Anthropic commits 5% stake to new 'public benefit fund', Musk argues for direct share donations to kids | International
Anthropic, the company that makes the AI assistant Claude, said on Sunday that it would put 5% of its shares into a new public benefit fund. The fund would help make donations for the public good. Meanwhile, Elon Musk promised to give one SpaceX share to every child in America. He argued that giving shares directly to people would be better. These plans come as leading AI companies face growing public attention and criticism. Concerns about AI safety have increased after security failures involving AI systems and serious warnings from industry leaders about the possibility that uncontrolled AI development could cause extreme harm or even threaten humanity's existence. People are also worried about possible job losses caused by AI.
Anthropic said the proposed fund would be set up as a limited liability company fully owned by Anthropic. At the board's discretion, the fund would receive another 2% of the company's shares for every 50% increase in its value above a starting value that has not yet been announced. Anthropic said this plan would give it more freedom and allow it to make larger donations to benefit humanity. The company is preparing for an initial public offering (IPO) that could be one of the largest in history. It plans to go public as a public benefit corporation, a type of company that must balance the wider public interest with the goal of making a profit.
Musk replied to Anthropic's announcement on X by saying he recommended giving the shares directly to the public. In a post early Monday, Musk said, "Next year, I will give one of my SpaceX shares to every kid in America. This will be the first of many." Musk runs SpaceX, a rival to Anthropic. He held about 6.42 billion shares in the company as of June.
SpaceX shares rose 2.5% in early trading. In July, the White House launched Trump Accounts, an investment program designed to help Americans build savings from childhood into adulthood. Under the program, US citizens born between 2025 and 2028 will receive investment accounts funded by the government with $1,000. Families can add more money to these accounts. Individuals and companies can also donate shares of stock to them.
Many major US companies have promised to support the program by matching employee contributions or providing extra funding. These companies include Dell, Visa, Micron and Delta Air Lines. Earlier this year, SpaceX President Gwynne Shotwell and her husband promised to give one SpaceX share to each of more than two million children through the Trump Accounts investment program.
It was not immediately clear how Musk's donations would work, whether they would be connected to Trump Accounts, or whether the shares would have to be held for a certain period before they could be sold. SpaceX did not immediately respond to a request for more details. US census figures show that America has 72 million children. If each child received one SpaceX share at the current trading price of $149 per share, the total value would be more than $10.7 billion.
The White House said earlier this month that nearly 70 million Trump Accounts had been created, covering every American child under 18.
Anthropic has presented itself as an AI research company that puts safety first. It has warned that AI could create "catastrophic or existential risks to humanity." In the main body of its 261-page prospectus, the company devoted about 80 pages to explaining possible risks. In a blog post, Anthropic said its Public Benefit Fund could support projects such as donations to nonprofit organizations, direct payments or distributions to particular groups of people, and efforts to deal with AI's effects on the job market.
Anthropic is preparing to go public in a deal that could value the company at about $2 trillion. However, Reuters reported exclusively last week that some investors were considering a lower value of around $1.5 trillion. At those valuations, a 5% stake for the fund would be worth between $75 billion and $100 billion. Anthropic identified AI's possible effects on workers as one focus of the new fund. This builds on a commitment the company announced earlier to spend $200 million studying and addressing disruption in the job market.
Companies around the world have cut thousands of jobs after spending heavily on AI. Many companies, especially technology firms, have said that adopting the technology quickly has helped them work more efficiently. Research by the International Monetary Fund shows that AI could change, reduce or eliminate about 40% of jobs worldwide. In advanced economies, that figure could reach 60%, IMF Managing Director Kristalina Georgieva said last week.
Anthropic said that none of the shares held by its fund would be used for lobbying or political donations in the United States or other countries.
US policymakers are considering stronger oversight of AI, while companies are increasing their efforts to influence how the technology is regulated. Along with a promise by Anthropic's co-founders to donate 80% of their shares and a program that matches employee donations, about 20% of Anthropic's shares will be set aside for public benefit. This figure does not include any additional shares that might be added later.
Anthropic said it would share more details in the coming months about how the fund would be managed, how it would be organized, and what increases in the company's value would lead to a larger ownership stake for the fund. The company also plans to publish a report explaining the public benefits it has delivered and its progress toward its mission.
(Devdiscourse staff did not edit this story. It was automatically generated from a syndicated news feed.)