This paper sets out the notion of a current “biopolitical turn of digital capitalism” resulting from the increasing deployment of AI and data analytics technologies in the public sector. With applications of AI-based automated decisions currently shifting from the domain of business to customer (B2C) relations to government to citizen (G2C) relations, a new form of governance arises that operates through “algorithmic social selection”. Moreover, the paper describes how the ethics of AI is at an impasse concerning these larger societal (...) and socioeconomic trends and calls for an ethics of AI that includes, and acts in close alliance with, social and political philosophy. As an example, the problem of Predictive Analytics is debated to make the point that data-driven AI (Machine Learning) is currently one of the main ethical challenges in the ethics of AI. (shrink)