yawning, abnormal speed)Prevents drowsy driving and reduces accidents
Lane Swerving AlertsFlags unsafe swerving behaviorHelps managers intervene before collisions
AI Coaching AvatarsAutomated, personalized training for driversScales coaching and improves safety culture
Fraud Detection & AnalyticsAI monitors transactions and fleet data$250,000 fraud protection and actionable efficiency insights

These innovations are underpinned by platforms that process billions of data points daily, enabling fleets to convert overwhelming data into rapid, informed decisions.

As Shoaib Makani, Co-founder and CEO of Motive, stated,

“Our mission is to empower the people who run physical operations with AI-powered tools that make their work safer, more productive, and more profitable.”

For more on how Motive's AI suite supports Tennessee's rapidly modernizing logistics industry, see this in-depth overview of Motive's AI fleet safety tools, explore the launch of AI-powered analytics transforming fleet data, and read how Motive's latest AI products are redefining fleet operations.

Cybersecurity and ‘AI Fatigue': New Corporate Risks Emerge in Tennessee

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As Tennessee's tech sector advances, cybersecurity experts are sounding the alarm about the rise of “AI fatigue” as a critical risk for corporate leaders. According to LBMC, cyber attackers are taking advantage of executive apathy and overreliance on artificial intelligence, leading to notably higher success rates for AI-assisted phishing attacks.

“Attackers thrive on complacency. The more leaders trust the machine without questioning its limitations, the easier it becomes to exploit that trust. The next frontier isn't AI risk management; it's AI fatigue management,”

warns Drew Hendrickson, Shareholder at LBMC Cybersecurity.

This trend is particularly pressing as organizations scramble to prepare for the Tennessee Information Protection Act (TIPA), which takes effect on July 1, 2025 and imposes more stringent data privacy and response requirements on businesses handling Tennesseans' data (Tennessee Information Protection Act compliance).

Industry leaders advise shifting from occasional security drills to continuous, subscription-based risk monitoring, integrating solutions like LBMC Guard for real-time protection rather than falling into a compliance “checkbox mentality” (AI fatigue and executive apathy as emerging cyber risks).

For regional organizations, streamlined technical security services ranging from risk assessments and active incident response to tailored audit strategies can not only reduce costs but bolster resilience, as detailed in recent LBMC Cybersecurity advisory services.

As regional regulatory pressure and sophisticated cyberthreats rise, executive engagement - not just technology - is quickly becoming the frontline of defense.

Oak Ridge Selected for DOE AI Data Center Boom, Boosting Regional Infrastructure

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The Department of Energy (DOE) has spotlighted Oak Ridge National Laboratory (ORNL) as one of 16 federally managed sites primed for rapid artificial intelligence (AI) data center development, aiming to bolster U.S. leadership in AI while leveraging existing infrastructure and clean energy resources.

The newly issued Request for Information (RFI) seeks industry, government, and community input on power requirements, site design, and innovative operational models, with construction targeted to begin by the end of 2025 and operational launch by 2027.

Oak Ridge offers approximately 100 near-term developable acres, robust 500KV transmission lines, proximity to the TVA's Clinch River small modular reactor site (providing up to 800MW), and synergistic access to leading AI, quantum, and supercomputing research.

According to Prasanna Balaprakash, ORNL AI Program Director,

“Oak Ridge National Laboratory has unique expertise and facilities to advance the state of the art in artificial intelligence and apply it to the Department of Energy's most pressing scientific and national security challenges.”

The DOE's approach strives to fast-track permitting, foster public-private partnerships, and integrate cutting-edge onsite energy - including nuclear and renewables - to address skyrocketing data center demand, which could consume up to 12% of U.S. electricity by 2028.

For a full breakdown of all potential DOE sites, data center designs, and key requirements, see the official DOE Request for Information on AI Infrastructure.

For insight into Oak Ridge's AI research vision and strategic context, visit WBIR's coverage on Oak Ridge's role in U.S. artificial intelligence, and for a sector-wide perspective, explore Data Center Frontier's analysis of DOE's AI data center boom.

Conclusion: Chattanooga's Ongoing Journey at the Forefront of American Innovation

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Chattanooga's ascent in the national tech landscape continued in May 2025 with strategic investments and partnerships that are redefining the city's innovative edge.

The city made headlines as the nation's first hub for commercial quantum computing, with EPB and IonQ teaming up on a center that promises to drive economic impact in sectors like manufacturing and cybersecurity, and marks a "pivotal step in building a quantum economy" for Tennessee (Chattanooga to establish nation's first quantum tech center).

Further fueling the momentum, the Tennessee Department of Economic and Community Development announced $1 million in new funding to accelerate AI-powered mobility and disaster response projects led by the University of Tennessee at Chattanooga and Knoxville, solidifying Chattanooga's place in smart city development and R&D leadership (TNECD Announces an Additional $1 Million in Funding).

These advances build on Chattanooga's pioneering investments in urban infrastructure - including its citywide gigabit fiber network - which have yielded over $2.2 billion in economic value and serve as a global model for smart city collaborations (Smart city planning must work for both private business and public citizens).

As public, private, and academic partners deepen their collaborations, Chattanooga stands as a testament to how long-term vision and community investment can position a city at the forefront of American innovation, offering a roadmap for other regions seeking to blend digital progress with economic opportunity.

Frequently Asked Questions

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What is the EPB Quantum Center and why is it significant for Chattanooga?

The EPB Quantum Center is a $22 million project announced in May 2025 through a partnership between IonQ and EPB, making Chattanooga the first city in the U.S. to host a commercial quantum computing and networking hub. The center will house the IonQ Forte Enterprise Quantum Computer and support breakthroughs in areas such as energy grid optimization, cybersecurity, and workforce development, positioning Chattanooga as a national leader in quantum technology.

What smart city technologies are being implemented in Chattanooga?

Chattanooga is deploying one of the country's largest lidar-enabled smart traffic networks using Ouster BlueCity technology across 120+ intersections, expanding AI-powered municipal services, and supporting local startups through initiatives like the INCubator hub and UTC's Center for Urban Informatics and Progress. These efforts include AI-driven collision prediction, smart crosswalk systems, advanced fleet management, and partnerships that advance pedestrian and traffic safety.

What new grants and investments were announced for tech development in Chattanooga and Tennessee in May 2025?

In May 2025, the University of Tennessee at Chattanooga secured a $500,000 grant for AI-driven traffic safety projects, including real-time accident detection and smart crosswalks. Statewide, Tennessee's Transportation Network Growth Opportunity (TNGO) program awarded $1 million, with UT Knoxville leading AI-preparedness platforms for disaster management. These investments are part of broader efforts to spur innovation in mobility, safety, and research.

How is artificial intelligence transforming industries and public safety in Chattanooga?

AI is being used in Chattanooga to power traffic safety solutions, smart municipal services, and logistics operations. Notable deployments include AI-powered collision prediction and crosswalk signals to protect pedestrians, advanced fleet monitoring systems that reduce accidents and insurance costs, and AI-enabled traffic management with lidar data analytics. These tools enhance both public safety and operational efficiency for local businesses and agencies.

What are the cybersecurity challenges and trends emerging in Tennessee's tech sector?

As Tennessee's tech adoption accelerates, organizations are facing growing cybersecurity risks such as 'AI fatigue,' where overreliance on artificial intelligence can lead to vulnerabilities, including increased success of AI-powered phishing. With the upcoming Tennessee Information Protection Act (TIPA) taking effect July 1, 2025, experts recommend continuous security monitoring and active executive involvement to address heightened regulatory and cyber threat landscapes.

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Ludo Fourrage

Founder and CEO

Ludovic (Ludo) Fourrage is an education industry veteran, named in 2017 as a Learning Technology Leader by Training Magazine. Before founding Nucamp, Ludo spent 18 years at Microsoft where he led innovation in the learning space. As the Senior Director of Digital Learning at this same company, Ludo led the development of the first of its kind 'YouTube for the Enterprise'. More recently, he delivered one of the most successful Corporate MOOC programs in partnership with top business schools and consulting organizations, i.e. INSEAD, Wharton, London Business School, and Accenture, to name a few. ​With the belief that the right education for everyone is an achievable goal, Ludo leads the nucamp team in the quest to make quality education accessible