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Q&A

Hudson questions companies on self-improving AI and data center costs

New York City Council · Oct 5, 2026 · starts 3:43:01 · 6 min 27 sec

Councilmember Crystal Hudson asks about companies' core beliefs on self-improving AI and who should bear data center grid and water costs. Dwyer says RSI is a major risk and cites OpenAI's Frontier Safety Blueprint; Cahill says most compute serves people; Friend describes supervised self-learning; Graham cites pacing; all cite paying their own way.

Crystal Hudson

Thank you so much, Chair.

Crystal Hudson

We heard earlier from a panel of whistleblowers who raised a number of flags, and one issue raised was that of self-improvement among AI agents.

Crystal Hudson

What is your company's core belief around the role of self-improving AI in your overall strategy?

Crystal Hudson

And to be more specific, is it core to your AI strategy or a less significant part of the strategy?

Crystal Hudson

Could you continue your race to the top or the bottom, I suppose, depending on one's perspective, without self-improving AI agents or with significant guardrails on the way agents self-improve?

Crystal Hudson

And my second question is, when a new AI data center strains a local grid or water supply, the costs can end up in every...

Crystal Hudson

ones utility bills while the benefits go mostly to the company.

Crystal Hudson

Who should bear those costs?

Crystal Hudson

The company that creates the demand, the utility that builds the capacity, or the public that shares the system but played no role in building it?

Crystal Hudson

Thank you.

Member of the Public - Morgan Dwyer

Thank you for your question.

Member of the Public - Morgan Dwyer

I'll start off by addressing the question about RSI.

Member of the Public - Morgan Dwyer

To say that we believe that RSI may be one of the most consequential safety and security issues of the coming decade.

Member of the Public - Morgan Dwyer

And that's why OpenAI has advocated for federal legislation specifically focused on RSI

Member of the Public - Morgan Dwyer

to include independent technical evaluators of internal lab practices, as well as the pace towards RSI development.

Member of the Public - Morgan Dwyer

We've made that work public in our Frontier Safety Blueprint.

Member of the Public - Morgan Dwyer

It's available online, and I'm happy to share it with you as follow-up.

Member of the Public - Morgan Dwyer

On the case of electricity costs, look, OpenAI is committed to paying our own way on energy.

Member of the Public - Morgan Dwyer

But we're also committed to building with and for communities.

Member of the Public - Morgan Dwyer

All of our Stargate sites, which are our infrastructure sites, have what we call a community compact.

Member of the Public - Morgan Dwyer

That's developed with the community and addresses how we're going to work together.

Member of the Public - Morgan Dwyer

For example, we recently announced $80 million of community-based...

Member of the Public - Morgan Dwyer

benefits investment at our site in Georgia.

Member of the Public - Morgan Dwyer

Thank you.

Member of the Public - Niamh Cahill

Council member, in relation to your first question on recursive self-improvement, if I may, I might just go back to a point that I mentioned earlier in the day in relation to recursive self-improvement,

Member of the Public - Niamh Cahill

that we believe that committing the significant majority of compute towards serving people rather than racing towards recursive self-improvement is one of the best ways to ensure that this technology is developed safely.

Member of the Public - Niamh Cahill

In relation to your second question, in terms of electricity and data centers, we believe that customers should not bear costs.

Member of the Public - Niamh Cahill

And we pay the full cost for electricity used in our data centers.

Member of the Public - Niamh Cahill

I also might just mention as well our Futures for Everyone Fund, which is a $1 billion investment in relation to communities that we partner with and work with with our data centers.

Member of the Public - Alice Friend

So we also take a very prudent approach to self-learning inside our model training.

Member of the Public - Alice Friend

We use AI models to help us evaluate, benchmark, and refine other models.

Member of the Public - Alice Friend

But our use of this type of iterative model development is confined to narrow supervised processes, that's human supervised processes, to keep progress verifiable and within defined safety limits.

Member of the Public - Alice Friend

We also manage the risks of fully autonomous model self-improvement through our frontier safety framework.

Member of the Public - Alice Friend

So we're very mindful about RSI and are quite controlled in the way that we think about self-learning internally.

Member of the Public - Alice Friend

On data centers, similar to the other companies represented today, we believe in paying our own way and have pledged to do so, particularly when it comes to the energy demands of data centers.

Member of the Public - Alice Friend

We've also invested in a wide range of energy sources to ensure that our data centers

Member of the Public - Alice Friend

have an independent energy source that does not strain the grid and, in fact, adds back to the grid so that in the long term it will benefit wider energy customers.

Member of the Public - Morgan Dwyer

Thank you.

Member of the Public - Logan Graham

Likewise, on recursive self-improvement, we take that extremely seriously and have from the start.

Member of the Public - Logan Graham

I think from my

Member of the Public - Logan Graham

I'd like to review that there are three really important things here.

Member of the Public - Logan Graham

The first is just measurement and understanding.

Member of the Public - Logan Graham

I'm glad you raised this question because we think this is something people need to talk about.

Member of the Public - Logan Graham

In late spring, we published what I think is a first of its kind assessment of how it is happening or signs of it happening at Anthropic.

Member of the Public - Logan Graham

Happens in a lot of ways and it's nuanced.

Member of the Public - Logan Graham

In late summer, we published a follow-up that went into further detail of how we should understand and measure self-improvement.

Member of the Public - Logan Graham

But that's not enough, and that's why you saw us and our CEO publicly call for pacing the frontier, because candidly, the technology is moving very fast, and we think we would benefit from having more time.

Member of the Public - Logan Graham

And this is the second component.

Member of the Public - Logan Graham

And then obviously the third thing that you need to do here is figure out what the right guardrails are, but additionally what level of technology development we should be going for, as well as what safety processes we need along the way.

Member of the Public - Logan Graham

And I think this is just where we're at now, and I'm glad that we're having this discussion.

Member of the Public - Logan Graham

On data centers, this is outside of my expertise.

Member of the Public - Logan Graham

My understanding is that we pay our own way, and we're committed to contributing and working with the communities around them.

Member of the Public - Logan Graham

But I'll have to defer to my excellent colleagues who work on it.

Crystal Hudson

Thank you all and thank you, Chair.

Crystal Hudson

I do want to just make my one little note that it seems like the self-improving aspect is absolutely core

Crystal Hudson

to everyone's AI strategy and that's certainly concerning given the testimony we heard earlier this morning.

Crystal Hudson

So thank you, and I look forward to any follow-up.

Julie Menin

Thank you so much.