The most political move by the any major tech giant, Sam Altman’s OpenAI has proposed to give 5% to the Trump administration.
The Financial Times in an exclusive report revealed that ChatGPT creator is discussing handing the Trump administration a 5% stake in the company amid growing government scrutiny of artificial intelligence firms, according to CNN.
OpenAI proposal to Trump administration
The Financial Times, citing two people familiar with what were described as “early conversations,” on Thursday, July 2, reported that the proposal would involve other US AI companies giving the government similar stakes.
OpenAI CEO Sam Altman has argued that the arrangement would allow the public to share in the financial upside of AI, the FT reported.
A 5% share in OpenAI would be worth about $42.6 billion, based on its most recent funding round, which valued the company at $852 billion.
Sharing the wealth generated by AI with the public could help to address some of the pushback against the technology, which threatens jobs in many industries and has potentially wide-ranging implications for national security.
Last month, US President Donald Trump told reporters that he planned to meet with top AI executives to discuss giving the public a stake in their companies.
He said the White House was weighing various options for partnerships with AI firms that would allow the government to benefit from the industry’s growth.
OpenAI public stakes
Altman and other OpenAI executives have suggested that America’s leading AI companies allot 5% of their equity to a vehicle similar to the Alaska Permanent Fund, a sovereign fund that invests the state’s oil wealth into stocks and pays dividends to the state government.
Any deal might require an act of Congress to implement, the FT reported, citing people familiar with the talks. It is unclear whether other AI companies are supportive of the proposals.
In April, OpenAI argued for a “public wealth fund,” which “provides every citizen, including those not invested in financial markets, with a stake in AI-driven economic growth.”
Trump has made American leadership in AI and other advanced technologies a priority of his administration. In August, the US government took a 10% stake in chipmaker Intel, an investment worth $8.9 billion.
