Artificial intelligence company Anthropic announced on Sunday it will commit 5% of its shares to a new Public Benefit Fund, subject to shareholder approval. The fund, which could receive an additional 2% of shares at the board’s discretion for every 50% increase in company valuation, aims to support initiatives addressing AI’s societal impact, including job disruption and nonprofit donations.
The fund will be structured as a wholly owned limited liability company (LLC) and will not use its equity for lobbying or political contributions in the U.S. or abroad. Anthropic did not disclose the baseline valuation threshold for the additional shares. The announcement coincides with the company’s preparations for a highly anticipated initial public offering (IPO), which could value the firm at over $1 trillion.
Anthropic reported $16.8 billion in revenue for the three months ending September, a 45% increase from the prior period. The company has emphasized safety concerns in its IPO filings, warning that AI models could exhibit “self-preserving behaviors” and pose “catastrophic or existential risks to humanity.” In August, a Pew Research Center report found that 71% of U.S. adults believe AI will lead to fewer jobs over the next two years.
Fund Structure and Goals
The Public Benefit Fund will support a range of initiatives, including:
- Direct distributions to specific populations affected by AI-driven job displacement.
- Nonprofit donations to organizations addressing AI’s societal impact.
- Research efforts into AI’s effects on the labor market, with Anthropic already committing $200 million to such studies.
Anthropic stated that the fund’s structure allows flexibility in adjusting between different forms of giving, though it did not specify a timeline for disclosing further details. The company has positioned itself as a “safety-first” AI developer, contrasting with industry peers amid growing scrutiny over AI’s risks.
Industry and Regulatory Context
The announcement follows broader concerns about AI’s economic and social consequences. A 2024 International Monetary Fund (IMF) report estimated that nearly 40% of global jobs could be affected by AI, rising to 60% in advanced economies. Major tech firms, including AI developers, have cut thousands of jobs in recent years, citing efficiency gains from AI adoption.
Anthropic’s move has drawn mixed reactions. Technology billionaire Elon Musk responded on social media, recommending that the shares be “given directly to the public.” He added that this is what he intends to do with his own shares. Analysts suggest the fund could enhance Anthropic’s reputation amid regulatory and public skepticism about AI’s benefits.
Next Steps
The fund’s implementation remains contingent on shareholder approval. Anthropic has not disclosed the baseline valuation for triggering the additional 2% share allocations. The company plans to provide further details in the coming months as it progresses toward its IPO, which is reportedly scheduled for November.