Fortunately, even if hypothetically Texas and California will diverge even more and implement even more diverging laws, they will still be more similar than two random EU countries. They will have common legal language, they will have common federal law applied to both, they will have the same freedom of personal movement as exists today. All of the more important things for the business. I'm talking about business outlook here, not personal freedoms or other problems applied to individuals.
Let's imagine for a second you want to create a startup making cell phones, or cars, or TVs etc. You base in say Texas for the taxes, but workforce can freely move to the Texas from California. They have zero language barrier, they have zero legal barrier. Legal, highly skilled immigrants in California can freely move to Texas for work. The product you make has to conform with both Cali and Texas laws, bud federal ones are unified. It needs to be localized for 1 single language. And it can be immediately sold to the 350mil market with minimal changes. Now if you do the same in France, you are limited with French workforce, because of the language barrier and legal barriers. Then to sell to the whole EU you need to comply with 24 laws and localize to 21 language. And support all that. EU company is less competitive on this basis alone, plus USA doing brain drain (which they foolishly want to limit now) is not helping.
That's exactly what I meant by the US becoming more fragmented (but not as fragmented as the EU). There's going to be a lot of separation and distinction between states, including some cultural, but also regulatory and policy-wise. The only thing differentiating it from the EU is the language bit (which is now increasingly solvable with AI translations).
Let's imagine for a second you want to create a startup making cell phones, or cars, or TVs etc. You base in say Texas for the taxes, but workforce can freely move to the Texas from California. They have zero language barrier, they have zero legal barrier. Legal, highly skilled immigrants in California can freely move to Texas for work. The product you make has to conform with both Cali and Texas laws, bud federal ones are unified. It needs to be localized for 1 single language. And it can be immediately sold to the 350mil market with minimal changes. Now if you do the same in France, you are limited with French workforce, because of the language barrier and legal barriers. Then to sell to the whole EU you need to comply with 24 laws and localize to 21 language. And support all that. EU company is less competitive on this basis alone, plus USA doing brain drain (which they foolishly want to limit now) is not helping.