Senator Bernie Sanders published an op-ed in the New York Times this week announcing the American AI Sovereign Wealth Fund Act. The core mechanism is straightforward: levy a one-time 50% stock tax on top AI firms including OpenAI, Anthropic, and xAI, giving the federal government half ownership and equal board representation. Sanders bypasses gradual regulation, aiming to redistribute AI company ownership structure directly through legislation.
Who Owns the Training Data?
Sanders' argument begins with the origin of AI training data. He quotes OpenAI CEO Sam Altman acknowledging that AI models are built on "humanity's collective experience, knowledge, and learning outcomes." If training materials come from centuries of books, music, news, code, scientific research, and images created by millions, then who owns the resulting intellectual property? Sanders' answer: the creators — authors, artists, musicians, journalists, scientists, and countless ordinary people. He writes that their work has been "essentially stolen by some of the wealthiest people on the planet", a claim echoing ongoing court battles across the U.S.
Stock Tax Avoids Profit Loophole
The tax design targets stock, not profit. Traditional corporate taxes apply to net income, but most AI firms burn cash and report minimal profit. Sanders circumvents that by demanding payment in stock, enabling the federal government to acquire ownership, voting rights, and board seats immediately — without waiting for profitability. Critics on the right call it "a forced takeover of half a private company's equity," bordering on nationalization. Sanders counters with precedents Norway's sovereign wealth fund, built on oil revenue and worth over $2 trillion, delivering benefits to all citizens; Alaska's Permanent Fund, paying annual dividends for decades; and even Trump's executive order proposing a U.S. sovereign wealth fund.
The Industry's Own Contradictions
Perhaps the most ironic element is Sanders' use of the AI firms' own policy statements. OpenAI's recent policy paper proposed a "public wealth fund so every citizen can share in AI-driven economic growth"; Anthropic similarly suggested a national sovereign wealth fund holding AI shares; Elon Musk tweeted that a federal "universal high income" is the best way to handle AI-induced unemployment. Sanders challenges: if you've said AI wealth should benefit everyone, why not lock it in law? The gap between policy proposals and accepting a 50% stock tax is wide, but Sanders lets readers judge.
"The future of AI and the fate of humanity must not be decided behind closed doors in Silicon Valley by billionaires seeking power and profit maximization. It must be decided by workers, parents, teachers, artists, scientists, communities, and the American people." — Sanders wrote.