Cullen O'Keefe: The Windfall Clause — sharing the benefits of advanced AI

Abstract

The potential of advanced artificial intelligence can contribute enormous wealth and benefits, but fair and optimal distribution of these advantages is uncertain. The “Windfall Clause” is one proposed solution—this is a commitment by AI firms to share a significant portion of their future profits equitably. Its legal validity and potential implementation challenges are explored. The goal of the project is to practice the “common good principle,” which anticipates that AI technology should be developed for the benefit of all humanity. The Discussion also centers on the conceptualization of the “Windfall Function”—a tool that translates a firm’s earnings into obligations under the Windfall Clause, similar to progressive taxation. Questions about the measure of “windfall” and the prevention of competitive disadvantages are considered. The Windfall Clause aligns with mechanisms of corporate law and can be legally binding. However, numerous open questions remain—such as interaction with other policy measures and distribution mechanisms. The aim is to work toward cooperative AI development while ensuring optimal distribution of the gains from AI to benefit all of humanity. – AI-generated abstract.