The recent announcement of Senator JD Vance as Donald Trump's running mate for the 2024 presidential race has sent ripples of excitement through Silicon Valley.
Vance, best known for his bestselling memoir "Hillbilly Elegy," is not just a popular figure among Rust Belt voters but also has deep connections within the tech industry. Before his political career, Vance was a venture capitalist, working alongside tech billionaire Peter Thiel, co-founder of PayPal, Palantir Technologies, and Founders Fund.
According to The New York Post, Vance's nomination has been warmly received by Silicon Valley donors, who anticipate a tech-friendly second Trump administration. They foresee a softer approach to AI and cryptocurrency regulations. Vance is also a proponent of an antitrust crackdown on dominant tech giants like Google, accused of suppressing smaller competitors. This stance resonates with the so-called "little tech" startups backed by tech venture capitalists.
Vance has been vocal in his criticism of Section 230, a law that protects tech platforms from liability for third-party content posted on their sites. A tech policy source, who wished to remain anonymous, told The Post, "[Vance] might be the embodiment of defending little tech. He is a big champion of AI and enabling tech innovation and hes tough on China."
The Ohio Republican has publicly advocated for the breakup of Google and supports the Kids Online Safety Act, which would impose a legal duty of care on platforms like Meta and TikTok to safeguard children online. Vance is among a small group of "Khanservatives," Republican lawmakers who support Federal Trade Commission chairwoman Lina Khan, a Democrat known for her aggressive antitrust actions.
I guess I look at Lina Khan as one of the few people in the Biden administration who I think is doing a pretty good job, Vance said at an antitrust conference sponsored by Y Combinator in February. His stance aligns with Trump, whose FTC and Justice Department initiated antitrust investigations into Google, Meta, Amazon, and Apple during his first term.
Shervin Pishevar, a tech investor and managing director of Sharpa Capital, told The Post, President Trump and Vice President Vance will be the first crypto administration and will assemble the brightest minds in tech, AI, quantum computing, crypto, defense, transportation and biotech to create a renaissance in American dynamism and innovation.
Elon Musk, the billionaire CEO of Tesla, is among the notable supporters of the Trump-Vance ticket. Musk, who recently survived an assassination attempt at a campaign rally in Pennsylvania, has committed about $45 million to a new Trump political action committee, America PAC. The PAC also enjoys support from the Winklevoss twins and Palantir co-founder Joe Lonsdale.
Marc Andreessen and Ben Horowitz, co-founders of the tech-focused VC fund that bears their name, have reportedly expressed their intention to donate large sums to PACs supporting Trump's presidential bid. Founders Fund partner Delian Asparouhov celebrated Vance's nomination, writing on X: WE HAVE A FORMER TECH VC IN THE WHITE HOUSE. GREATEST COUNTRY ON EARTH BABY.
Omeed Malik, president of 1789 Capital, added, He has authenticity in the MAGA ecosystem based on his lived experiences and can be the demographic bridge our country needs. Other tech venture capitalists backing the Trump ticket include All In podcast hosts David Sacks and Chamath Palihapitiya, who recently hosted a $12 million fundraiser with Vances encouragement.
Vance, a Yale Law School graduate and US Marine Corps veteran, worked as a principal at Thiels investment firm Mithril Capital from 2016 to 2017. By 2020, he had launched his own Ohio-based fund, Narya Capital, which attracted significant backing from Thiel, Andreessen, former Google CEO Eric Schmidt, and other Silicon Valley luminaries.
In 2021, Narya reportedly made a substantial investment in Rumble, an online video platform and YouTube competitor favored by conservatives. Thiel also invested personally. Naryas portfolio includes a stake in Strive Asset Management, a fund started by former GOP presidential candidate and fellow Trump supporter Vivek Ramaswamy that pressures corporate giants like Apple and Disney to keep politics out of business.
Vance disclosed in 2022 that he owns between $100,000 and $250,000 in bitcoin. Meanwhile, President Biden has received substantial donations from George Soros and Eric Schmidt, who recently made six-figure contributions to Bidens campaign and the Democratic party.
The tech industry's enthusiastic response to Vance's nomination underscores the potential for a tech-friendly administration under Trump. However, the challenge remains to balance pro-tech policies with the needs and concerns of Rust Belt voters. As one VC source said, I think its hard to be pro-tech and pro-Rust Belt. I dont know if there is a way to thread the needle I guess we will see.
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