Anthropic Says We Must Stop Authoritarian AI. But What About Its Authoritarian Investors?

Anthropic’s high-profile spat with the Pentagon gave it a killer marketing advantage, burnishing its public image as a principled AI company that puts values over profits — unlike more mercenary rivals such as OpenAI or Google. But Anthropic’s double standard on authoritarianism suggests the nearly trillion-dollar firm is as calculating and ethically flexible as any of its competitors.

In a recently published policy paper arguing a full-throated embrace of data center nationalism, Anthropic said that “it’s essential that the US and its allies stay ahead of authoritarian governments like the Chinese Communist Party,” lest the world fall into the grips of tech-powered tyranny. Anthropic and its peers, the company claims, will form a bulwark of democratic values, protecting societies at home and abroad from repression.

Left unmentioned in the document — and seldom publicly acknowledged — is the fact a slice of Anthropic is owned by the Emirati dictatorship of Abu Dhabi, a repressive and authoritarian monarchy.

Anthropic’s policy paper, published in May, tours the same Sinophobic territory heavily trod by its chief competitor OpenAI and a wide swath of the tech industry, who know a “race” with China — the finish line never quite defined — is a weighty cudgel against regulation.

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Anthropic is aware of which way the wind blows from Washington to Silicon Valley, and it shrewdly casts the development of machine learning models not just as a matter of hardware and software, but of ideology and geopolitics. “Democracies, not authoritarian regimes, must lead in AI development and deployment,” the company says, or else an era of “authoritarian AI” will begin.

“Already, the CCP is using AI to censor speech, repress dissidents, hack governments and corporations across the world, and strengthen the People’s Liberation Army,” Anthropic writes, and to “enforce draconian policies on ethnic minorities” using machine learning-powered methods like biometric collection and facial recognition.

The policy paper isn’t a condemnation of any of these AI uses per se; the United States is already eagerly using these technologies for intelligence, military, and ethnic minority-repression purposes today. Residents of Tehran, which Anthropic has helped bomb since the start of the joint U.S.–Israeli war against Iran, might question the company’s argument that American AI supremacy is a matter of global “safety.”

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Though the policy paper focuses on China, the company has long stated it opposes authoritarianism broadly: “AI-powered authoritarianism seems too terrible to contemplate, so democracies need to be able to set the terms by which powerful AI is brought into the world, both to avoid being overpowered by authoritarians and to prevent human rights abuses within authoritarian countries,” CEO Dario Amodei wrote in a 2024 blog post.

This is not merely a battle between the U.S. and China, Anthropic says in the May paper, but a war between democracy and “authoritarian governments” broadly construed.

But Anthropic’s anti-authoritarian fervor seemingly does not extend beyond China to the Middle East, where Abu Dhabi’s sovereign wealth fund invested in Anthropic twice this year. In February, Anthropic announced it had raised $30 billion in capital from a group of investors that included MGX, the AI-focused investment vehicle of a Emirati government capital controlled by Abu Dhabi’s royal family. Anthropic’s most recent May 28 $65 billion capital round, bringing its valuation to $965 billion, also included MGX.

Like China, the United Arab Emirates outlaws almost everything associated with democratic society: Political parties, a free press, freedoms to associate and assemble, open elections, due process, and free speech are nonexistent. Political dissidents face torture, and any speech, online or offline, that causes “damage to national unity” risks life imprisonment or the death penalty.

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Emirati authoritarianism isn’t contested by the U.S., Anthropic’s primary governmental customer. The State Department’s 2024 Country Reports on Human Rights Practices assessed the UAE faces “credible reports of: disappearances; arbitrary arrest or detention; transnational repression against individuals in another country; serious restrictions on freedom of expression and media freedom, including censorship; and prohibiting independent trade unions or significant or systematic restrictions on workers’ freedom of association.” Freedom House, a State Department-backed think tank, gives the UAE a score of 18 out of 100 on its “Global Freedom” index.

Anthropic declined to comment. MGX did not respond to a request for comment.

Given that MGX bought into Anthropic at its Series G and H investment rounds, relatively late in the venture capital game, it’s likely that the UAE’s stake in the company is relatively small and its influence limited. But Anthropic’s willingness to sell part of itself to an authoritarian monarchy suggests at least that its mission of “ensuring democracies lead” comes with asterisks.

“Like China, the UAE is at the forefront of AI-based authoritarian surveillance,” said Matthew Tokson, a law professor at the University of Utah who focuses on the security implications of artificial intelligence.

Tokson added that while he generally agrees with Anthropic’s calls to restrict processor exports to China and other measures to bolster American AI firms, he doesn’t buy the nationalist rhetoric, which he attributes to the company’s anti-regulatory agenda rather than patriotism. The more Anthropic and its competitors can convince the public that their bottom line is a matter of national security, the more likely Washington is to take a light touch.

“The fact that Anthropic is partly owned by the government of Abu Dhabi, which is similar to China in its extensive use of AI surveillance to support an authoritarian government, suggests that its anti-authoritarian arguments are more based on a cynical policy position than a sincere passion for democracy or antipathy toward authoritarian governments.”

Many of the emirate’s long record of repressive acts and rights violations are connected to MGX via its chair, Sheikh Tahnoun bin Zayed Al Nahyan. Through his position as the emirate’s national security and intelligence chief and his business portfolio, including chairmanship of the AI firm G42 (itself a founding partner in MGX), Tahnoun has been linked to a bevy of campaigns to surveil and hack into the phones of Emirati dissidents, human rights advocates, and others the monarchy deems an adversary, according to news media reports and scholarly research. A 2020 investigation by Bill Marczak, a senior researcher at the University of Toronto’s Citizen Lab placed “Spy Sheikh” Tahnoun at the center of myriad hacking, espionage, and surveillance operations. A 2025 Wired profile of Tahnoun similarly described him as Abu Dhabi’s “spymaster sheikh,” noting G42’s “special areas of strength in state-sponsored hacking and surveillance tech.”

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In 2019, the New York Times reported a covert Emirati government campaign to conduct surveillance through an instant messaging app called ToTok, an app itself Marczak tied to Tahnoon and through G42 in his 2020 analysis. The Wired profile described Tahnoun’s ambitions to “dominate AI” noted that “an engineer who worked at G42 at the time told me that all of the [ToTok] voice, video, and text chats were analyzed by AI for what the government considered suspicious activity.”

G42 declined to comment, and neither it nor MGX responded to interview requests for Tahnoun.

There is reason to believe G42 and MGX have already deployed Anthropic’s powerful large language models. A review of DNS data — internet records that connect website names to numerical addresses understandable by computers — show both G42 and MGX have both configured their servers to allow personnel to access Anthropic tools like Claude, the company’s flagship large language model.

Anthropic has been more candid in internal communications about its stance on authoritarianism.

“Unfortunately, I think ‘No bad person should ever benefit from our success’ is a pretty difficult principle to run a business on,” Amodei wrote in a 2025 memo on Gulf State venture capital obtained by Wired. He wrote that such investment would boost “dictators” and conceded that it would give an authoritarian government “some soft power” to wield against the company. Nonetheless, Amodei dismissed the risk of hypocrisy as a “Comms Headache” — a function of “very stupid” commentators “having a poor understanding of substantive issues.”

Principles aside, Amodei explained in plain terms why he was interested in doing business with a repressive Gulf State. “We gain a very large benefit,” he wrote, “from having access to this capital.”