Why ‘Universal Basic Compute’ Is a Solution to Economic Inequality

Universal Basic Income (UBI) has frequently been discussed as a potential solution to economic inequality in an increasingly automated and AI-driven world. Alternatives like Universal Basic Services or Universal Basic Housing have also been proposed. But what if the answer doesn’t lie in providing financial support, but in granting universal access to the very resource driving this technological transformation?

Enter Universal Basic Compute (UBC) , a concept coined by OpenAI CEO Sam Altman.

The idea is straightforward – in a post-Artificial General Intelligence (AGI) world, many traditional forms of labor may become obsolete. Rather than distributing money, UBC would provide every individual with a share of the advanced computational power that fuels emerging technologies like AI. As Altman explained in a recent interview , owners of compute could use it, resell it, or even donate it. Proponents argue that while UBI addresses some issues, it falls short in an AI-driven future. UBC, on the other hand, could empower people with wealth-building tools that enhance productivity and creativity, offering a more forward-thinking solution.

While the concept of UBC has sparked debate over its potential benefits and drawbacks, a crucial question remains: is such an initiative even feasible? Furthermore, with the race for graphic processing unit (GPU) supplies becoming increasingly competitive, and a small number of tech giants dominating access to computational resources, would the industry as a whole even permit it?

The Role of DePINs

For the concept of UBC to even become a reality, it would require a global compute infrastructure capable of seamlessly delivering computational power to billions. This is where decentralized physical infrastructure networks (DePINs) enter the picture. DePINs represent a revolutionary approach, linking distributed computing resources into a cohesive, global network of GPUs that can be utilized for machine learning and other high-performance computing tasks. By leveraging blockchain technology, these networks can harness idle computational power from across the world, creating a resilient and scalable infrastructure.

Instead of relying on centralized ownership of data centers as traditional GPU suppliers do, DePINs leverage a network of distributed compute nodes owned and operated by individuals worldwide. For example, in a decentralized gaming platform, developers could tap into this distributed network to render high-quality graphics and process complex game environments, ensuring faster load times and a more immersive experience for players – without depending on a single, centralized infrastructure provider.

This decentralized model not only democratizes access to computing and strengthens network resiliency, but it also paves the way for a future where computational resources are no longer scarce. By decentralizing the supply and access to computing power, it offers a viable alternative to traditional GPU monopolies. I previously noted that our very industry’s future depends on addressing the AI-GPU gap, which has led to an AI ecosystem primarily molded by a small group of Big Tech companies who own a majority of traditional computing power resources.

This DePIN-centric approach could not only spur innovation within the industry but also resolve the supply challenges so effectively that Universal Basic Compute becomes a realistic possibility.

Industry Resistance: A Barrier to UBC?

The concept of UBC is compelling, but significant challenges stand in its way. Today’s cloud computing landscape is dominated by a handful of powerful tech giants that benefit from the scarcity of and limited access to high-powered computation. One could argue that the prospect of universally accessible, low-cost computing power poses a direct threat to these entrenched business models. Therefore, these companies are unlikely to welcome a shift that undermines their control over such a critical resource.

Yet, the emergence of decentralized networks like DePINs could upend this status quo. Unlike traditional cloud providers, DePINs operate without centralized ownership, offering a more democratized approach to computing. For example, Aethir Edge, the hardware device connected to our DePIN stack , allows users to contribute their idle GPU power to a global decentralized network. This approach not only challenges the dominance of centralized cloud providers but also enables users worldwide to participate directly in the growing AI and gaming industries.

What makes this model so appealing is that DePINs do not require any form of permission to break out of the status quo. By decentralizing the distribution of computational power, DePINs challenge existing monopolies and redefine the very concept of scarcity in the digital age.

As Altman suggests, "What you get is not dollars, but you own part of the productivity." This reimagining of ownership and access has the potential to fundamentally reshape the industry, paving the way for a more equitable distribution of resources and opportunities. If successful, this model could transform not just the way we think about computation, but also who controls it and who benefits from it.

Towards a UBC-type future?

Will the industry allow anything like UBC to take root? It should certainly be considered.

The increasing integration of AI into our daily lives necessitates a fundamental shift in how computational resources are distributed. As AI-driven services become more ubiquitous, the demand for equitable access to the underlying computational power will inevitably grow. This surge in demand, coupled with the potential for decentralized networks like DePIN and potential regulatory interventions to solve the supply issues, will likely erode the barriers preventing the widespread adoption of UBC.

As controversial as Altman’s comments revolving around UBC may have been to leaders across the AI industry, the point of how increasingly necessary wider access to computational resources remains valid.

I still believe decentralized GPU infrastructure represents a pivotal step towards bridging the compute divide. What I also believe is that through DePIN, the sky's the limit for how much compute power can be made available to the world. The market for GPU computing is projected to quadruple in size by 2040, and as recent initiatives from leaders in the DePIN industry have shown, decentralized networks that leverage physical infrastructure are poised to play a critical role in meeting the growing demand for computational power.

I have no doubt that, at some point, our market will face a shift driven by increased compute supply. But will this shift result in a future that resembles Sam Altman’s concept of UBC? While the industry may resist this shift, the trajectory is clear. As decentralized networks gain momentum, the dream of Universal Basic Compute could soon become a reality, reshaping not only the tech industry but society as a whole.

Note: The views expressed in this column are those of the author and do not necessarily reflect those of CoinDesk, Inc. or its owners and affiliates.