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OpenAI proposes U.S. government 5% stake to ease Washington political pressure, report says
The Apex Times

THE APEX TIMES

International/The Apex Times/Jul 2, 12:51 AM EDT

OpenAI proposes U.S. government 5% stake to ease Washington political pressure, report says

The proposal, outlined in talks described by a major newspaper, would give the government a minority ownership position in the artificial intelligence startup, estimated at tens of billions of dollars based on its latest valuation.

3 min readEditor-approved Apex article

OpenAI has proposed handing the U.S. government a 5% stake in the company, according to a report describing early discussions with the Trump administration aimed at reducing political pressure in Washington. The move, discussed by multiple people familiar with the talks, would function as a way to give the public a direct financial stake in the company’s upside while potentially reframing AI oversight and industrial policy debates.

CNBC reported that the proposal would place the U.S. government among the company’s owners at a size that is described as roughly $42.6 billion based on OpenAI’s most recent valuation. The estimate cited in the report draws on a March funding round that valued the company at about $852 billion on a post-money basis.

The report also said OpenAI CEO Sam Altman argued that a public ownership interest is the best way to share the upside of AI with Americans, according to CNBC’s account of the discussions. It further said the idea of a 5% holding was raised in early conversations with the Trump administration.

The proposal arrives amid high scrutiny of AI companies, including questions about market power, the public interest, and the role of government in guiding fast-moving technologies. In June, President Donald Trump said taking an ownership stake in AI giants would be “a beautiful thing” and make the American public “partners in this revolution,” a quote CNBC linked to the broader policy approach behind the conversations.

According to CNBC, it is not clear whether the administration intends to pursue the stake. The White House and OpenAI did not immediately respond to CNBC’s requests for comment, leaving unresolved both whether talks advanced beyond the proposal stage and how any arrangement would be structured legally and financially.

CNBC also said the potential arrangement envisions other U.S. AI companies ceding similar stakes to the government, though it remains unclear whether rival labs would participate. That uncertainty matters because it would affect whether the government stake strategy becomes a one-off negotiation or a broader framework for AI-related governance.

The report drew a comparison to prior government equity positions in strategic industries, including an existing 10% stake in Intel following the government’s investment in the chipmaker’s common stock. CNBC said Trump had remarked in May that he should have asked for a bigger stake in Intel, underscoring that the administration has indicated interest in ownership leverage rather than regulatory oversight alone.

For now, the proposal appears to be a concept under discussion rather than a finalized deal. If pursued, it would represent a notable shift in how Washington might use ownership stakes to address political and public concerns about AI development, while also raising questions about disclosure, governance rights, and how such equity interests would interact with any future regulatory requirements.

Why It Matters

  • If implemented, an equity stake would change the practical relationship between Washington and major AI developers, shifting some power to an ownership-based model rather than only regulation or procurement.
  • Because the proposal is described as a way to address “political blowback,” it highlights the extent to which AI oversight debates could reshape government-industry bargaining in the near term.
  • The size of the cited valuation implies substantial fiscal and governance implications, including disclosure, risk, and how ownership rights might be managed over time.
  • If similar stakes spread to other companies, it could affect competitive dynamics in U.S. AI markets and raise questions about consistency across firms and technologies.

Sources

Key Facts

  • A report says OpenAI proposed giving the U.S. government a 5% stake in the company.
  • The proposal was described as part of early talks with the Trump administration to help defuse political pressure in Washington.
  • The stake size is estimated at about $42.6 billion based on OpenAI’s reported $852 billion post-money valuation from a March funding round.
  • CNBC reported that OpenAI CEO Sam Altman argued that giving the public a financial interest is the best way to share the upside of AI, according to people familiar with the talks.
  • The administration’s intention to pursue the stake was not stated in the report, and CNBC said the White House and OpenAI did not immediately respond to requests for comment.
  • The proposal was described as potentially involving similar stakes from other U.S. AI companies, though participation by rival labs was described as unclear.
  • CNBC cited the U.S. government’s existing 10% stake in Intel, and referenced a Trump remark in May about seeking a bigger stake there.