Seeking Government Support for AI-Related Investments
It was belatedly revealed that OpenAI, the developer of ChatGPT, sent a letter to the White House at the end of last month, requesting an expansion of the scope of semiconductor-related tax credits.
On November 8, Yonhap News reported, citing a letter posted on the OpenAI website, that the company requested the recipients of investment tax credits under the CHIPS Act be expanded beyond semiconductor manufacturing to include related supply chains.
According to the letter, the mentioned fields include artificial intelligence (AI) data centers, AI server manufacturing, and power grid components such as transformers and specialty steel. OpenAI explained, "Expanding the scope of investment tax credits will lower the actual cost of capital, mitigate initial investment risks, attract private capital, resolve bottlenecks, and accelerate the buildout of AI infrastructure in the United States."
The CHIPS Act, enacted in 2022 during the Joe Biden administration, provides a 25% tax credit to companies building semiconductor factories in the United States. In July of this year, under the "One Big Beautiful Bill" (OBBBA), the tax credit rate was increased to 35%.
In the letter, OpenAI also mentioned recent controversial measures such as government guarantees, but clarified that these guarantees would apply not to OpenAI itself, but to manufacturers. OpenAI argued that the government should provide subsidies, cost-sharing agreements, loans, or loan guarantees to domestic manufacturers in the United States to counter China.
OpenAI emphasized that such financial support would help respond to China's "market distortions" regarding copper, aluminum, electrical steel, rare earth elements, and semiconductor raw materials. The company also stated that direct funding would help reduce the production lead time for key power grid components, including transformers.
The letter was sent on October 27 under the name of Chris Lehane, OpenAI's Chief Global Affairs Officer (CGAO). The recipient was Michael Kratsios, Director of the White House Office of Science and Technology Policy.
This letter serves as an example of how OpenAI, which enjoys immense global popularity but has yet to turn a profit, is continuously seeking federal government support for its costly AI investments.
Previously, Sarah Friar, OpenAI's Chief Financial Officer (CFO), faced backlash after stating at a conference that the company was considering a plan for the government to guarantee the cost of procuring AI chips. David Sacks, the White House Science and Technology Advisor who oversaw AI policy during the Donald Trump administration and was known as the "AI Czar," firmly stated, "There will be no federal bailout for AI."
Sarah Friar immediately retracted her statement. CEO Sam Altman also clarified on social media, saying, "We neither have nor want a government guarantee for OpenAI data centers."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
