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Washington, D.C. — Sen. Elizabeth Warren on Wednesday proposed new taxes targeting artificial intelligence companies and large data centers, arguing that profits generated by AI should be distributed more broadly across the American economy.

In an opinion article published by Time magazine, the Massachusetts Democrat said lawmakers should redesign the tax system to ensure AI-driven wealth does not primarily benefit major technology corporations and billionaires.

“Taxing AI is one way we make sure the winnings from AI benefit all Americans, rather than channeling them only to the wealthy few,” Warren wrote.

Her proposal includes an excise tax tied to the energy consumption of AI data centers, with larger facilities paying higher rates. Warren argued the rapid growth of AI infrastructure is contributing to increased electricity demand and rising utility costs for households.

The senator also suggested broader future taxes on AI-related automation, though she did not provide specific details. Warren linked the issue to concerns over layoffs, growing wealth concentration, and declining tax revenue tied to human labor.

Warren specifically referenced AI industry leaders including OpenAI CEO Sam Altman and Amazon founder Jeff Bezos while renewing her broader call for a federal wealth tax.

The proposal arrives as Congress remains divided over AI regulation and economic policy. Some technology executives, including Altman, have previously floated ideas such as public wealth funds or taxes on automated labor to offset economic disruptions caused by artificial intelligence.

Meanwhile, a recent Stanford University AI Index Report found growing public anxiety over AI products despite optimism from many industry experts about the technology’s long-term impact.

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