Silicon Valley is turning to Trump. Here’s why

Major tech titans and investors in the United States, including Palantir’s co-founder, the Winklevoss twins, and reportedly Elon Musk, are backing Donald Trump’s presidential bid by donating to a political committee supporting the former US president. 

Musk, who has endorsed Trump on Saturday, said he is planning to pledge $45 million (€41 million) a month to the committee called America PAC, according to the Wall Street Journal on Monday, citing people familiar with the matter. 

As of the end of June, the SpaceX and X boss has not yet given any money to America PAC, according to a quarterly financial filing submitted to the Federal Election Commission on Monday. 

It is unclear if he donated to the committee in July.

The PAC did show that it received financial contributions from Palantir co-founder Joe Lonsdale, who donated $1 million (€917,000) through Lonsdale Enterprises, an entity linked to him.

The filings also showed the cryptocurrency investors Cameron and Tyler Winklevoss each donated $250,000 (€230,000). 

Meanwhile, Joe Craft, the chief executive of coal producer Alliance Resource Partners and the flounder on the Jimmy John’s sandwich chain, also made $1 million in donations each. 

Courting crypto and tech

The Silicon Valley tech industry in California, a Democratic stronghold, has notably been a liberal region. But President Joe Biden’s taxes and regulations on companies have pulled companies more to the right. 

According to the Washington Post, Trump has promised donors at fundraisers to enact policies that work in their favour such as cutting corporate taxes, approving oil permits, and throwing pro-Palestinian demonstrators out of the US. 

He has also done a U-turn on cryptocurrency. During his time in office, Trump deemed crypto a “scam” and a “disaster waiting to happen”. But since running for office, the Republican Party has adopted a platform that supports crypto innovation. 

“Republicans will end Democrats’ unlawful and un-American crypto crackdown and oppose the creation of a Central Bank Digital Currency,” according to the document. 

“We will defend the right to mine Bitcoin, and ensure every American has the right to self-custody of their digital assets, and transact free from government surveillance and control”.

‘Tech VC in the White House’

Trump’s pick for his vice-president, Senator JD Vance, a former venture capitalist with investments in tech and crypto companies, could also further sway Silicon Valley. 

“It’s JD Vance. We have a former tech VC in the White House. Greatest country on earth baby,” posted Delian Asparouhov, partner at a VC firm The Founders Fund, which is backed by Peter Thiel. 

Trump-Vance “resounds with victory,” echoed Musk on his platform X. 

Vance invested in firms such as Christian prayer app Hollow, and Anduril Industries, a Thiel-backed artificial intelligence (AI) defence company, and said in 2022 he had between $100,000 (€91,000) and $250,000 (€230,000) tied up in Bitcoin.