Sanders argues that today’s AI systems rely heavily on content, knowledge, and creative works produced by generations of people. Because AI companies benefit from that collective human output, he says the public should share in the industry’s financial gains. The legislation, called the American AI Sovereign Wealth Fund Act, comes as lawmakers debate how to regulate AI and address concerns about wealth concentration in the technology sector.

Public stake in AI

The proposal would apply to AI companies generating more than $200 million in annual revenue. Those firms would become subject to a system that grants the public a significant ownership interest through a federally managed investment fund. Sanders estimates the fund could reach a value of roughly $7 trillion based on current valuations of leading U.S. AI developers.

The senator says the structure would allow Americans to benefit directly from one of the fastest-growing industries in the economy. He projects that citizens could initially receive annual payments of around $1,000. Those payouts could increase as the AI sector expands.

Speaking to reporters, Sanders said the payments would likely grow if AI companies continue generating larger profits. He also suggested future revenue could help support public priorities such as healthcare, education, and housing.

Collective value argument

At the center of the proposal is Sanders’ belief that AI companies derive value from information created by society as a whole. The legislation argues that AI models train on vast amounts of human-created material, including books, journalism, software code, scientific research, artwork, videos, and other forms of knowledge.

Sanders contends that a small group of technology executives now captures most of the economic benefits generated from those resources. Supporters of the measure compare AI to publicly owned natural resources. In that view, companies extracting value from a shared asset should return a portion of that wealth to the public.

Model draws from funds

The bill takes inspiration from sovereign wealth funds already operating across the United States and around the world. States such as Texas and New Mexico have long used investment funds supported by natural resource revenues to finance public programs, particularly education. Dozens of countries, including Norway, China, and the United Arab Emirates, also operate sovereign wealth funds that manage public assets and investments.

If Congress approves the legislation, a seven-member independent commission would oversee the fund. The president would nominate commissioners, while the Senate would confirm them.

The commission would represent public interests in qualifying AI companies and manage the government’s ownership stake. While the proposal faces significant political hurdles, it adds a new dimension to the growing debate over who should benefit from the economic gains created by artificial intelligence.