OpenAI Asked Trump Administration to Expand Chips Act Tax Credit to Cover Data Centers

Why It Matters

Expanding the tax credit could lower capital costs and unlock private investment in U.S. AI infrastructure, accelerating the nation’s competitive edge in artificial intelligence. The request underscores OpenAI’s push for policy support while maintaining a stance against government bailouts, shaping future industry‑government dynamics.

Summary

OpenAI sent a letter to the White House urging the Trump administration to broaden the Advanced Manufacturing Investment Credit under the Chips Act from semiconductor fabs to include AI servers, electrical‑grid components and data‑center construction. The company also asked for faster permitting, streamlined environmental reviews and a strategic reserve of key raw materials such as copper and rare‑earth minerals. While CFO Sarah Friar initially mentioned a government backstop for infrastructure loans, she later clarified OpenAI is not seeking guarantees, and CEO Sam Altman reiterated the firm does not want taxpayer bailouts, though it has discussed loan guarantees for semiconductor fabs. OpenAI projects an annualized revenue run‑rate above $20 billion by the end of 2025 and has pledged $1.4 trillion in capital commitments over the next eight years.