According to TheRegister.com, OpenAI has hired former UK Chancellor of the Exchequer George Osborne as its new Managing Director and head of “OpenAI for Countries,” based in London. Osborne announced the role on X, stating he believes OpenAI is the world’s most exciting company. This follows a trend of British politicians like Nick Clegg at Meta and Rishi Sunak advising Microsoft and Anthropic. The “OpenAI for Countries” initiative, announced in May, aims to export the company’s massive “Stargate” project—a plan to raise and invest $500 billion over four years on US AI infrastructure—to other nations. Osborne’s tenure as Chancellor from 2010 to 2016 was marked by austerity policies criticized for damaging public services.
The Political Revolving Door Spins Again
So here we go again. A high-profile British politician, whose career in domestic government has arguably peaked, gets a cushy, high-paying gig at a US tech giant. It worked for Nick Clegg at Meta, and it’s working for Rishi Sunak in his post-PM life. Now George Osborne gets his turn. The playbook is obvious: these companies aren’t hiring them for their deep technical expertise in AI or data centers. They’re hiring their political networks, their understanding of government machinery, and their ability to open doors. It’s about regulatory lobbying wrapped in a statesmanlike package. Osborne’s job is basically to be a salesman for “Stargate” to world governments, convincing them they need to build their own multi-billion dollar AI infrastructure, presumably with OpenAI‘s help. After overseeing austerity in the UK and editing a declining newspaper, you can see why the stability of a tech giant paycheck is appealing.
Selling Stargate: A Tough Pitch
But here’s the thing: selling “OpenAI for Countries” is going to be a monumental challenge. The original Stargate project is a $500 billion moonshot with Microsoft, and its economics are already under a microscope. HSBC analysts warn OpenAI needs $207 billion in new financing by 2030 and won’t be profitable before then. So how exactly does Osborne convince, say, Germany or Japan to commit to a similar scale of spending? The promise is sovereign AI control, but the cost is astronomical. And the funding model looks… creative. Look at those “circular deals” with Nvidia and AMD—investment in exchange for massive GPU purchases. It feels less like traditional financing and more like a complex barter system to lock in supply and inflate valuations. Can Osborne, with his background in government austerity, convincingly advocate for this kind of wild, capital-intensive spending?
The Bigger Picture: Risks and Controversies
This hire also feels like a move to armor OpenAI against its growing list of controversies. The company is embroiled in lawsuits over training AI on copyrighted material without permission—they even asked the US government to help them bypass foreign copyright rules. Having a former finance minister on your “global affairs” team is a good look when you’re facing regulatory headwinds and ethical questions. It projects an image of responsibility and statesmanship. But does it address the core issues? Probably not. It seems more about perception management than a fundamental shift. I mean, is the man who championed deep public spending cuts the right voice to advocate for historically huge public-private AI investments? The irony is pretty thick.
What It Really Means
Basically, this is less about AI innovation and more about geopolitics and market capture. OpenAI, with Microsoft’s backing, isn’t just building products; it’s trying to establish the foundational infrastructure for the next era of computing. And they want that infrastructure to be *their* standard, globally. Hiring George Osborne is a tactical move in that larger chess game. It’s a bet that political connections can smooth the path for Stargate’s global rollout, attract sovereign investment, and navigate the inevitable regulatory battles. Whether it works is a huge question. The financial pressures are real, the technical hurdles are immense, and selling nations on a $500 billion blueprint from a single, controversial US company is a tall order. Even for a former Chancellor.
