Politicians and tech experts have voiced their apprehensions regarding President Javier Milei’s proposal to permit “non-human corporations” managed by artificial intelligence to function in Argentina, without regulations and with minimal taxes. On Thursday, the esteemed British publicatio released an opinion piece authored by Milei, in collaboration with Deregulation Minister Federico Sturzenegger, titled “Argentina invites AI to free itself.” He emphasised that AI should remain unregulated by the state to thrive. The libertarian leader stated that his government aims to draw in AI companies by suggesting a legislative change that would create “a dedicated legal framework for the deployment of AI.” The three pillars of this framework are “a commitment to keep AI unregulated, the creation of a new corporate category in Argentine law: the non-human corporation,” and a “low corporate tax rate.” He wrote “We are open for business,” stressing that this is “an invitation.” Critics argue that this could pave the way for “programmed impunity” and warn that it might transform Argentina into a “catastrophic experiment.”
The article draws parallels between the evolution of AI technology and significant historical milestones such as the industrial revolution and the establishment of limited liability companies. It argues that an unregulated framework is essential to fully harness their potential. “As much as the industrial revolution freed us from the constraints of the human muscle, AI will free us from the constraints of the human brain, pushing productivity beyond our wildest dreams,” Milei said in the article. Milei stated his commitment to maintaining an unregulated environment for AI, asserting that it should be allowed to develop freely, without the detrimental influence of premature and poorly understood regulations. He also proposed the creation of “a new corporate category in Argentine law: the non-human corporation,” which would be operated by AI agents or robots. Human participation as shareholders could be an option, though it is not mandatory. “Where these systems exercise independent judgement in unpredictable environments, their actions entail real risks. Limited liability is not a luxury for such entities; it is a precondition for their existence,” the president stated. Entities would gain from a reduced corporate tax rate, while shareholders would have the option to select their preferred corporate governance law, though the ultimate beneficiaries must be revealed. “Argentina has no interest in becoming a haven for illicit capital — but for all legitimate commercial activity our framework will offer unmatched terms,” he stated.
According to Milei, the proposals are part of a broader investment incentive regime known as RIGI, which the government submitted to Congress last week to attract businesses through tax breaks and other benefits. However, the initiative — dubbed “Super RIGI” — does not reference the idea of “non-human corporations” or create a deregulated framework for AI companies. The proposal is primarily aimed at attracting companies interested in building large-scale AI data centers in Argentina, offering lower taxes, preferential foreign-exchange conditions, and exemptions from export duties. The incentives, however, extend beyond the AI sector. “In the spirit of the Dutch merchants who made Amsterdam the financial capital of the 17th century, we intend to offer the most attractive legal and fiscal environment for the AI companies that will define the 21st century,” Milei stated.
In October, OpenAI, the company behind ChatGPT, and Argentine firm Sur Energy entered into a letter of intent to establish a large-scale AI data center in Patagonia. Patagonia, a remote area in southern Argentina recognised for its rich natural resources and cool, arid climate, is increasingly viewed as a prime destination for large data centers. The project, known as Stargate Argentina, marks a groundbreaking initiative in Latin America. The investment has been pegged at between US$20 billion and US$25 billion, although the project has not yet been officially launched. OpenAI CEO Sam Altman stated that the initiative aims to realise Milei’s vision of “how AI could drive Argentina’s growth and creativity.” Milei has also announced a “social digital twin” program, which would utilise publicly available citizen data to create simulations aimed at informing public policy decisions. The concept bears similarities to services offered by Palantir, the data analytics company co-founded by tech investor Peter Thiel. Thiel met with Milei in April and has dedicated the subsequent months to residing in Argentina. The government has firmly denied any involvement of Palantir — or any other private company — in the digital twin initiative, which remains unlaunched at this time. Palantir has come under fire from civil liberties organisations due to its collaborations with U.S. government entities, particularly concerning contracts tied to immigration enforcement and surveillance initiatives. Thiel has been associated with Próspera, a contentious semi-autonomous development initiative in Honduras aimed at drawing investment via a distinct regulatory and governance structure.
Former lawmaker and Coalición Cívica leader Elisa “Lilita” Carrió stated that Milei’s article “confirms his full support for Peter Thiel, his philosophy, his beliefs and his economic power.” Carrió asserts that the proposal would transform Argentina into “a catastrophic experiment for human dignity” and steer the nation toward the “complete private totalitarianism” she claims Thiel supports. “Argentina has been chosen as the site of a social experiment with terrible consequences for human freedom,” Carrió stated. She contended that insufficient regulation for AI would result in “the dissolution of all moral and legal constraints, the end of the state, and the privatisation of military and police power in the hands of private groups.” Former Defence Minister Agustín Rossi criticised the Super RIGI initiative, stating it seemed “tailor-made for Javier Milei’s friends.” He also raised concerns about the lack of clarification from Economy Ministry officials regarding whether Palantir had lobbied in support of the proposal. In a recent post on X, electronics engineer and AI specialist Ariel Garbarz expressed concerns that the concepts of non-human corporations and the complete deregulation of AI could lead to a scenario of “programmed impunity: human gains, social harm and responsibility shifted onto machines.” He cautioned “The ideological trick is to label the state’s choice to cease safeguarding its citizens as ‘innovation.’”