Abstract:
According to Reuters,
AI giant Anthropic and the world's richest man, Elon Musk, have proposed completely different plans to share some of the benefits of the AI boom, a disagreement that could affect how the technology's vast fortunes ultimately benefit the public
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Anthropic
The US news website Axios pointed out that the AI craze is about to rewrite the rules of global philanthropy and shift its focus to Silicon Valley, because the IPOs of Anthropic and OpenAI will create the world's largest charitable organizations here.
Anthropic said over the weekend that it would invest 5% of its shares in an unprecedented new "public interest" fund; and Musk promised on Monday to give away one SpaceX stock to "every child in America." As the rapidly emerging industry of AI faces public scrutiny, Musk advocates direct distribution of wealth to the people in this way.
How to distribute wealth in the AI era?
Security breaches have occurred in AI systems one after another. Industry leaders also warned that the out-of-control development of AI may bring serious risks that may even threaten human survival. This has further deepened people's concerns about AI safety and heightened public anxiety about unemployment.
Anthropic advocates distributing wealth through donations to non-profit organizations and direct funding to specific groups of people. Musk, whose net worth is close to $1 trillion, suggested “issuing shares directly to the public.”
"Next year, I will give one SpaceX stock to every child in America. This will be the first of many such actions." Musk, whose SpaceX is an Anthropic competitor, said in a post earlier Monday. As of June, he held approximately 6.42 billion SpaceX shares. SpaceX shares closed up about 1% on Monday.
Musk
Anthropic said the plan will give the company greater flexibility to expand its donations to benefit humanity. The company plans to IPO under the legal structure of a public benefit company (PBC), which is expected to be one of the largest IPOs in history. This legal structure requires company management to pursue profit goals while taking into account the broader public interest.
Big difference in value
The listing could value Anthropic at about $2 trillion, although Reuters exclusively reported last week that some investors were considering a lower valuation of about $1.5 trillion. Based on this calculation, Anthropic's 5% stake in the fund will be worth between US$75 billion and US$100 billion.
This would dwarf the potential value of Musk’s stock gift plan. U.S. Census data shows that there are 72 million children in the United States, and Musk's plan to donate stock is worth about $11 billion based on current stock prices.
Musk said: "It is the right approach to directly issue stocks representing future economic rights to the people."
Just months before Musk announced the plan, the White House launched the "Trump Account" plan. This is an investment plan that covers birth to adulthood and will provide U.S. citizens born between 2025 and 2028 with an investment account funded by the government of $1,000, and families can continue to add funds on this basis.
Since individuals and businesses can choose to donate equity to these accounts, many of America's top companies, including Dell, Visa, Micron Technology and Delta Air Lines, have pledged to support the program through employer matching or additional contributions.
U.S. President Trump posted on his truth social media: "Thank you so much to our legendary friend Musk! He generously donated SpaceX shares to millions of American children through his "Trump Account". This generosity is amazing!"
SpaceX did not immediately respond to a request for comment on whether Musk's donation of SpaceX stock would be tied to the "Trump Account" program or if there would be any kind of lock-up period.
A show?
Earlier this year, SpaceX President Gwynne Shotwell and her husband pledged to donate one SpaceX stock to each of more than 2 million children under the "Trump Account" program.
Robert Pavlik, senior portfolio manager at Dakota Wealth Management, which does not hold SpaceX shares, said of Musk's donation plan: "That's a lot of stock... I'm sure there will always be people who would be happy to receive it."
"This feels like a PR stunt... Will it create positive public sentiment? Maybe," Pavlik said.
Celebrity Charity
Dell founder Michael Dell (Michael Dell) and his wife Susan have pledged to donate $6.25 billion in cash to the "Trump Account" plan, specifically to help poor children. In contrast, the value of Musk's donation will depend on the performance of SpaceX's stock price, which tends to be volatile.
Buffett
Most of Musk's philanthropic activities are carried out through the Musk Foundation. The foundation reportedly holds more than $14 billion in assets.
Warren Buffett, chairman emeritus of Berkshire Hathaway, is one of the most influential figures in philanthropy. He has reportedly given away $60 billion so far, and plans to use most of the remaining assets of his roughly $150 billion fortune for philanthropy.
Since its establishment in 2000, the Bill & Melinda Gates Foundation under Microsoft founder Bill Gates has donated more than US$100 billion, part of which came from Buffett's donation.
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