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How Anthropic Designed Itself to Avoid OpenAI’s Mistakes

May 30, 2024 - time.com
The article discusses the corporate governance of AI companies, focusing on Anthropic and OpenAI. Anthropic, an AI lab with an unorthodox corporate structure, is structured to develop AI without cutting corners for profits. Its governance structure, which includes a Long Term Benefit Trust (LTBT) that can elect and fire a majority of the board, is designed to balance the interests of stockholders with public benefit. However, the LTBT's influence is limited as its appointed board members also owe fiduciary obligations to Anthropic’s stockholders.

The article also highlights the potential risks of Anthropic's structure, including the possibility of Google and Amazon, which have invested heavily in the company, forcing a change in its corporate governance. Despite these challenges, Anthropic's leaders believe their governance structure is more robust than OpenAI's and will allow the company to develop AI safely, protected from market pressures, and for the benefit of society. However, some experts argue that no corporate governance structure is adequate for the development of AI and that governments must issue binding regulations.

Key takeaways:

  • Anthropic, a top AI lab, has a unique corporate structure designed to ensure it can develop AI without needing to cut corners in pursuit of profits. This structure is different from its competitor OpenAI, which recently faced a crisis when its board fired CEO Sam Altman.
  • Anthropic is a public benefit corporation, meaning that its board has a fiduciary obligation to increase profits for shareholders but also has a mission to ensure that “transformative AI helps people and society flourish.”
  • The company has set up a separate body, the Long Term Benefit Trust (LTBT), which will eventually have the power to elect and fire a majority of the board. This structure is designed to balance the interests of stockholders with the public benefit.
  • Despite Anthropic's innovative structure, questions remain about its ability to withstand pressure from large tech companies like Amazon and Google, which have invested heavily in the company. Some experts argue that the governance of AI is a task for governments, not corporate structures.
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