Don’t hold us responsible for the AI-driven stock market downturn, states Anthropic executive

Anthropic Responds to AI-Driven Market Volatility

One of the leading creators of advanced AI coding platforms, Anthropic, has pushed back against claims that its technology is responsible for the recent sharp decline in software company stocks.

Scott White, Anthropic’s head of product, told Bloomberg that linking the recent global market downturn to their AI releases would be an exaggeration.

In recent weeks, software stocks have experienced significant fluctuations. Market analysts have pointed to concerns that Anthropic’s AI advancements could disrupt established technology providers serving sectors like law, accounting, and data analysis.

Earlier this month, Anthropic launched an updated version of its Claude AI assistant, which offers automation for legal tasks and data processing. This release reportedly erased $1 trillion (£740 billion) from the value of software stocks, an event traders dubbed the “SaaSpocalypse.”

While ChatGPT has gained popularity among individual users, Anthropic’s Claude has quickly become a favorite among businesses. Its AI is used by engineers to generate code, develop applications, and manage tasks such as emails and scheduling.

This week, Anthropic introduced new features for Claude that automate processes in human resources and banking.

Industry Partnerships and Market Reactions

Anthropic also announced collaborations with several companies that have been hit hard by the recent sell-off, as investors worry their technology could soon be outdated.

• London Stock Exchange Group
• US-based LegalZoom
• Analytics provider S&P Global

Since the introduction of new “plug-ins” for Claude, shares in S&P Global and LegalZoom have each dropped by about 20%.

However, following Anthropic’s announcement of these partnerships, some affected companies saw their stocks rebound. LegalZoom’s share price rose by 5%, and FactSet, a data analytics firm, gained 6%.

In an interview with Reuters, Scott White emphasized that Anthropic’s goal is not to replace its clients. “Our product isn’t designed to take over every workflow,” he explained.

He further noted, “Our customers bring their expertise, industry knowledge, and trusted relationships to the table.”

Concerns Over AI and Employment

Anthropic’s leadership has repeatedly cautioned that AI could threaten millions of jobs or even pose risks to humanity’s future.

CEO Dario Amodei has warned that AI could eliminate up to half of all white-collar positions, predicting an unprecedented short-term economic shock.

Despite these warnings, Peter McCrory, Anthropic’s head of economics, stated on Tuesday, “We are not observing widespread job losses in the labor market at this time.”

Broader Market Impacts and Company Strategies

This week, US markets were unsettled after Cintrini Research issued a report warning of an “intelligence crisis” and rising unemployment due to AI automation. Stocks of companies identified as vulnerable to AI disruption, such as DoorDash and American Express, fell following the report’s release.

To reassure investors, many businesses are rapidly integrating AI into their offerings. For example, Rightmove, whose share price has dropped 50% from its peak last year, announced a partnership on Monday to incorporate ChatGPT into its property search platform.

Despite earlier losses, US markets rebounded on Tuesday, led by a nearly 9% surge in AMD’s stock after the chipmaker secured a $60 billion deal with Meta, Facebook’s parent company, for its latest semiconductors.

Earlier this month, Anthropic raised $30 billion in funding, bringing its valuation to $380 billion.