News about Anthropic

Elon Musk suggested Anthropic should distribute its shares directly to the public, responding to the company's plan to commit 5% of its equity to a new Public Benefit Fund, which could rise by 2% for every 50% increase in valuation above a baseline. Co-founders pledged to donate 80% of their equity, and Anthropic committed $200 million to address AI-driven labor disruption. Critics including David Sacks and investor Vijar Kohli questioned whether the LLC structure serves the public good or could dilute voting rights and complicate the IPO. Anthropic, which confidentially filed for a U.S. listing in June, reported third-quarter revenue of $16.8 billion, up 45% from the previous quarter, but some investors are discussing a valuation near $1.5 trillion, below earlier expectations of $2 trillion.

IMD professor Howard Yu says OpenAI and Anthropic may stay ahead of Chinese rivals, but a lead of roughly four to six months is 'very perishable' because most use cases don't need top-tier capability. He notes many companies use AI for simple tasks and weigh token spending against hiring, while cheaper Chinese open-source models can run inside a company's own data centers, a demand especially strong in Europe. Yu believes OpenAI and Anthropic will not be easily displaced in Western consumer markets thanks to easy access and clean interfaces, though enterprise buyers are more sophisticated. Polymarket traders still see U.S. labs leading, with Anthropic at about 43%, Alphabet at 42%, OpenAI near 8%, and Chinese labs around 1% or less to have the best AI model at end-2026.

Anthropic said it plans to commit 5% of its shares to a new public benefit fund, subject to shareholder approval, and the board may add 2% for every 50% rise in company value above an undisclosed baseline. The company has already committed $200 million to studying AI's effects, and the fund may be used for large donations or 'bolder approaches' to AI-driven job displacement. The fund will be a wholly owned LLC rather than a 501(c)(3) nonprofit, and its equity will not be used for lobbying or political giving. An August Pew Research Center report found that 71% of U.S. adults think AI will lead to fewer jobs over the next two years. Anthropic told investors its third-quarter revenue stands at $16.8 billion ahead of a planned IPO reportedly slated for November, while Elon Musk recommended giving the shares directly to the public.

Anthropic reportedly told investors at a private day that its revenue reached $16.8 billion for the three months ended Sept. 30, up 50% quarter over quarter, and that it was cash-flow positive and adjusted-profitable. That growth is slower than the 140% gain seen between the first and second quarters, and Jefferies had reportedly expected an annual revenue run rate of at least $80 billion. The company has delayed its IPO registration statement twice amid AI safety concerns and very heavy infrastructure spending. A Saxo Markets strategist says a valuation above $2 trillion would be about 30 times annualized Q3 revenue, making valuation the main debate. The article argues investors are now asking tougher questions about funding, cost of capital and returns, so these results may not impress them much.