This TaxProf Op-Ed on whether the government should control the major AI firms is by Reuven S. Avi-Yonah (Michigan): Should the Government Control the Major AI Firms? Reuven Avi-Yonah1 Senator Bernie Sanders (I-VT) has proposed recently that the government should take an equity interest in the largest AI firms and use it to fund a $7 trillion sovereign wealth fund.2 The proposed American AI Sovereign Wealth Fund Act would— - Require the largest AI companies to pay a one-time tax of 50 percent of their equity to the American AI Sovereign Wealth Fund. The tax would apply to new AI companies when they become sufficiently large to qualify (i.e., record $200 million in annual AI sales). - Require the largest AI companies that operate both AI and non-AI businesses to separate those businesses, ensuring the public receives an ownership stake in only the AI business. - The American AI Sovereign Wealth Fund would be run by the Independent Commission for Democratic AI, which: - Consists of 7 bipartisan Commissioners nominated by the President and confirmed by the Senate, based on a list of names provided by Congress. - The Commissioners would be mandated to promote the goals of worker welfare, public safety, fair competition, environmental sustainability, and financial solvency. - The Fund would pay out an annual dividend of 5% of its value to be used for direct payments to the American people as well as other measures to ensure every American has a high standard of living, including access to health care, education, and housing.3 This legislative proposal is based on the work of Profs. Jeremy Bearer-Friend and Sarah Polcz, who have suggested that instead of imposing a traditional corporate tax, the government should be granted shares in the AI companies, primarily as a way of raising additional revenues