Silicon Valley Has Turned Its Back on Democrats — Can the Party Win It Back?

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Democrats once wore the mantle of innovation proudly. John F. Kennedy pledged a moon landing. Bill Clinton and Al Gore championed the dawn of the internet age. Barack Obama saw technology as a tool for improving American lives and reforming government from the inside out.

When HealthCare.gov crashed at launch, Obama’s response wasn’t to vilify Silicon Valley — he called in tech leaders to fix the mess. That instinct captured something deeper about the old Democratic-tech relationship: a shared faith in progress, and a belief that innovation could lift people up rather than leave them behind.

Something shifted after the 2016 election. What started as anger at Facebook over its perceived role in Hillary Clinton’s defeat spread into a broader distrust of the entire tech industry — founders, venture capitalists, startups, cryptocurrency, artificial intelligence, even the basic notion that disruption could be a good thing.

Silicon Valley took notice.

Today, a growing number of founders and investors say they no longer feel welcome in the Democratic Party. Many have concluded that Democrats still want their campaign contributions but have lost respect for their expertise, drive and success.

The tech world didn’t swing sharply to the right. Rather, Democrats stopped speaking the language of innovation that once defined them.

The contrast between the Obama and Biden eras is striking. Obama’s White House actively courted technologists, met regularly with industry leaders, and built the U.S. Digital Service to modernize federal systems — treating Silicon Valley as a genuine partner in keeping America competitive.

The Biden administration, by comparison, often kept the industry at arm’s length. Meetings with tech executives grew rare or politically charged, and by some accounts simply stopped happening. Officials seemed more preoccupied with activist backlash than with grasping the technologies reshaping the American economy.

Over time, Democratic politics took on a tone that many in the tech world read as reflexively hostile to innovation itself. Venture capital became something to view with suspicion. Cryptocurrency was treated less as an industry needing sensible regulation and more as a moral failing. Conversations about artificial intelligence too often began with fear instead of possibility. Antitrust enforcement drifted from protecting consumers toward simply punishing companies for being large.

This shift comes at a costly moment. The country is on the cusp of its biggest technological transformation since the invention of the internet — one driven by artificial intelligence, robotics, defense technology, energy innovation and biotech that will define economic and geopolitical power for decades to come. Yet Democrats have positioned themselves as the party most wary of that change.

The irony is that rank-and-file Democratic voters remain enthusiastic about technology. They use Silicon Valley’s products constantly and want innovation applied to healthcare, transportation, education and public services. Their frustrations with Big Tech companies don’t add up to a broad rejection of technology itself.

Yet many party leaders fell into what might be called the “techlash trap” — blaming tech companies for the country’s political troubles while discarding the optimism that once made Democrats synonymous with the future.

Politically, that has backfired. The party alienated founders, engineers, investors and a good share of younger voters, none of whom were asking for anti-tech populism.

Ironically, some of the Biden administration’s clearest successes proved the opposite approach works better. The CHIPS and Science Act, which funneled federal grants and tax incentives into semiconductor manufacturing, succeeded precisely because officials worked hand-in-hand with industry experts and private-sector talent. Defense innovation programs thrived for the same reason — by partnering with startups and technologists rather than treating them with suspicion. Industrial policy worked best when government saw innovation as something to harness, not something to fear.

That’s the lesson Democrats should carry forward. The party’s future shouldn’t be built on anti-tech populism, but on what might be called pro-innovation progressivism — one that promotes competition, safeguards consumers, and pushes for American technological leadership, while still applying reasonable guardrails where they’re needed.

Silicon Valley understands something the Democratic Party seems to have forgotten: innovation is messy, disruptive and sometimes arrogant — but it remains essential to America’s prosperity. If Democrats hope to reclaim their identity as the party of the future, they’ll need to stop treating the people building that future as adversaries.

Original source: CalMatters

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