How does the fund's structure differ from a nonprofit?

Anthropic is setting up the fund as a wholly owned LLC subsidiary rather than a tax-exempt nonprofit, which the company says gives it more flexibility in how it hands out money.

What did Elon Musk propose in response?

Musk said on X that Anthropic should give the shares directly to the public, and later said he plans to give one SpaceX share, worth around $146, to each of the roughly 72 million children in the U.S. next year.

How does Anthropic's fund compare with OpenAI's foundation?

OpenAI's foundation holds 26 percent of the for-profit OpenAI Group and appoints the board, while Anthropic's fund is a company-owned LLC that likely won't face the same outside oversight.

AI Safety & AlignmentAI Business & IndustryTHE DECODER4m agoOct 19, 2026, 22:01 JST

Anthropic to put 5% of shares in AI-worker fund

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3 Key Points

What happened
Anthropic plans a fund holding 5% of its shares, with possible direct payments to workers displaced by AI; CEO Dario Amodei has warned of labor upheaval and the company already committed $200 million to research.
Why it matters
By naming direct payments as an option, Anthropic goes further than competitors in its announcement, though the fund stays under company control as an LLC subsidiary.

WHO IT HITSWorkers in roles most exposed to AI-driven automation could see direct payments if the fund follows through, while investors weighing Anthropic's IPO face a structure where the company keeps control of the fund.

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Context & Analysis

Anthropic's announcement lands as the company prepares for a major IPO, with official filings expected in the next few weeks. The planned offering could raise up to $100 billion and value Anthropic at around $2 trillion. The fund is pitched as the opposite of the growth-linked stock packages tech companies usually hand their executives: for every 50 percent the company's valuation rises above a set baseline, the fund could receive another two percent of shares.

The legal setup keeps Anthropic in control. Instead of a tax-exempt nonprofit, the fund is a wholly owned LLC subsidiary, and the promised share top-ups are at the board's discretion. Anthropic hasn't said which valuation milestones would trigger them or how the fund will be governed, with more details promised in the coming months.

The closest comparison is the OpenAI Foundation, which holds 26 percent of the for-profit OpenAI Group and appoints the board. In November 2023, four of the six members of OpenAI's nonprofit board voted to fire CEO Sam Altman, but he was back within five days and the board was replaced. Anthropic's fund likely won't face the same oversight, since a company-owned LLC isn't a nonprofit.

FAQ

How does the fund's structure differ from a nonprofit?: Anthropic is setting up the fund as a wholly owned LLC subsidiary rather than a tax-exempt nonprofit, which the company says gives it more flexibility in how it hands out money.
What did Elon Musk propose in response?: Musk said on X that Anthropic should give the shares directly to the public, and later said he plans to give one SpaceX share, worth around $146, to each of the roughly 72 million children in the U.S. next year.
How does Anthropic's fund compare with OpenAI's foundation?: OpenAI's foundation holds 26 percent of the for-profit OpenAI Group and appoints the board, while Anthropic's fund is a company-owned LLC that likely won't face the same outside oversight.

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