AI Leaders Spend Big on Lobbying in Summer Quarter

Summer 2023 marked a significant moment for leading AI firms as they ramped up their lobbying efforts. According to federal disclosures, Anthropic, OpenAI, and Nvidia reported their highest lobbying expenditures from July to September.

Nvidia Leads the Charge

Nvidia topped the spending chart with an impressive $2.2 million, closely followed by Anthropic with $2.1 million and OpenAI at $1.5 million. While these figures are substantial, they align with the established lobbying practices of well-known tech giants. For instance, Microsoft has consistently spent over $2 million each quarter since 2021, and Google often exceeds $3 million.

AI Firms Engage with Policymakers

The uptick in spending suggests that these AI companies are aware of the growing necessity to influence policy decisions. During this period, prominent tech executives found themselves in Washington frequently, even attending a notable lunch with President Trump in late September. This event led to the formulation of a “morally binding” agreement on AI safety that they all endorsed.

Behind the scenes, discussions were rampant as these firms prepared for potential shifts in Congress post-midterm elections. With Democrats poised to reclaim some influence, engaging with lawmakers concerned about regulating the AI sector might become more crucial.

Specific Issues at Hand

Anthropic detailed its lobbying initiatives, which encompassed a range of topics from AI components in the Kids Online Safety Act to provisions in the AI Overwatch Act and Trump's executive order addressing AI as “Super Intelligence.” They also advocated for the Ratepayer Protection Act, which focuses on energy costs for data centers.

OpenAI’s lobbying, on the other hand, appears to be a reaction to challenges faced following the Hugging Face incident. Their lobbying efforts included discussions with the White House, the Small Business Administration, and various federal departments regarding cybersecurity assessments for advanced AI models and oversight frameworks for AI safety. They also sought antitrust protections related to information sharing.

Nvidia engaged in discussions with Congress and numerous federal offices focusing on topics like upcoming 6G networks, responsible AI practices, competition policies, quantum computing, and export control regulations.

Apple Joins the Fray

Not to be overlooked, Apple had its own record-breaking quarter, spending $3.1 million. Its lobbying efforts encompassed a wide array of issues, including intellectual property rights, tariffs, online safety for children, competition, and domestic semiconductor production. Notably, it backed legislation aimed at ensuring app stores verify user ages.

This quarter marks the first time Apple has reported lobbying expenses exceeding $3 million, showcasing its heightened involvement in legislative matters.

Conclusion: A Trend on the Rise

The recent disclosures indicate that prominent AI companies are intensifying their focus on policymaking, particularly in a time leading up to midterm elections. Interestingly, OpenAI had never spent above $1 million in a single quarter until this year, while Anthropic's previous maximum in any quarter last year was just over $1 million. Meanwhile, this quarter also marks a first for Nvidia, surpassing $2 million in lobbying expenditures.

With pressing topics such as data center development and AI safety becoming increasingly important to voters, it is likely that the lobbying efforts from AI firms will continue to grow, regardless of which political party holds power in the upcoming year.