A single state is still a large market to pass up, and tooling costs make it impractical to manufacture different versions of things.
Even for software, the US experiences positive externalities of the GDPR and the rest of the US does from privacy laws in California and Illinois (likely others that I don't know off the top of my head)
State laws also often serve as the prototype for federal ones.
It should be federal, but this is absolutely good news.
They had me in the first half not gonna lie