No Federal Bailout for AI, Says David Sacks — ‘If One Fails, Others Will Take Its Place’
Sanjeev Kumar November 07, 2025 04:22 AM

Sacks highlighted infrastructure reforms, such as easing permitting and expanding power capacity, as the key policy lever.

White House adviser David Sacks stated on Thursday that there will be no federal bailout for artificial intelligence companies. 

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“The U.S. has at least five major frontier-model companies. If one fails, others will take its place,” he wrote in a post on X. Rather than offering blanket support, Sacks emphasized that the government’s role will shift toward making infrastructure and regulation more efficient, especially in areas like permitting and energy generation. 

Source: @DavidSacks/X

The goal, he noted, is a rapid build-out of AI infrastructure “without increasing residential rates for electricity.” This reflects a policy focus on unblocking constraints in power and permitting rather than direct subsidies.

Source: @DavidSacks/X

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