California Gubernatorial Candidate Tom Steyer Proposes AI Usage Tax to Fund Education and Worker Retraining

California gubernatorial candidate and billionaire Tom Steyer has put forth a proposal for a tax on the use of artificial intelligence (AI). According to Steyer, the funds raised from this tax would be allocated to a state investment fund that would finance education, retraining of workers, and monetary assistance for individuals who have lost their jobs as a result of automation.

During a voter meeting in San Diego, Steyer emphasized that the advancement of artificial intelligence could lead to job losses for many office workers, complicating their ability to pay bills. "This technology allows computers to perform the work of millions of people, and their salaries effectively shift to the owners of the technology," he remarked, highlighting the negative consequences of automation.

Steyer, known as an environmental activist and founder of the investment firm Farallon Capital, has a net worth of approximately $2.4 billion. In his political platform, he advocates for universal healthcare, the abolition of the Immigration and Customs Enforcement (ICE) agency, and increased taxes on the wealthy. He stressed that the new taxes would also apply to himself.

Speaking about the implications of automation, Steyer compared the current situation to the 1970s and 1980s when manufacturing jobs disappeared in the American Midwest. He described worker retraining as a crucial condition for adapting to new circumstances, emphasizing that previous promises in this regard had not been fulfilled, which he deemed the greatest political mistake of his generation.

The politician underscored the importance of society receiving a share of the benefits from the development of artificial intelligence. He believes that this approach will assist individuals in finding new jobs and undergoing training. "AI should be viewed as a tool for workers, not as their replacement," Steyer stressed, adding that it is unacceptable for dozens of trillionaires to emerge while millions of people struggle to afford housing.

Steyer proposes taxing companies that utilize artificial intelligence based on the number of data tokens processed. His plan includes the creation of the Golden State Sovereign Wealth Fund, which would be funded by a small fee for each unit of data processed by large tech companies. This idea had previously been suggested by Dario Amodei, the head of Anthropic.

Steyer noted that the specifics of the tax still need to be finalized. He believes that a portion of the profits from the development of artificial intelligence should belong to society to compensate for job losses and fund workforce training. During the meeting, one attendee mentioned the rising electricity rates due to the construction of data centers. Steyer responded that if his plan were implemented, the fund could help cover some of those costs.

During his speech, the politician was also interrupted by protesters who reminded him of his past investments in the private prison company CoreCivic. Steyer acknowledged that his fund had purchased shares in that company over 20 years ago, called it a mistake, and stated that he divested from the investment in 2012. He also added that he plans to donate a significant portion of his wealth to charity during his lifetime.