Palantir’s Karp says Sanders will regret only asking for 50% of AI companies. Full nationalization is coming.

Palantir CEO Alex Karp says full nationalization of AI companies is coming, and that Senator Bernie Sanders’ proposal for 50% public ownership will soon look moderate. “In two years, they’re not going to think Bernie Sanders is progressive,” Karp told CNBC on Wednesday. “They’re going to be like, ‘Bernie Sanders, you only want 50%? What is this 50%?'”

Karp said he has spent six months privately warning top AI executives about the threat. “The momentum is on the side of people who want to nationalise them,” he said. He described himself as a “card-carrying progressive” and argued that the most important political decisions in the country will be driven by whether politicians understand AI.

The prediction lands in an increasingly crowded political space. Sanders has outlined his American AI Sovereign Wealth Fund Act, which would impose a one-time 50% tax on stock, not profits, from companies like OpenAI, Anthropic, and xAI. Trump has said he plans to meet AI company leaders to discuss some form of public ownership, calling it a “partnership with the American public.” The two sides disagree on nearly everything else.

“The question is not whether AI will change the world, it will,” Sanders said in a video this month. “The question is who will own and control that future.” Trump said at the White House: “If we do that, the public will become very rich, the people in our country.”

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Not everyone in Trump’s orbit agrees. David Sacks, the former White House AI and crypto czar, warned that Republicans who adopt the Sanders position will regret it. “Conservatives are right to fear where this is all headed but ought to think more carefully about how regulations they are flirting with now will be used against them the next time a Democrat administration is in power,” Sacks wrote.

Karp framed the debate differently. He said Americans are asking what will happen to them as AI eliminates jobs, “and the answers aren’t all good or bad.” He predicted the US would need to “retrain and retool” and said it is better positioned to do so than Europe. He did not address how Palantir, which sells AI to governments and militaries, would be affected by nationalization.

The bipartisan convergence on public ownership of AI is remarkable. A year ago, the idea of the US government taking equity stakes in AI companies would have been dismissed as fringe. Now a socialist senator, a Republican president, and a defence contractor CEO all agree it is likely. The disagreement is only about how much and how fast.

Whether any of it happens depends on legislation, which has not been introduced yet, and on whether AI companies voluntarily offer equity, as OpenAI has proposed through its Public Wealth Fund concept. But Karp’s prediction is the most extreme version yet from a sitting CEO: not 10%, not 50%, but full nationalization, and within two years.