While Democrats once dominated state politics, things have changed dramatically since Jimmy Carter served as governor.
The Republicans have been the party in power since 2002 when Georgia elected its first Republican governor since the 1800s.
The state has voted for every Republican presidential nominee since 2000, although President Barack Obama garnered 47 per cent of voters in 2008. Last year, Obama received 45.5 per cent of the vote.
There had already been much internal optimism about the 2016 presidential race as being an opportunity for Democrats in Georgia.
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Carter's decision resets the 2014 governor's race as Republican Gov Nathan Deal seeks re-election. Deal already faces two Republican primary challengers and will now have to deal with a Carter campaign that is likely to gain national attention and donors.
"I've traveled around the state, and people believe our education system is on the brink. People believe the economy is not working for the middle class, and people want to see an honest government that works for everyone," Carter said in an interview with The Associated Press.
"As a state we can't wait four years to start getting those right."
Carter, 38, was first elected to the Georgia Senate from Atlanta in May 2010 and has been at the forefront among Democrats on issues like education.
A big question will be how his grandfather will factor into the campaign. The 89-year-old former president remains active in various international issues.