OpenAI proposes 5% stake to Trump administration to ease Washington pressure: report

In a bid to alleviate increasing political scrutiny, OpenAI has proposed to grant the U.S. government a 5% equity stake in the company, as reported by the Financial Times. This stake, estimated to be worth around $42.6 billion, follows a record-breaking funding round in March that valued the artificial intelligence firm at $852 billion post-money. OpenAI's CEO, Sam Altman, believes that providing the public with a financial interest in the company is a key strategy to share the benefits of artificial intelligence. The discussions surrounding this proposal indicate that Altman floated the idea of such a stake during initial talks with the Trump administration. However, it remains uncertain if the administration will act on this proposal. Both the White House and OpenAI have yet to respond to inquiries from CNBC regarding the matter. The proposed arrangement could also include other U.S.-based AI companies offering similar stakes to the government, although it's unknown if competitors would be willing to participate. Notably, the U.S. government holds a 10% stake in Intel Corp, resulting from an $8.9 billion investment in the company's common stock. President Trump previously remarked that he wished he had requested a larger stake in Intel. He has also expressed that the U.S. acquiring ownership stakes in major AI firms would be "a beautiful thing," suggesting it would allow Americans to become "partners in this revolution."