OpenAI expands its presence in Washington, promoting initiatives in energy and security

The AI sector is seeking support from Trump's administration to position itself as a defensive strategy against China. OpenAI aims to take the lead in this effort.

OpenAI expands its presence in Washington, promoting initiatives in energy and security
OpenAI, the rapidly expanding creator of ChatGPT, is significantly increasing the size of its Washington, D.C., policy team by tripling its staff and advocating for an extensive new initiative aimed at providing more affordable energy for data centers.

Currently, OpenAI employs a 12-person Washington policy team, which is modest compared to industry behemoths like Amazon and Meta, each having substantially more registered lobbyists. Nevertheless, OpenAI's recent actions indicate a desire to gain ground as it seeks federal backing.

The transition comes after four years of the Biden administration's stringent stance on Big Tech and the formulation of extensive regulations for emerging AI platforms. With the forthcoming Trump administration expected to be more favorable towards the tech sector, the president-elect has appointed well-known Silicon Valley figures, including Elon Musk and David Sacks, to key government roles. Additionally, there seems to be Republican enthusiasm for establishing data centers close to energy sources to meet the substantial computing demands of the industry.

To harness this momentum, OpenAI is urging policymakers to recognize the significance of the AI sector in the economic and security rivalry with China. The company has onboarded D.C. insiders from various political backgrounds and enhanced its lobbying efforts, aiming to persuade Congress and state officials to support an ambitious strategy for building technological and energy infrastructure for AI advancement.

“You could call this the third era of the digital economy, depending how you want to count. We’re at the front end of a deep tech period that’s going to be incredibly transformative,” said Chris Lehane, the company’s head of global affairs. “I think you will see us really looking to engage in stuff that goes well beyond the traditional partnerships.”

Lehane, who previously served as a senior aide to Bill Clinton and Al Gore before moving into the tech world with Airbnb, joined OpenAI in August. He has significant experience in the political arena and also took a position on the board of Coinbase and helped establish the Fairshake PAC, which made generous contributions during recent elections.

In interviews, Lehane highlighted the importance of competing with China in the context of AI advancements. “You absolutely want to make sure that America wins on AI,” he stated. “And for America to be first on AI, OpenAI is going to have to be amongst the first companies that you’re engaging with.”

OpenAI’s strategic policy hires for 2024 showcase its intention to bridge partisan divides. The company’s congressional lobbying team now includes Matt Rimkunas and Meghan Dorn, both of whom previously worked with Senator Lindsey Graham. Sasha Baker, a former Defense Department deputy undersecretary under Biden, has taken charge of OpenAI's national security policy. Other key hires include Morgan Dwyer and Ben Schwartz, former members of the Biden administration’s CHIPS program office, and chief economist Aaron “Ronnie” Chatterji, who previously served as White House CHIPS coordinator and Commerce Department chief economist.

Moreover, OpenAI has expanded its lobbying presence, enlisting firms such as Hogan Lovells and Miller Strategies this year, joining those registered last year like DLA Piper and Akin Gump. However, OpenAI's lobbying activities are still significantly less extensive than those of other major tech players, with OpenAI reporting three registered lobbyists compared to Amazon’s over 20, Meta’s 14, Microsoft’s 11, and Google’s seven.

OpenAI’s messaging marks a shift in both the company's strategy and the industry's role, which has become increasingly pivotal in terms of national security, economic competition, and the future workforce landscape. In contrast to 2023, when OpenAI CEO Sam Altman visited Washington to address AI safety concerns, the regulatory dialogue has quieted as proposed bills aimed at establishing technology standards have failed to progress. Key Republican figures, from President-elect Donald Trump to incoming Senate Commerce Chair Ted Cruz, now appear to prioritize AI advancements over regulatory measures.

The company is keenly aware of the current environment and is seizing opportunities. A company spokesperson noted that OpenAI entered its first commercial partnership with the Department of Defense’s Air Force Research Lab in October, followed by a collaboration with Anduril in December to provide AI solutions for the U.S. military.

OpenAI is actively marketing an ambitious energy infrastructure initiative to influential congressional aides and state leaders. This proposal includes the establishment of "AI economic zones" with expedited permitting for data center construction and the development of a national electrical transmission network to support these facilities.

Lehane mentioned that other tech companies share an interest in pushing the energy infrastructure agenda. “There’s a lot of hyperscalers out there who are really interested in the need for infrastructure,” he remarked. “I don’t think we are alone or singular.”

While OpenAI’s aspirations may appear grand, the potential for competitive threats looms large. The company is currently countering a lawsuit initiated by none other than Musk, who leads the competing firm xAI. Although it is challenging Musk in court, Altman has sought to cultivate a positive relationship with both Musk and Trump since the election. In December, Altman expressed confidence that “pretty strongly that Elon will do the right thing,” adding that it would be “profoundly un-American” for Musk to leverage his political influence against competitors. Additionally, Altman, along with leaders from Meta, Amazon, and Perplexity, pledged a $1 million contribution to Trump’s inauguration fund, asserting, “President Trump will lead our country into the age of AI, and I am eager to support his efforts to ensure America stays ahead.”

OpenAI's expansion in Washington coincides with a governmental push to prioritize the AI sector's needs. The Biden administration has contemplated recent executive actions to stimulate AI datacenter growth, raising concerns among environmental advocates and Democratic senators. This drive is poised to gain momentum under Trump, who has promised a “DRILL BABY DRILL” strategy to achieve energy supremacy and succeed in the AI “arms race against China.”

Supplementing this momentum, Silicon Valley leaders are advocating for increased U.S. energy production and reduced regulatory constraints.

Klon Kitchen, a senior fellow at the American Enterprise Institute, stated that OpenAI is not isolated in its strategic adaptation to highlight security and competition with China. “Much of the industry ... over the last 24 months, realized that [AI] was escalating quickly in terms of capabilities and implications, and started to reorient themselves for the U.S. government, particularly on national security accounts,” he noted. “It has been a long time coming.”

Aarav Patel for TROIB News