TLDR: Karen Hao’s new book, ‘Empire of AI,’ offers a deeply critical and nuanced examination of the generative artificial intelligence industry, with a particular focus on OpenAI’s rapid ascent. The book exposes the immense resource demands, ethical dilemmas, and profound societal and environmental implications of current AI development. Hao draws stark parallels between the industry’s practices and historical colonialism, highlighting issues such as the exploitation of low-wage workers, significant environmental costs, and the dangerous concentration of power within a handful of tech giants.
In her highly anticipated new book, ‘Empire of AI: Dreams and Nightmares in Sam Altman’s OpenAI,’ award-winning journalist and AI insider Karen Hao delivers a sobering and meticulously researched critique of the artificial intelligence revolution. Published by Penguin Books/Allen Lane on July 25, 2025, the 496-page exposé challenges the prevailing narrative of AI as an unmitigated force for good, instead revealing a complex landscape fraught with ethical concerns, immense resource consumption, and a troubling concentration of power.
Hao, who previously covered OpenAI for MIT Technology Review, initially viewed the company as a benevolent force, founded as a non-profit with a core mission of safety. However, her extensive reporting, which included interviews with approximately 260 individuals, correspondence, and internal documents, uncovered a different reality. The book details OpenAI’s meteoric rise, particularly under the leadership of Sam Altman, and its transformation into a powerful entity backed by billions from Microsoft.
A central theme of ‘Empire of AI’ is the unprecedented demand for proprietary resources that fuels this disruptive sector. Hao meticulously outlines the industry’s reliance on ‘compute’ power from scarce high-end chips, the vast volumes of data that must be amassed, and the often-overlooked human labor involved in ‘cleaning up’ this data for sweatshop wages in the Global South, particularly in countries like Kenya and Chile. Furthermore, the book highlights the alarming environmental toll, noting a significant spike in the need for energy and water. Estimates suggest that by 2030, AI data centers could consume up to 8% of U.S. power and billions of gallons of water annually. OpenAI co-founder Ilya Sutskever’s stark warning, that ‘it’s fairly likely that it will not take too long of a time for the entire surface of the Earth to become covered with data centers and power stations,’ underscores the severity of this environmental impact.
Hao argues that the AI industry’s trajectory has ushered in a new, ominous ‘age of empire,’ where a small group of the most valuable companies in human history are locked in a breakneck race. She draws a powerful comparison between the actions of these AI giants and historical colonial powers, stating that while ‘the empires of AI are not engaged in the same overt violence and brutality that marked this history,’ they too ‘seize and extract precious resources to feed their vision of artificial intelligence: the work of artists and writers; the data of countless individuals.’ This concentration of power, Hao warns, threatens democratic norms, erodes transparency, and allows AI to increasingly govern critical decisions in areas such as judicial sentencings, college admissions, and health insurance payouts, potentially amplifying and exploiting societal fault lines.
The book also delves into the internal dynamics of OpenAI, portraying a culture driven by a ‘first or perish’ philosophy. Hao recounts the emotional rollercoaster experienced by OpenAI employees, who oscillate between hope and fear, sometimes exhibiting a near-religious fervor about artificial general intelligence (AGI). Some employees, she notes, expressed fears that AGI could ultimately destroy humanity. The dramatic events of November 2023, when Sam Altman was briefly ousted by the board before his swift return, are also chronicled, serving as a stark illustration of the urgent questions surrounding the governance of artificial intelligence.
Also Read:
- The AI Revolution: Unprecedented Data Center Expansion and Its Global Impact
- OpenAI Under IRS Scrutiny: Watchdog Alleges Tax Violations and Conflicts of Interest
Despite OpenAI declining to cooperate with Hao on the book, and CEO Sam Altman publicly criticizing it, ‘Empire of AI’ stands as a vital and timely account. It dispels any doubt about the messianic undertones of OpenAI’s belief in ushering in AGI for the benefit of all humanity, offering a much-needed skeptical and nuanced perspective on an industry rapidly reshaping our world.
