President Trump has rapidly embraced AI since his inauguration, spotlighted by a high-profile investment announcement with OpenAI’s Sam Altman and driven in part by the scale of promised spending. The administration, led on AI by David Sacks, is promoting AI as an economic engine and a strategic advantage over China while dialing back efforts to preempt state-level regulation. Bipartisan resentment of Big Tech and worries about job losses and cultural impacts create political headwinds, leaving a sizable, persuadable middle of voters.
Trump’s Big Bet On AI: Can He Turn Tech Investment Into Political Capital?
The great question of this presidency is when — and why — Donald Trump decided to make AI a central pillar of his administration.
On the 2024 campaign trail he rarely emphasized artificial intelligence. One of his clearest public engagements on the topic was a surprising, candid conversation with YouTuber Logan Paul, in which he warned that deepfakes could trigger catastrophic consequences but insisted that "AI is going to happen — and if it's going to happen, we have to take the lead over China." "We have to be very careful with it," he added.
Despite that limited campaign focus — immigration, the economy and culture wars dominated — the administration moved quickly after the inauguration. A day after his second inauguration, Mr. Trump stood with OpenAI CEO Sam Altman in the Roosevelt Room to announce a reported $500 billion wave of AI investment. The White House has since signaled a willingness to marshal federal resources behind large AI companies while resisting state and federal regulatory efforts that could slow their expansion. David Sacks, the administration's AI czar, has emerged as a highly visible and influential figure in Washington.
Why the Pivot to AI?
One explanation from an administration official: the money. Major AI firms promise investments and spending at scales that dwarf typical corporate pledges. "Trump pays attention to the zeros," as one ally put it. The White House argues that AI investments are already powering much of the country’s economic growth amid otherwise sluggish trends — a message intended to translate investment into jobs and local economic development.
Governors from both parties have endorsed that pitch. At Semafor’s Powering America’s Future event, Oklahoma Governor Kevin Stitt and Pennsylvania Governor Josh Shapiro promoted data centers and the power infrastructure that supports them as concrete economic opportunities for their states.
Politics, Populism, and Pushback
But the administration's pro-AI stance collides with a renewed, bipartisan skepticism of Big Tech. Resentment of technology companies has re-emerged as a rare area of cross-party agreement. Right-wing figures such as Steve Bannon and Tucker Carlson, along with progressive critics, warn that wealthy tech leaders have created products that threaten jobs, children’s development and social cohesion. As Peggy Noonan observed recently: "Haven’t we read about all the billionaires powering AI who have safe houses and bunkers to which to flee if and when the world they’re inventing goes under? Mr. Trump seems alive to none of this, but regular people are, and this has more to do with our economic unease than we credit."
Recognizing that political headwinds exist, the White House quietly scaled back an executive order that would have limited states’ authority to regulate AI — a retreat that reflected resistance from governors and some members of Congress. As Axios columnists Jim VandeHei and Mike Allen put it, "If AI were a political candidate, it would be getting clobbered."
Electoral Implications
The politics of AI are still forming. Vice President J.D. Vance — a figure with ties to Silicon Valley donors — might have been positioned to bridge pro-business AI policy and concerns about working-class voters, but his room for independence is limited. Some Republicans are already exploring an anti-AI lane for the 2028 primaries to court voters skeptical of the tech industry.
Polling indicates demographic splits: older voters and women tend to be more wary of AI, while some younger voters, particularly men, express enthusiasm. A large middle remains undecided and persuadable.
What Comes Next
The administration frames AI as both an economic engine and a strategic tool in competition with China. But political success will depend not just on investment figures, but on whether the White House can allay public fears about jobs, privacy and culture and translate private-sector deals into visible local benefits. The battle over AI regulation and political messaging is only beginning, and it will shape technology policy — and political fortunes — for years to come.
Key voices: David Sacks leads White House AI policy; governors and lawmakers on both sides of the aisle are weighing economic opportunities against political risks.
