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Silicon Valley’s tech elite find themselves embroiled in political tensions as the 2024 presidential race heats up. Reid Hoffman, the LinkedIn co-founder and Democratic mega-donor, has voiced concerns about the growing divide within the industry.
In a recent Bloomberg Television interview, Hoffman highlighted the strain on relationships in Silicon Valley due to the contentious battle between Vice President Kamala Harris and former President Donald Trump. He noted that some investors supporting Trump had withdrawn their backing from venture capital firms whose partners are endorsing Harris.
While Hoffman’s own firm, Greylock, hasn’t been directly impacted, he refrained from naming specific investors or companies involved in these political maneuvers. The billionaire described the divisions as profound and potentially enduring, extending beyond mere business retaliation.
SILICON VALLEY: After a 24 year hiatus the Silicon Valley elite is moving back to the right. The Democrat experiment failed California, the United States, and the world at large.
h/t @jburnmurdoch pic.twitter.com/e1L8QaZhyJ
— @amuse (@amuse) October 18, 2024
Despite Silicon Valley’s traditionally left-leaning reputation, support for Trump has increased in recent months. High-profile figures like Elon Musk and venture capitalists such as Joe Lonsdale and Shaun Maguire have made substantial donations to Trump’s campaign. These Trump supporters have engaged in public disagreements with Harris backers like Hoffman and Vinod Khosla on X, the social media platform formerly known as Twitter.
Looking ahead, Hoffman expressed hope for policy changes under a potential Harris administration. He suggested that FTC Chair Lina Khan should reconsider merger and acquisition policies to stimulate tech sector activity. Additionally, he hoped SEC Chair Gary Gensler would revise regulations to provide more certainty for emerging industries.
Hoffman admitted to not having fully contemplated the implications of a Trump victory. However, he emphasized the need for businesses to build resilience in preparation for what he anticipates could be a challenging period marked by “grifter capitalism.” This scenario, according to Hoffman, might involve leveraging businesses for political favors.
LISTEN NOW: Silicon Valley is split over the 2024 U.S. Presidential election — Elon Musk and Mark Cuban are making waves, while Mark Zuckerberg has chosen to sit this one out. Listen and follow the @SquawkCNBC podcast here: https://t.co/gZaa8fjNXK pic.twitter.com/Nife2bzb9F
— CNBC (@CNBC) October 30, 2024
The tech mogul also touched on the possibility of Elon Musk taking a role in a Trump administration, expressing hope that Musk would treat competing businesses fairly if such a situation arose.
Hoffman concluded by reaffirming his support for Vice President Harris, stating, “Obviously I’m very hopeful that Vice President Harris will win the election. And so therefore haven’t done enormous contingency planning yet.”
