Jensen Huang floated AI tokens as part of engineers' compensation. Sam Altman says they could one day be a form of universal basic income.

In a bold move, Jensen Huang, CEO of Nvidia, suggested that engineers' compensation packages could soon include AI tokens. Speaking at Nvidia's GTC 2026 in San Jose, Huang highlighted the growing importance of tokens in Silicon Valley recruitment, stating, "How many tokens come along with my job?" This shift underscores the belief that access to tokens can enhance productivity among engineers. Tokens serve as the foundational language of AI, with large language models converting words and inputs into numerical tokens for efficient processing. Approximately three-quarters of a word comprise one token. This tokenization model has become a standard for AI service pricing, where costs are determined by the number of tokens utilized. Expanding on this concept, OpenAI CEO Sam Altman proposed that AI tokens could evolve into a form of universal basic income in the future. He envisions a scenario where individuals could decide to utilize or sell their share of AI computing resources. "I wonder if the future looks something more like Universal Basic Compute than Universal Basic Income," Altman remarked during a May 2024 episode of the All-In podcast, suggesting that these tokens could be likened to a share of productivity rather than conventional currency. Altman has also expressed the view that the output from AI could become as essential as utilities like water and electricity. He emphasized that the business model for AI providers will increasingly revolve around selling tokens, necessitating the establishment of large-scale AI data centers, which Huang refers to as "token factories." However, there are concerns regarding the sustainability and efficiency of this model. Microsoft’s Satya Nadella warned that if AI does not deliver tangible improvements in critical areas such as health, education, and public sector efficiency, the social license to utilize precious resources for token generation may dwindle. On the other hand, not everyone is optimistic about the utility of tokens. Venture capitalist Chamath Palihapitiya highlighted the rising costs associated with AI implementation in his company, 8090. Despite the initial goal of transforming legacy software, he reported a dramatic increase in AI expenses without a corresponding boost in revenue, stating, "Our costs have more than tripled since November of 2025." As the conversation around AI tokens evolves, it remains to be seen how these concepts will shape the future landscape of workforce compensation and productivity in the tech industry.