WASHINGTON, DC — Senator Bernie Sanders introduced the American AI Sovereign Wealth Fund Act during a news conference at the Hart Senate Office Building on April 16, 2026. The legislation proposes a one-time 50 percent tax on the stock of artificial intelligence companies such as OpenAI, Anthropic, and xAI, with the collected shares transferred to a publicly managed fund.
Under the proposed framework, the federal government would hold voting rights and secure board representation at the targeted technology firms. This ownership structure would grant the government the authority to block corporate decisions and advocate for public-interest policies. The fund is also designed to distribute financial payouts directly to citizens, providing ordinary Americans with a stake in the industry.
Sanders wrote in an op-ed that "AI is built on collective human intelligence including books, songs, artwork, journalism, and scientific research." He stated that technology developers have used public knowledge without permission, acknowledgment, or compensation, effectively appropriating the creative work of millions for the benefit of wealthy individuals. "It is time for the public to reclaim the collective intelligence used in AI development," Sanders said.
Historical precedents for federal involvement in private industries provide context for the proposal. In the 1930s, about 10 percent of rural Americans had access to electricity, while urban areas had near-universal connectivity. Private utility companies refused to extend service to unprofitable rural communities, prompting federal intervention through the Tennessee Valley Authority. The construction of Norris Dam in East Tennessee led to the displacement of more than 15,000 people from 125,000 acres acquired through eminent domain. Property owners received financial compensation; sharecroppers and tenant farmers did not. The Labor Reform Party’s 1872 platform called for government prevention of excessive telegraph rates. During World War I, President Woodrow Wilson transferred control of telephone and telegraph lines to the U.S. Post Office from June 1918 to July 1919.
The Cato Institute estimates that the Trump administration holds ownership stakes in 20 private companies through equity arrangements, warrants, or golden shares. Companies involved reportedly include Intel, IBM, GlobalFoundries, MP Materials, Trilogy Metals, Lithium Americas, and xLight. Sanders has previously advocated for increased taxation of billionaires and expressed concerns about artificial intelligence systems replacing American workers. The 2026 proposal seeks to establish a formal public financial structure to manage federal equity in the technology sector.
No independent assessment of Bernie Sanders’s claims was available.