Treasury Secretary Scott Bessent likes artificial intelligence. He is much less impressed with the people selling it.
At a speaking engagement on September 2, 2026, Bessent gave AI companies and hyperscalers a D-minus for how they explain their technology to the American public.
A cheerleader with a red pen
Bessent’s critique was not aimed at the technology itself. He praised the advances coming out of the sector and urged companies to get better at showing why those advances matter.
Specifically, he wants the industry to make the case for AI’s value to national security and everyday quality of life.
He also said the job does not fall on the companies alone. In Bessent’s framing, government shares the responsibility for communicating what AI can do.
The economic case, according to Bessent
Bessent has argued that capital spending on AI will be extremely disinflationary, meaning it should help push price growth down rather than up.
He has suggested those effects could possibly show up within six months from September.
He returned to that theme on October 21, 2026, at a closed-door investor conference in New York. There, he said he saw no systemic problem with the current AI boom.
He also pushed back on comparisons to past bubbles. Bessent contrasted today’s AI build-out with the dot-com era, pointing to Pets.com as the kind of excess he does not see repeating.
Bessent also offered insights on the economic implications of AI during congressional testimony on September 15, 2026.
Self-regulation, and a memorable analogy
On regulation, Bessent has called for the AI sector to regulate itself, rather than having Washington impose regulatory constraints or hand out liability shields.
He was openly skeptical of AI leaders who publicly ask for government oversight. His comparison was not subtle.
Hannibal Lecter: stop me before I kill again.
The China factor
Bessent has positioned the US as the leader in AI, ahead of China. He has also acknowledged that the American lead is narrow.
Rather than treating that gap purely as a race, he has backed dialogue between US and Chinese officials on AI safety. The focus of those talks is improving protocols for notifying each other about AI incidents.
Background: a hedge fund manager shaping AI policy
Before joining the Treasury, Bessent managed a hedge fund. He now plays a key role in shaping AI policy under the Trump administration.
Disclosure: This article was edited by Diego Almada Lopez. For more information on how we create and review content, see our Editorial Policy.