The job of a government is to look after the interests of the people who elected it... Is there no point that you think the rights/needs of the many should outweigh the ideological rights of the individual?
In the abstract though, we're just playing the "what if" game. If a company had the nuclear bomb near the end of World war II instead of the government holding it via the Manhattan Project is a different scenario than we're facing today, and if the government in question is the USA, Ukraine, the Nazis, or Russia also makes a difference. The weapon is also hard to abstract away. AI isn't a nuclear bomb, nor is it a weaponized virus/bacteria or a chemical weapon like anthrax or sarin, nor is it simply propaganda leaflefts distributed by airdrop.