Seattle mayor takes jab at cross-the-way Bellevue while unveiling new AI policy

Seattle Mayor Bruce Harrell took a playful jab at neighboring Bellevue during the unveiling of his city’s new artificial intelligence policy, declaring “They don’t have an AI House in Bellevue” while highlighting Seattle’s innovation edge. The remarks underscore growing competition between the two Washington cities as tech companies increasingly establish offices across the region, with Bellevue attracting major players like Amazon, OpenAI, and Zoom in recent years.

What you should know: Harrell made his comments while unveiling Seattle’s AI policy at the AI House, a startup hub financially supported by the city on Seattle’s waterfront.

• The mayor emphasized Seattle’s “unique history” as an innovation leader, citing the 1962 World’s Fair and the city’s diversity, arts, music, and restaurant scene as competitive advantages.
• “We are leaders, innovators … the Seattle World’s Fair was not in Bellevue, it was here in 1962, which put us on the map,” Harrell said in response to a Bloomberg reporter’s question about regional competition.

The big picture: Both cities are vying for tech talent and companies amid significant commercial real estate challenges and shifting corporate priorities.

• Bellevue has emerged as a major tech hub, hosting headquarters for T-Mobile, Valve, and Smartsheet, plus offices for Meta, ByteDance, and Pokémon.
• Amazon has rapidly expanded its downtown Bellevue footprint after clashing with Seattle lawmakers over corporate tax initiatives, making Bellevue central to its Puget Sound headquarters region growth.

Key details: The competition extends beyond rhetoric to real policy differences that affect business decisions.

• Seattle’s downtown vacancy rate topped 30% in Q2, while Bellevue’s stands at 17.1%, up from 3.3% in 2019, according to industry reports.
• Bellevue Mayor Lynne Robinson previously told GeekWire the city wasn’t interested in policies like Seattle’s payroll tax.
• Seattle voters recently approved a new tax on big businesses like Amazon to fund social housing development.

Why this matters: Harrell positioned the AI policy launch as part of a broader strategy to establish Seattle as a national leader.

• “We are trying to be very intentional about positioning Seattle as a national leader in responsible artificial intelligence implementation,” Harrell said.
• The cities will become more connected via public transit, with a new light rail line expected to open early next year linking the region.