In backing Trump, effective accelerationists like Musk and Andreessen got a “Decel-in-Chief”, who instigated a brain drain and tariffs that hurt tech companies
This report tests that bet against the administration’s broader economic effects: policies portrayed as producing a tech-worker brain drain and tariffs can conflict with the growth agenda those investors said they wanted.
First-order effects
Tech companies face the immediate combination of talent disruption and tariff-related cost pressure described in the report, complicating hiring and operating decisions.
Musk, Andreessen, and aligned investors confront a mismatch between their political support and policy outcomes that can slow the companies and founders they back.
Second-order effects
Startups and investors may put greater weight on exposure to trade costs and talent mobility when assessing policy risk, rather than treating a deregulatory stance alone as a sufficient advantage.
The episode weakens the assumption that a political coalition built around crypto and lighter startup regulation will produce uniformly favorable conditions across the technology sector.
Third-order effects
If this pattern persists, tech’s political engagement will become more explicitly portfolio-specific: firms will seek influence over trade, immigration, and AI policy alongside regulation.
The trend: Technology investors are increasingly operating in a state-mediated market where access and influence must be balanced against policy risks to talent, trade, and operating costs.
“Musk's X, meanwhile, could be hit with upward of $1 billion in E.U. fines, the New York Times reported Thursday — a politically symbolic move given Musk's close Trump ties.” — Drain the swamp of the oligarchy bank accounts, Europe! — www.washingtonpost.com/technology/ 2...
@stephentotilo
Stephen Totilo on bluesky
NEW: The ESA (the U.S. group repping all big gaming companies) tells me they expect Trump's tariffs to have a “real and detrimental impact” — A rep says consoles and other devices likely to be hit by “many” tariffs per device due to sourcing from multiple countries — www.game…
@zackstanton
Zack Stanton on bluesky
“According to estimates from Bloomberg's Billionaire Index, Tesla CEO Elon Musk personally lost $110 billion from his net worth so far this year, Amazon founder Jeff Bezos $37.6 billion and Meta CEO Mark Zuckerberg $18.6 billion.”
@carnage4life
Dare Obasanjo on bluesky
Techno-optimists imagine an accelerated future where AI replaces white collar workers and robots blue collar ones. — While it's a leopards eating faces moment to point out the tariffs hurt the tech industry elites who are pursuing this vision, I suspect they are still more happ…
@joemenn
Joseph Menn on bluesky
Well-done piece by colleagues shows that Big Texh is getting a lot less than it bargained for from Trump. www.washingtonpost.com/technology/ 2...
@washingtonpost.com
@washingtonpost.com on bluesky
There is still hope in Silicon Valley that President Trump will deliver deregulation at home and use the tariffs as a stick to beat back foreign countries' efforts to tax and regulate American tech firms. But the tech giants that invested in cozying up to him have yet to see suc…
@pippuri
Sami Pippuri on bluesky
Then again, AI services aren't subject to tariffs, at least for the time being. It might happen soon, but for now, it's a zero-tariff field with lots to play for. Get yer compute where it's the cheapest. [embedded post]
@trashiepanda
@trashiepanda on bluesky
Aw....poor babies. 👶 — Tech moguls who grinned behind Trump at inauguration lose billions in wake of his tariffs announcement: — Tech executives had argued that backing Trump might improve U.S. regulatory reform and expand investments in AI.
@martinsfp
@martinsfp on bluesky
Womp womp. — So scared of a bit more regulation that they held hands with a market-crashing maniac. [embedded post]
@emanuelmaiberg
Emanuel Maiberg on bluesky
all hail the decel in chief www.404media.co/big-tech-bac...
@samleecole
Sam Cole on bluesky
“We'd be quiet too if we were them because it's such a humiliating self own.” www.404media.co/big-tech-bac...
@MikeElgan@mastodon.social
Mike Elgan on mastodon
Silicon Valley broligarchs can't believe leopards ate their face. https://www.404media.co/...
@paulg
Paul Graham on x
Tariffs aren't fighting. Fighting is out-producing other countries. Tariffs are running away. That's why only the weakest countries rely on them. [image]
@levie
Aaron Levie on x
CEOs with large global supply chains can't be outspoken on this topic publicly because they need to cut deals. But this is the tone of the convos happening right now.
r/qualitynews
r on reddit
Tariff fallout slams Big Tech, despite leaders cozying up to Trump