Anthropic
Anthropic commits 5% of its shares to a public benefit fund
Anthropic said it will set aside 5% of its shares for a new public benefit fund, and Elon Musk answered within hours by promising SpaceX shares to children.
Anthropic said it will commit 5% of its shares to a new public benefit fund. Elon Musk answered within hours by promising SpaceX stock to American children.
Anthropic Sets Aside Equity for a New Fund
Anthropic committed 5% of its shares to the Anthropic Public Benefit Fund, subject to stockholder approval, the company said in an Oct. 18 post. The board can add 2% for every 50% increase in the company’s value above a set baseline.
The fund is a wholly owned LLC, not a 501(c)(3), “to give adjustability between different forms of giving,” Anthropic said. None of the equity the LLC holds will be used for lobbying or political giving, in the US or abroad.
Anthropic Describes How the Money Could Be Used
Anthropic said it might explore “large donations to traditional nonprofits or direct distributions to specific populations.” It cited labor market impacts, where it has committed $200 million, and said “bolder approaches may be needed.”
Anthropic said it is directing equity to the public benefit instead of the escalating executive compensation awards it called common practice at tech companies. Its co-founders pledged at founding to donate 80% of their equity. About half of employees join an equity donation match program. Anthropic said roughly 20% of its shares will be dedicated to the public good, plus any percentage added through valuation milestones.
Anthropic Has Yet to Detail Governance
Anthropic said it will share more on structure, governance and the valuation milestones in the coming months and will publish a public benefit report. TechCrunch reported Oct. 18 that Anthropic has not said who will decide which projects are funded. It said the announcement comes as the AI industry faces negative public sentiment that CEO Dario Amodei has described as “fundamentally a crisis of trust.”
Musk Answers With a SpaceX Pledge
Musk replied to Anthropic’s post on X Sunday afternoon, saying the company should give “directly to the public.” Four hours later he wrote, “This is what I will be doing.”
He announced overnight that he would give one SpaceX share to “every kid in America” in 2027, TechCrunch reported Oct. 19. That is worth more than $10 billion at the current $146 share price, roughly 1% of his $1 trillion net worth. The US has more than 70 million children under 18.
TechCrunch said it is not clear how he plans to do it. Musk called the pledge the “first of many.” TechCrunch noted President Trump has set up Treasury bank accounts for children, called Trump Accounts, that can accept stock donations. Musk did not immediately respond to TechCrunch’s request for comment.
What It Means for the Labs
We think the fund’s size depends on Anthropic’s own valuation. The commitment is 5% now, with another 2% added at the board’s discretion for every 50% rise in value above the baseline. The fund holds more shares only if the company is worth more. Anthropic has promised to detail its governance in the coming months.