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OpenAI Discussed Giving U.S. a 5% Stake Worth About $42.6 Billion

Backers say the proposal would turn AI profits into public wealth through a government-held fund.

Overview

  • This week reports said CEO Sam Altman has discussed giving the U.S. government a 5% stake in OpenAI, a share that would be worth roughly $42.6 billion based on the company’s $852 billion valuation from March.
  • At that valuation a 5% stake works out to about $320 per American household if the value were split evenly, though OpenAI and the White House have not signed any deal or released formal terms.
  • The offer is presented as a way to compensate creators whose work trains AI and to seed a public wealth fund that could provide a safety net for workers displaced by automation.
  • Analysts and lawyers warn the idea faces big hurdles because a transfer would likely need congressional approval, could create regulatory conflicts if the government is both investor and regulator, and could disrupt OpenAI’s IPO timing and valuation.
  • Markets have already reacted to the reports, tokenized proxies and some stocks moved after the news, and the proposal sits inside a wider debate that includes OpenAI’s April white paper and Senator Bernie Sanders’s separate bill calling for a much larger public stake.