VC Vinod Khosla says the US government could take 10% stake in all public companies to soften the blow of AGI

Vinod Khosla has put forth a provocative proposal aimed at addressing the societal shifts brought on by advancements in artificial intelligence. During his appearance at the TechCrunch Disrupt 2025 conference, the founder of Khosla Ventures suggested that the U.S. government could acquire a 10% ownership stake in all publicly traded companies, redistributing their wealth to benefit the wider population. Khosla's idea was inspired by a prior decision made during Donald Trump's presidency when the government purchased a 10% stake in Intel. He reflected on this during his presentation, saying, "When Trump bought 10% of Intel, I wondered if it wasn’t a good idea. Imagine taking 10% of every corporation and placing it into a national pool for the people. That’s a compelling concept." While discussions around universal basic income have been prevalent among AI leaders, Khosla's endorsement of a government stake in private enterprises is a notable departure from typical investor rhetoric. He acknowledged the potential backlash his idea might provoke but emphasized the urgency of such measures to maintain social stability in light of the disruptions caused by artificial general intelligence. Khosla stated, "I’ll get critique for this idea, but sharing the wealth generated by AI is crucial to ensure everyone benefits. We won’t need to implement this for another 15 years, but we must consider the well-being of those impacted. By 2035, we could be facing a significantly deflationary economy." He also warned of the job displacement that AI could cause, indicating that this shift would necessitate profound changes in society. For entrepreneurs, he sees this as an opportunity, highlighting that there is a burgeoning startup for nearly every profession, including areas like accounting, medicine, and marketing. Furthermore, Khosla suggested that the nature of work itself is likely to evolve dramatically in the AI age, pointing out that many current jobs, such as those involving manual labor on assembly lines or traditional farming, may become obsolete. He remarked, "That’s servitude to survival," advocating for a future where work is redefined in the context of AI advancements.