December 2, 2025 • 11 mins
Dell CEO Michael Dell explains why he and Susan Dell are giving 25 million American children $250 each to jumpstart an investment account for their futures. The $6.25 billion gift builds on the Invest America initiative, better known as “Trump accounts," created earlier this year as part of President Donald Trump’s One Big Beautiful Bill Act. He speaks with host Caroline Hyde.
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Speaker 1 (00:02):
Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2 (00:07):
One of the.
Speaker 1 (00:08):
Biggest news that we had this morning was learning that
Michael and Susan Dell are making a six point twenty
five billion dollar donation to jumpstart investment accounts for twenty
five million US children. The act of philanthropy from the
co founder of Dell and his wife will apply to
children ten and under who aren't already eligible for government money,
with Dell saying she expects to reach eighty percent of
(00:30):
US children in that age range. The move builds on
the Investor America initiative out of the White House, which
made me know as the President push to financially cushion
young Americans. Joining us right now around the desk is
Caroline Hidge. She is the co host of Bloomberg Tech,
and she brings us right now the CEO of Dell, Michael.
Speaker 3 (00:48):
Dell, a historic moment. Michael, Welcome to Bloomberg Compound. Interest
the eighth one of the world, some would say, and
you're giving it with two hundred and fifty million US
kids each getting a job start of two hundred and
fifty dollars, Why is this the right act of philanthropy
for you?
Speaker 2 (01:04):
Well?
Speaker 4 (01:05):
You know, our foundation has been focused on children since
the beginning, and when this Investment America Act was passed
earlier this year, you know, we saw it as a
platform for companies and families and communities and philanthropists to
contribute to these accounts. And as you probably know, you know,
(01:26):
the government is giving one thousand dollars to every newborn
in an.
Speaker 2 (01:30):
Account that will essentially go in the S and P.
Speaker 4 (01:33):
Five hundred and compound over time, and when they're you know,
the child's eighteen, it becomes like an IRA can be
used for education, to start a business, to start a family,
for continued savings, to buy a home. And so what
Susan and I wanted to do was help out some
of the kids that weren't included in the government program.
(01:57):
And so the kids that are tended under that live
in zip codes where the median income is one hundred
and fifty thousand dollars or less that aren't in the
government program. So I think ages two to ten, we're
going to give twenty five million of those children two
hundred and fifty dollars each in their account. And we
hope that you know this, you know, it inspires them
(02:22):
and gives them hope and opportunity and prosperity. I've spoken
with a number of other philanthropists. I believe you'll see
some other significant gifts, and we know many companies are
going to match the government's contribution, as Dell Technologies is
certainly doing, and a number of companies.
Speaker 2 (02:39):
Have already announced.
Speaker 4 (02:40):
So we're super excited about what this can become over
time as these accounts grow to be something significant.
Speaker 2 (02:49):
Tell us about that.
Speaker 3 (02:50):
Tell us about how you are calling on companies like
you to match what many are calling the Trump accounts,
but also will those match what you're now doing for
two to ten ten year olds, maybe ten year olds
and above. Have you filled it many calls?
Speaker 2 (03:05):
Well, you know, we just announced this this morning.
Speaker 4 (03:09):
I did speak with a number of philanthropists in the
weeks leading up to our announcement, and you know, well,
I won't speak for them. We'll let them make their
own announcements and then they could be designed in a
different way. I think you'll see some people adopting particular
states or you know, particular communities. And in fact, we
(03:31):
started with the idea of doing this only in the
state of Texas, but then we decided to do it nationally,
So there can be many varieties and alternatives here, but
we do think that this will be catalytic and that
more philanthropists and companies will will join us over time.
(03:54):
And again, this is a platform for the future of
these children.
Speaker 3 (04:00):
Is it a platform for more giving from philanthropies or
from billionaires such as yourself via government. It's extraordinary turn
of events that here you work working directly with the Treasury, Michael.
We've also seen Timothy Mellon at one point offering to
help cover the costs of US troops during the government shutdown.
Will more people be pushed and think it's right to
(04:20):
work through the federal government.
Speaker 2 (04:24):
Well, I would say, we're not working through the federal government.
Speaker 4 (04:29):
We are giving two hundred fifty dollars directly to twenty
five million children.
Speaker 3 (04:36):
And this is being executed. I think we've just had
a technolog knowledgy issue there. But Michael, this are being
executed by the Treasury. When you think about how the
process has been, you hope that I understand going to
be seamless. It's going to be process is going to
be swift. How quickly do you think it'll be in
the hands of those children and indeed will it be
in alignment with the Trump accounts? So July of next.
Speaker 2 (04:58):
Year, Yeah, so.
Speaker 4 (05:03):
On July fourth or I think fifth, actually because the
fourth is a holiday of next year, every parent will
be able to claim the account for their child that's
eighteen and under.
Speaker 2 (05:18):
And originally those those accounts will be.
Speaker 4 (05:21):
You know, held in custody by a custody bank, and
then eventually you'll be able to choose your bank or
your you know brokerage that you know holds the account
for you and it's the property of the child.
Speaker 3 (05:35):
What banks, what asset managements have you been talking to?
How do you think from an infrastructure perspective this would work?
Speaker 2 (05:40):
Michael right. I have not been having the conversations with
the banks. I actually a number of.
Speaker 4 (05:46):
Them have told me that they're interested in being the
banks to hold these accounts. I think it'll be you know,
all the major banks, and you know, the parents will
be able to choose which ever their favorite bank or
you know stock brokerages.
Speaker 3 (06:05):
What's so interesting is this has bipartisan supporters. We understand
from Netta's being met just yesterday, asking Cory Booker as
well as Ted Cruz asking those to come alongside you
for corporates too.
Speaker 2 (06:17):
That's right. I've spoken with that's right.
Speaker 4 (06:19):
I spoke with Senator Booker last night about this. I
spoke with Senator Cruz about this earlier today, and there
is completely bipartisan support.
Speaker 2 (06:30):
For this idea. It's not a political initiative.
Speaker 4 (06:33):
This is about investing in children, and we think that's
the smartest investment that we can make.
Speaker 3 (06:39):
Michael, why do you think it wasn't picked up earlier
than this since twenty twenty one shout out to Brad
Gerstner is almost his idea, this initiative. Why did it
take this administration this time?
Speaker 2 (06:52):
It's a great question.
Speaker 4 (06:53):
Brad did tell me about this in twenty twenty one.
We talked to the prior administration about it. I think
it's hard to get legislative action like this done, but
now it's the law, and so here we are, and
so we have a great opportunity for the future to
build on this platform.
Speaker 3 (07:10):
You really have been focused on education and on kids,
Michael in your philanthropic work. You're also a man very
focused on the world of artificial intelligence.
Speaker 2 (07:20):
What's the life going to.
Speaker 3 (07:20):
Be like for these kids going forward? Do you think
how much will they be allocating their money, how much
will they be allocating their time?
Speaker 2 (07:27):
What does the work we look like do you.
Speaker 4 (07:29):
Think, Well, there could be lots of you know, debates
about that.
Speaker 2 (07:36):
You know.
Speaker 4 (07:36):
What I would say is that I would encourage kids
and parents and educators to focus on the critical thinking
skills and being able to analyze problems without the assistance
of technology, but also use technology as a as a
resource and as a tool. You know. At the heart
of this debate really is as we get new and
(07:58):
better tools, are we doing more work and solving more problems,
you know, and discovering new science and progressing further in
the world, growing the economy, or are we doing the
same amount of work with just fewer people because we
have the tools you can put me down for economic
(08:20):
growth and prosperity as a result of these tools. Certainly
there will be challenges and dislocations, and retraining is certainly required.
But from what I'm seeing, I think this is largely
going to result in some really great outcomes. But yeah,
again it's it's not guaranteed success because of new technology that.
Speaker 3 (08:46):
Dissipation Michael, whose responsibility is that is that big text
responsibility to retrain to reskill to help at least pay
for it. Is it government's responsibility education?
Speaker 2 (08:59):
I think it's a.
Speaker 4 (09:00):
Collective responsibility that we all have. I think every company
has to reskill its workforce. I think the education system
has to adapt and build the new skills and capabilities,
and you know there's a role for all of us
to play in that.
Speaker 3 (09:20):
And excuse me for this pivot, Michael, but of course
many want to understand. Of course the focus on infrastructure
from a money perspective here to kids. There's also the
focus on the fact that stocks have to go up
into the right in the longer term for this to
benefit those children. What do you think about a concern
about an AI bubble and there's really reaping rewards from
a productivity perspective, or are we in some sort of
(09:42):
bubble or circular finance concern?
Speaker 4 (09:44):
For you, certainly markets do fluctuate, and you know that
well on Blueberg as you report about it every every
single day. Long term, we think, you know, you know,
invests these accounts in the s and P.
Speaker 2 (10:02):
Five hundred is a very good way.
Speaker 4 (10:05):
To compound over time for these children. When I look
at what's going on today in the enormous buildout in AI.
What I see is a lot more demand than supply
for the ingredients.
Speaker 2 (10:22):
And certainly, you know in our.
Speaker 4 (10:23):
Business and many of the companies in this enormous buildout
business is very good because there's an enormous demand for
what these models are creating, which effectively is intelligence. And
if you now have a tool that you know causes
everyone in your company to have fifteen more IQ points
in their daily work, well that's something you probably want
(10:46):
as much as you can get. And so there's enormous
demand here. I think next year will be in a situation,
very likely where the demand exceeds the supply in any
of the critical ingredients that go into the most advanced
systems that we're building.
Speaker 3 (11:06):
Well, you're certainly building something extraordinary. On this Giving Tuesday,
twenty five million children two hundred and fifty dollars each
six point twenty five billion dollars being philanthropically given by
yourself and Susan Dell. We thank you so much, Michael
dal for joining us today.
Speaker 2 (11:20):
Thank you, thank you.
Speaker 4 (11:21):
We think the smartest investment we could make is in
our children.
Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2 (00:07):
One of the.
Speaker 1 (00:08):
Biggest news that we had this morning was learning that
Michael and Susan Dell are making a six point twenty
five billion dollar donation to jumpstart investment accounts for twenty
five million US children. The act of philanthropy from the
co founder of Dell and his wife will apply to
children ten and under who aren't already eligible for government money,
with Dell saying she expects to reach eighty percent of
(00:30):
US children in that age range. The move builds on
the Investor America initiative out of the White House, which
made me know as the President push to financially cushion
young Americans. Joining us right now around the desk is
Caroline Hidge. She is the co host of Bloomberg Tech,
and she brings us right now the CEO of Dell, Michael.
Speaker 3 (00:48):
Dell, a historic moment. Michael, Welcome to Bloomberg Compound. Interest
the eighth one of the world, some would say, and
you're giving it with two hundred and fifty million US
kids each getting a job start of two hundred and
fifty dollars, Why is this the right act of philanthropy
for you?
Speaker 2 (01:04):
Well?
Speaker 4 (01:05):
You know, our foundation has been focused on children since
the beginning, and when this Investment America Act was passed
earlier this year, you know, we saw it as a
platform for companies and families and communities and philanthropists to
contribute to these accounts. And as you probably know, you know,
(01:26):
the government is giving one thousand dollars to every newborn
in an.
Speaker 2 (01:30):
Account that will essentially go in the S and P.
Speaker 4 (01:33):
Five hundred and compound over time, and when they're you know,
the child's eighteen, it becomes like an IRA can be
used for education, to start a business, to start a family,
for continued savings, to buy a home. And so what
Susan and I wanted to do was help out some
of the kids that weren't included in the government program.
(01:57):
And so the kids that are tended under that live
in zip codes where the median income is one hundred
and fifty thousand dollars or less that aren't in the
government program. So I think ages two to ten, we're
going to give twenty five million of those children two
hundred and fifty dollars each in their account. And we
hope that you know this, you know, it inspires them
(02:22):
and gives them hope and opportunity and prosperity. I've spoken
with a number of other philanthropists. I believe you'll see
some other significant gifts, and we know many companies are
going to match the government's contribution, as Dell Technologies is
certainly doing, and a number of companies.
Speaker 2 (02:39):
Have already announced.
Speaker 4 (02:40):
So we're super excited about what this can become over
time as these accounts grow to be something significant.
Speaker 2 (02:49):
Tell us about that.
Speaker 3 (02:50):
Tell us about how you are calling on companies like
you to match what many are calling the Trump accounts,
but also will those match what you're now doing for
two to ten ten year olds, maybe ten year olds
and above. Have you filled it many calls?
Speaker 2 (03:05):
Well, you know, we just announced this this morning.
Speaker 4 (03:09):
I did speak with a number of philanthropists in the
weeks leading up to our announcement, and you know, well,
I won't speak for them. We'll let them make their
own announcements and then they could be designed in a
different way. I think you'll see some people adopting particular
states or you know, particular communities. And in fact, we
(03:31):
started with the idea of doing this only in the
state of Texas, but then we decided to do it nationally,
So there can be many varieties and alternatives here, but
we do think that this will be catalytic and that
more philanthropists and companies will will join us over time.
(03:54):
And again, this is a platform for the future of
these children.
Speaker 3 (04:00):
Is it a platform for more giving from philanthropies or
from billionaires such as yourself via government. It's extraordinary turn
of events that here you work working directly with the Treasury, Michael.
We've also seen Timothy Mellon at one point offering to
help cover the costs of US troops during the government shutdown.
Will more people be pushed and think it's right to
(04:20):
work through the federal government.
Speaker 2 (04:24):
Well, I would say, we're not working through the federal government.
Speaker 4 (04:29):
We are giving two hundred fifty dollars directly to twenty
five million children.
Speaker 3 (04:36):
And this is being executed. I think we've just had
a technolog knowledgy issue there. But Michael, this are being
executed by the Treasury. When you think about how the
process has been, you hope that I understand going to
be seamless. It's going to be process is going to
be swift. How quickly do you think it'll be in
the hands of those children and indeed will it be
in alignment with the Trump accounts? So July of next.
Speaker 2 (04:58):
Year, Yeah, so.
Speaker 4 (05:03):
On July fourth or I think fifth, actually because the
fourth is a holiday of next year, every parent will
be able to claim the account for their child that's
eighteen and under.
Speaker 2 (05:18):
And originally those those accounts will be.
Speaker 4 (05:21):
You know, held in custody by a custody bank, and
then eventually you'll be able to choose your bank or
your you know brokerage that you know holds the account
for you and it's the property of the child.
Speaker 3 (05:35):
What banks, what asset managements have you been talking to?
How do you think from an infrastructure perspective this would work?
Speaker 2 (05:40):
Michael right. I have not been having the conversations with
the banks. I actually a number of.
Speaker 4 (05:46):
Them have told me that they're interested in being the
banks to hold these accounts. I think it'll be you know,
all the major banks, and you know, the parents will
be able to choose which ever their favorite bank or
you know stock brokerages.
Speaker 3 (06:05):
What's so interesting is this has bipartisan supporters. We understand
from Netta's being met just yesterday, asking Cory Booker as
well as Ted Cruz asking those to come alongside you
for corporates too.
Speaker 2 (06:17):
That's right. I've spoken with that's right.
Speaker 4 (06:19):
I spoke with Senator Booker last night about this. I
spoke with Senator Cruz about this earlier today, and there
is completely bipartisan support.
Speaker 2 (06:30):
For this idea. It's not a political initiative.
Speaker 4 (06:33):
This is about investing in children, and we think that's
the smartest investment that we can make.
Speaker 3 (06:39):
Michael, why do you think it wasn't picked up earlier
than this since twenty twenty one shout out to Brad
Gerstner is almost his idea, this initiative. Why did it
take this administration this time?
Speaker 2 (06:52):
It's a great question.
Speaker 4 (06:53):
Brad did tell me about this in twenty twenty one.
We talked to the prior administration about it. I think
it's hard to get legislative action like this done, but
now it's the law, and so here we are, and
so we have a great opportunity for the future to
build on this platform.
Speaker 3 (07:10):
You really have been focused on education and on kids,
Michael in your philanthropic work. You're also a man very
focused on the world of artificial intelligence.
Speaker 2 (07:20):
What's the life going to.
Speaker 3 (07:20):
Be like for these kids going forward? Do you think
how much will they be allocating their money, how much
will they be allocating their time?
Speaker 2 (07:27):
What does the work we look like do you.
Speaker 4 (07:29):
Think, Well, there could be lots of you know, debates
about that.
Speaker 2 (07:36):
You know.
Speaker 4 (07:36):
What I would say is that I would encourage kids
and parents and educators to focus on the critical thinking
skills and being able to analyze problems without the assistance
of technology, but also use technology as a as a
resource and as a tool. You know. At the heart
of this debate really is as we get new and
(07:58):
better tools, are we doing more work and solving more problems,
you know, and discovering new science and progressing further in
the world, growing the economy, or are we doing the
same amount of work with just fewer people because we
have the tools you can put me down for economic
(08:20):
growth and prosperity as a result of these tools. Certainly
there will be challenges and dislocations, and retraining is certainly required.
But from what I'm seeing, I think this is largely
going to result in some really great outcomes. But yeah,
again it's it's not guaranteed success because of new technology that.
Speaker 3 (08:46):
Dissipation Michael, whose responsibility is that is that big text
responsibility to retrain to reskill to help at least pay
for it. Is it government's responsibility education?
Speaker 2 (08:59):
I think it's a.
Speaker 4 (09:00):
Collective responsibility that we all have. I think every company
has to reskill its workforce. I think the education system
has to adapt and build the new skills and capabilities,
and you know there's a role for all of us
to play in that.
Speaker 3 (09:20):
And excuse me for this pivot, Michael, but of course
many want to understand. Of course the focus on infrastructure
from a money perspective here to kids. There's also the
focus on the fact that stocks have to go up
into the right in the longer term for this to
benefit those children. What do you think about a concern
about an AI bubble and there's really reaping rewards from
a productivity perspective, or are we in some sort of
(09:42):
bubble or circular finance concern?
Speaker 4 (09:44):
For you, certainly markets do fluctuate, and you know that
well on Blueberg as you report about it every every
single day. Long term, we think, you know, you know,
invests these accounts in the s and P.
Speaker 2 (10:02):
Five hundred is a very good way.
Speaker 4 (10:05):
To compound over time for these children. When I look
at what's going on today in the enormous buildout in AI.
What I see is a lot more demand than supply
for the ingredients.
Speaker 2 (10:22):
And certainly, you know in our.
Speaker 4 (10:23):
Business and many of the companies in this enormous buildout
business is very good because there's an enormous demand for
what these models are creating, which effectively is intelligence. And
if you now have a tool that you know causes
everyone in your company to have fifteen more IQ points
in their daily work, well that's something you probably want
(10:46):
as much as you can get. And so there's enormous
demand here. I think next year will be in a situation,
very likely where the demand exceeds the supply in any
of the critical ingredients that go into the most advanced
systems that we're building.
Speaker 3 (11:06):
Well, you're certainly building something extraordinary. On this Giving Tuesday,
twenty five million children two hundred and fifty dollars each
six point twenty five billion dollars being philanthropically given by
yourself and Susan Dell. We thank you so much, Michael
dal for joining us today.
Speaker 2 (11:20):
Thank you, thank you.
Speaker 4 (11:21):
We think the smartest investment we could make is in
our children.
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