OpenAI is reportedly in talks to give the U.S. government a 5% stake worth $42.6 billion, modeled on the Alaska Permanent Fund.
OpenAI has reportedly discussed giving the United States government a 5 percent equity stake in the company, a move that would hand Washington a slice of the startup worth roughly $42.6 billion based on its $852 billion valuation from its March funding round. The Financial Times reported the talks, citing two people familiar with the discussions.
At a Glance
- Proposed stake: 5 percent of OpenAI, worth about $42.6 billion at the company's $852 billion valuation
- Sam Altman pitched the idea to President Trump, Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent
- Model: a sovereign wealth style vehicle similar to the Alaska Permanent Fund
- Altman wants Anthropic, Google and Meta to join with similar 5 percent contributions
- Any deal would likely need Congressional approval and remains conceptual for now
Why Altman Is Pushing an Alaska Style Fund
Altman's argument is that a government stake would spread AI's financial upside to ordinary Americans rather than letting it concentrate among a handful of companies and investors. The structure he has floated mirrors the Alaska Permanent Fund, the state owned investment vehicle created in 1976 that channels oil revenue into annual dividend checks for residents. Applying that model to AI would mean the value generated by companies like OpenAI eventually flows back to the public through a similar payout mechanism.
Altman did not keep the pitch limited to his own company. He reportedly wants Anthropic, Google and Meta to contribute a matching 5 percent slice of their AI businesses to the same fund. None of those three companies has shown any public interest in participating so far.
A Pattern of Government Equity Deals
Washington has increasingly used equity stakes as leverage in its dealings with technology firms, and OpenAI's proposal would extend that pattern into the AI sector specifically. Last August, the government converted CHIPS Act grants into a 9.9 percent stake in Intel, paying $8.9 billion for shares priced at $20.47 each. That position is now worth more than $50 billion. Separately, AMD and Nvidia agreed to give up 15 percent of their China chip revenues in return for export licenses. Trump said in May that he wished he had pushed for an even bigger cut of Intel.
| Deal | Government Stake | Approximate Value |
|---|---|---|
| Intel | 9.9% | Over $50 billion (from an $8.9 billion investment) |
| OpenAI (proposed) | 5% | Roughly $42.6 billion |
| AMD/Nvidia | 15% of China chip revenue | Not disclosed |
OpenAI Versus Anthropic on Government Relations
OpenAI has generally taken a more cooperative posture toward federal oversight than Anthropic, which has resisted similar arrangements. OpenAI released a limited version of GPT 5.6 just days before the equity talks became public, after the White House's Office of the National Cyber Director requested a restricted launch while a testing framework for frontier AI systems is developed.
Anthropic had a rougher month. The company spent much of June locked out of Mythos 5 and Fable 5 under emergency export controls after the Defense Department flagged it as a supply chain risk. Access was only restored this week. Where OpenAI has signed onto government partnerships that Anthropic turned down, the contrast in approach may explain why OpenAI, rather than Anthropic, is the one now discussing equity with federal officials.
What This Would Mean If It Happens
Nothing here is finalized. The Financial Times described the talks as conceptual and still in early stages, and any formal arrangement could require Congress to sign off. If the deal does go through, it would be the first time the federal government holds an equity position in a private AI company, a notable shift from grants, contracts or export controls toward direct ownership. For OpenAI, which is reportedly working through a confidential IPO filing and facing scrutiny from a coalition of 42 state attorneys general, giving up a slice of equity might be viewed as a reasonable price for smoother relations with Washington.
Frequently Asked Questions
How much would the government's stake in OpenAI be worth?
At OpenAI's $852 billion valuation from its March funding round, a 5 percent stake would be worth approximately $42.6 billion.
Would other AI companies be involved?
Sam Altman has proposed that Anthropic, Google and Meta contribute similar 5 percent stakes to the same fund, though none of them has agreed to participate.
Has the U.S. government taken equity stakes in tech companies before?
Yes. The government converted CHIPS Act grants into a 9.9 percent stake in Intel last August, and AMD and Nvidia agreed to share 15 percent of their China chip revenues for export licenses.
Does this deal need approval before it can happen?
According to the Financial Times, any arrangement is still conceptual and could require Congressional approval before moving forward.
What Comes Next
The idea of a government stake in a private AI lab would have seemed unlikely even a year ago, but Washington's growing comfort with equity as a policy tool makes it plausible now. Whether Congress, or rival AI companies, warm to the idea is the open question that will decide if this stays a proposal or becomes precedent.
