Key facts
- President Trump is considering a plan for the U.S. government to take direct equity or revenue-sharing stakes in major AI companies.
- California Governor Gavin Newsom is also exploring similar concepts for public AI shares.
- These proposals aim to ensure taxpayers benefit from the profits of AI firms, many of which rely on public research and infrastructure.
- The AI industry's rapid growth and high valuations have prompted these discussions.
- The exact structure and legal framework for such stakes remain unresolved.
Policymakers are increasingly focused on ensuring that the immense wealth generated by the artificial intelligence sector is shared more broadly, moving beyond traditional approaches to technology policy. President Donald Trump is actively considering a framework that would grant the U.S. federal government direct equity or revenue-sharing stakes in leading AI companies. This proposal, confirmed by Trump in June 2026, represents a significant departure from the typical U.S. laissez-faire approach to technology and aligns him with progressive critics who argue taxpayers should benefit from publicly subsidized innovations.
Similarly, California Governor Gavin Newsom has shifted his focus from universal basic income to advocating for public ownership stakes in AI firms. Newsom's team has discussed potential stakes with OpenAI, and he has publicly called for solutions to ensure a share of the profits from upcoming IPOs flows back to society. This move reflects a broader trend where issues once considered fringe, like guaranteed income and public tech ownership, are entering mainstream political discourse.
These initiatives come as AI companies approach valuations of up to $1 trillion, fueled by substantial federal contracts, research, and infrastructure. The core idea under discussion involves conditioning government support, such as contracts or regulatory approvals, on AI companies providing equity or revenue-sharing arrangements to the federal government. This model bears resemblance to sovereign wealth funds utilized by nations like Norway and Singapore.
However, the proposals face skepticism. Some critics, like Dean Baker, warn that hyping public stakes could inflate an AI bubble and potentially worsen inequality. The specifics of Newsom's proposal remain thin, and the Trump administration's plan is still under consideration, leaving questions about its legal structure and enforcement mechanisms unresolved.