Why a compute tax on artificial intelligence would harm innovation and competitiveness
By
Max Gulker Managing Director
The bagel they save for the regulars. Don't skim, savour.
Summary
This article argues against a proposed "compute tax" on AI computation and data processing, warning that such a tax would slow innovation, reduce productivity gains, and weaken American competitiveness. The author contends that while AI disruption is real, taxing the computing power behind AI is the wrong policy response, as it would stifle the very technology driving economic growth and productivity improvements.
Key quotes
· 3 pulledThe rapid rise of artificial intelligence (AI) is opening a world of possibilities through innovation and gains to human productivity, but any technology with such potential will also bring disruptions to our economy and society.
One proposal gaining traction in some quarters is a 'compute tax' assessed on every unit of the computation and data processing that powers AI and robotics.
Taxing the computing power behind artificial intelligence could slow innovation, reduce productivity gains, and weaken American competitiveness.
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