The battle for AI dominance is shifting from a meritocratic competition based on technology and economics to a political one. Companies are increasingly focused on winning through regulatory capture rather than building the best product at the best price, a cynical pivot that prioritizes political maneuvering over capitalist innovation.

While cozying up to the current administration provides short-term benefits, being seen as 'the Trump AI company' puts OpenAI in the crosshairs of a likely future Democratic administration. This long-term political risk could jeopardize its standing and invite punitive regulation in just a few years.

The US President's move to centralize AI regulation over individual states is likely a response to lobbying from major tech companies. They need a stable, nationwide framework to protect their massive capital expenditures on data centers. A patchwork of state laws creates uncertainty and the risk of being forced into costly relocations.

Despite its global power, Apple is bowing to Chinese government pressure, evidenced by Tim Cook's recent visit and a cut in App Store fees. This demonstrates that for multinational corporations, commercial success in China is contingent on political appeasement and making commercial concessions.

Similar to the financial sector, tech companies are increasingly pressured to act as a de facto arm of the government, particularly on issues like censorship. This has led to a power struggle, with some tech leaders now publicly pre-committing to resist future government requests.

Despite populist rhetoric, the administration needs the economic stimulus and stock market rally driven by AI capital expenditures. In return, tech CEOs gain political favor and a permissive environment, creating a symbiotic relationship where power politics override public concerns about the technology.

In a declining democracy, the government can dictate which companies thrive. This incentivizes business leaders to abandon prior principles and praise the ruling power to protect their market position and status against competitors.

Top tech leaders are aligning with the Trump administration not out of ideological conviction, but from a mix of FOMO and fear. In a transactional and unpredictable political climate, sticking together is a short-term strategy to avoid being individually targeted or losing a competitive edge.

The idea that tech companies will ruthlessly optimize AI for user addiction is flawed. Their primary goal is avoiding societal, political, and regulatory backlash. The biggest myth is that companies exist to maximize profits; their top priority is avoiding being "lit on fire" by public outrage.