Bernie Sanders proposes $7 trillion sovereign wealth fund through 50% tax on largest AI companies

Senator Bernie Sanders has unveiled sweeping legislation that would transfer significant wealth and ownership stakes from the artificial intelligence industry to the American public through the creation of a sovereign wealth fund. The proposal, first revealed to The Associated Press, represents the most ambitious legislative attempt to date to ensure public benefit from AI's economic gains.

The centerpiece of Sanders' plan is a one-time 50% tax on the stock of the largest AI companies, applied to any firm reaching $200 million in annual AI sales. Rather than collecting cash payments, the legislation would require companies to transfer stock directly to a newly created sovereign wealth fund, making the American public a major shareholder in the country's largest AI firms. Sanders estimates this fund could reach nearly $7 trillion in value. The fund would be overseen by a seven-person independent commission nominated by the president and confirmed by the Senate, operating on a bipartisan basis. Commission members would use their voting shares to block corporate decisions deemed harmful to the public and advocate for policies benefiting ordinary Americans.

Under Sanders' proposal, a 5% annual dividend from the fund would provide direct payments exceeding $1,000 to every American, with additional gains directed toward public goods including health care, education, and housing. Sanders estimates the fund could generate hundreds of billions of dollars annually for such purposes. He has emphasized that Americans would not bear losses if AI company valuations decline, as the public ownership would be structured as equity stakes rather than debt obligations.

The proposal has drawn interest from figures across the political spectrum, though responses differ significantly in scope. President Donald Trump has indicated openness to government ownership stakes in AI companies, describing such arrangements as potentially beneficial partnerships with the public. OpenAI CEO Sam Altman and Anthropic CEO Dario Amodei have expressed support for public benefit mechanisms from AI development, though sources indicate they remain "far apart" from Sanders on the extent of public ownership. Sanders has stated his intention to campaign on the proposal and characterized AI firms proposing smaller public ownership percentages as prioritizing corporate interests over public welfare.

Sanders stressed that this represents only an initial step in ensuring AI benefits are widely shared. "The public has got to have a significant seat at the table to make sure that terrible things do not happen to ordinary people, and that in fact, AI benefits ordinary people, not hurts them," Sanders said. The legislation marks the first serious legislative effort to implement the sovereign wealth fund concept Sanders has previously promoted, moving the idea from campaign rhetoric into formal legislative language.