Bridgewater calls for AI tax as it warns of job disruption

Bridgewater Associates has called for the US to introduce a tax on artificial intelligence usage and give citizens stakes in leading AI companies as the hedge fund warns that rapid adoption of the technology risks widespread economic and social disruption.

Bridgewater ranks fifth on the March 2026 AFI $10bn+ Power List of hedge fund managers by AuM.

In a research paper led by co-CIO Greg Jensen and CEO Nir Bar Dea, Bridgewater said AI could deliver substantial long-term productivity gains but argued immediate government intervention was necessary to ensure those benefits remained politically and socially sustainable.

The manager estimates 18% of existing US jobs could be displaced by AI over the next five years, although it expects new jobs to be created alongside those losses. It argues that large-scale displacement without mechanisms to share the gains from AI could create a political backlash against further development of the technology.

Bridgewater proposes 35% AI token tax

Among its most striking proposals is a tax on the tokens generated and consumed by AI models.

Bridgewater argues that human employment is currently disadvantaged because wages are taxed while equivalent work performed by AI is not. It proposes treating the price paid for AI tokens as a proxy for the cost of machine labour and applying a consumption tax.

The hedge fund estimates a 35% token tax could generate around $150bn in 2027, rising to $600bn by 2030 as AI usage expands. Proceeds could be used to cut taxes on human employment and fund measures supporting workers displaced by AI.

Bridgewater also proposes using tax revenues or credits to acquire stakes in leading US AI companies and distributing that ownership directly to American citizens, effectively giving the population a financial interest in profits generated by the technology.

Hedge fund calls for tougher regulation

The $100bn-plus hedge fund is simultaneously calling for substantially stronger regulation of AI development, arguing that voluntary industry safeguards are insufficient.

It proposes government oversight covering model development, model release and model usage, including safety standards for developers, pre-release assessment of advanced models and restrictions on access to the most powerful systems.

Bridgewater said its stance comes despite being strongly bullish on AI’s productivity potential and having reshaped its own business to take advantage of the technology.

The firm argues that failing to address job displacement and safety risks could ultimately be more damaging to AI investment than regulation itself, potentially provoking political opposition or a serious incident that forces governments to restrict further development.