Anthropic announced on Sunday that it plans to invest 5% of its stock in a new public benefit fund, with the amount to be invested potentially increasing as the company’s valuation rises.
Subject to shareholder approval, the Fund will immediately invest 5% of Anthropic’s shares, with an additional 2% for each 50% increase in company value above an undisclosed threshold at the board’s discretion.
Anthropic has already committed $200 million to researching the impact of AI, but said that “given the pace of advancement in AI, a bolder approach may be needed.”
The fund could be used to “consider large donations,” such as donations to traditional nonprofits or direct distributions to specific people, or for “bolder approaches” to researching and addressing AI disruption and job loss, the company said.
A Pew Research Center report released in August found that 71% of adults believe AI will reduce U.S. jobs over the next two years.
The fund will be established as a wholly-owned limited liability company, rather than a 501(c)(3) tax-exempt nonprofit organization or other format, to coordinate among various forms of giving, the release states. Anthropic said the shares held by the LLC will not be used for lobbying or political contributions in the United States or internationally.
Anthropic told investors it expected third-quarter sales of $16.8 billion, ahead of an initial public offering reportedly scheduled for November, CNBC reported.
Lise Bayer, a partner at IPO advisory firm Class V Group, told CNBC that the timing of Anthropic’s public funding announcement is essential in preparation for an initial public offering and is “helpful from an image standpoint,” especially as AI reshapes the job market.
Bayer said Anthropic’s move could be received favorably if the fund supports retraining or helps workers find alternative employment when their jobs are disrupted by technology.
“Of course, it’s also to enhance their reputation at a time when AI is getting a lot of attention,” she added.
Anthropic said it will share more details about the fund’s structure and governance in the coming months, including valuation milestones that could increase capital commitments. He also said he would share progress on the fund in a future public interest report.
Following the announcement of Anthropic, tesla and space x CEO Elon Musk said at X that he “recommends a direct transfer of stock to the public.”
