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Berkshire shareholder seeks committee to oversee AI at Buffett's company
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Berkshire shareholder seeks committee to oversee AI at Buffett's company
Jan 7, 2025 9:00 AM

Jan 7 (Reuters) - A Berkshire Hathaway ( BRK/A )

shareholder wants a committee of independent directors to

oversee risks associated with artificial intelligence at the

dozens of companies in Warren Buffett's conglomerate.

Tulipshare, an activist investor group based in London, said

on Tuesday it submitted a shareholder resolution for Berkshire's

annual meeting on May 3 to create the committee.

It said improper use of AI could result in data leaks,

privacy intrusions, business disruptions and human-rights

abuses, and that Berkshire's influence in many industries gives

Buffett's company a unique opportunity to be a leader in AI

governance.

Berkshire did not immediately respond to a request for

comment. Tulipshare did not immediately respond to requests for

additional comment.

At Berkshire's annual meeting last May, Buffett told

shareholders he knew nothing about AI but did not deny its

importance, saying it had "enormous potential for good and

enormous potential for harm."

Buffett recently owned 14.4% of Berkshire's stock but

controlled 30.2% of Berkshire's voting power, making it

difficult for shareholder proposals to pass without his support.

He and other directors routinely oppose issuing reports or

creating independent board committees to review Berkshire's

operating businesses, citing the decentralization that lets the

businesses operate largely without interference from the top.

A proposal last year to have independent directors oversee

safety at Berkshire's BNSF railroad drew just 3.6%

support from shareholders.

Berkshire also owns Geico car insurance, Berkshire Hathaway

Energy, Brooks running shoes, See's Candies, and a variety of

industrial, chemical and other retail businesses.

The Omaha, Nebraska-based company also invests in stocks

such as Apple ( AAPL ) and Amazon.com ( AMZN ), which Tulipshare

said it also owns.

Buffett, 94, has run Berkshire since 1965.

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