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OpenAI Seeks Expansion of Chips Act Tax Credit to Fund AI Data Centers Amid Infrastructure Push

A recent letter from OpenAI reveals the company’s push for expanded federal support to accelerate its data center construction in the United States. The letter, authored by OpenAI’s chief global affairs officer Chris Lehane and addressed to White House director of science and technology policy Michael Kratsios, urges the government to broaden the scope of the Advanced Manufacturing Investment Credit (AMIC) under the Chips Act. The AMIC, a 35% tax credit established by the Biden administration, currently applies only to semiconductor fabrication. OpenAI is advocating for its expansion to include electrical grid infrastructure, AI servers, and AI data centers—key components of the AI infrastructure buildout. “Broadening coverage of the AMIC will lower the effective cost of capital, de-risk early investment, and unlock private capital to help alleviate bottlenecks and accelerate the AI build in the US,” Lehane wrote. In addition to tax incentives, OpenAI is calling for faster permitting and environmental review processes for infrastructure projects. The company also recommends establishing a strategic reserve of critical raw materials—such as copper, aluminum, and processed rare earth minerals—essential for constructing AI facilities. OpenAI first released the letter on October 27, but it gained renewed attention this week following comments by executives at a Wall Street Journal event. CFO Sarah Friar initially suggested the government should “backstop” OpenAI’s infrastructure loans. However, she later clarified on LinkedIn that she misspoke: “OpenAI is not seeking a government backstop for our infrastructure commitments. I used the word ‘backstop’ and it muddied the point.” CEO Sam Altman reinforced this stance, stating that OpenAI does not “have or want government guarantees for OpenAI datacenters.” He emphasized the company’s belief that governments should not pick winners or losers, and that taxpayers should not be on the hook for business failures. However, Altman noted that OpenAI has discussed loan guarantees as part of broader efforts to support semiconductor fabrication in the U.S. Despite these clarifications, Altman expressed confidence in OpenAI’s long-term trajectory, predicting the company will end 2025 with an annualized revenue run rate above $20 billion and grow to hundreds of billions by 2030. He also revealed that OpenAI has secured $1.4 trillion in capital commitments over the next eight years to fund its infrastructure and development goals.

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OpenAI Seeks Expansion of Chips Act Tax Credit to Fund AI Data Centers Amid Infrastructure Push | Trending Stories | HyperAI