‘Ben Horowitz, Bill Ackman, Cameron Winklevoss, Doug Lyon, Elon Musk….’ This list, filled with renowned billionaires and Silicon Valley entrepreneurs, was posted in mid-month by David Sacks, PayPal co-founder, on his X (formerly Twitter) account as supporters of former President Donald Trump. And just a week later, as the presidential race reset, another list emerged in Silicon Valley. This one featured supporters of Vice President Kamala Harris, who is expected to be Trump’s competitor, including Reid Hoffman and Reed Hastings.
In Silicon Valley, ahead of the November presidential election, the internal conflict between the ‘Trump faction vs. Harris faction’ is intensifying. Among the tech industry’s wealthy, public attacks and clashes over political leanings are becoming frequent. This has led to assessments that even Silicon Valley’s long-standing practice of not openly expressing disagreements?given the potential for future business partnerships?has been broken.
‘Trump vs. Harris’ Clash Centered Around the PayPal Mafia
According to the New York Times (NYT) on the 29th (local time), this internal conflict, visible through social media, conferences, and podcasts, is particularly prominent around the ‘PayPal Mafia,’ including founder David Sacks. The PayPal Mafia refers to Elon Musk, Tesla CEO; Peter Thiel, PayPal co-founder; Reid Hoffman, LinkedIn co-founder; and Ken Howery, Affirm co-founder, who all worked together at PayPal in the early 2000s.
On the 13th, shortly after the assassination attempt on former President Trump, Sacks posted on X that "the left has normalized this," linking to a post related to Hoffman, a major Democratic donor. Musk also mentioned Hoffman’s name, writing, "They achieved their most cherished wish, but the martyr (Trump) survived." This expressed anger over the attack while targeting former colleagues behind the scenes.
Their clashes were also evident after Sacks held a large fundraising event for Trump in San Francisco last month. Hoffman, who donated at least $10 million to the Joe Biden campaign, criticized Sacks in a blog post, saying he was "supporting a convicted criminal." The NYT reported, citing sources, that Hoffman engaged in a heated political debate with Thiel, a longtime acquaintance and Republican donor, at a conference held this month in Sun Valley, Idaho. Additionally, last week, Sacks publicly criticized another major Democratic donor, Reed Hastings, Netflix founder, calling him a "useful fool."
"Omert? Has Been Broken" ? Changing Atmosphere in Silicon Valley
Such overt clashes over political leanings are considered unusual in Silicon Valley. Roger McNamee, a Silicon Valley venture capitalist, noted, "One or two years ago, there was an ‘omert?’ (the Mafia’s code of silence) in Silicon Valley," adding, "People always clashed, but they never showed it publicly." Traditionally, entrepreneurs and investors in Silicon Valley refrained from public criticism of each other, considering potential future collaborations.
McNamee himself joined the conflict last week by criticizing the founders of Andreessen Horowitz, in which he had invested, for supporting former President Trump, whom he described as holding ‘anti-democratic values.’ Shortly after, Ben Horowitz, co-founder of Andreessen Horowitz, responded, "When opinions differ, is your first thought to attack me on Twitter?" The NYT described their harsh exchanges as "blunt," illustrating how Silicon Valley’s identity is fracturing.
Known as the tech capital of the United States, Silicon Valley has traditionally been a Democratic stronghold. However, entrepreneurs and investors dissatisfied with the Biden administration’s tech regulations have increasingly expressed support for former President Trump ahead of this year’s election, amplifying right-wing voices. David Sacks, who leads the Trump support, had previously supported Hillary Clinton, a former Democratic presidential candidate and Secretary of State, but has since shifted to the right. Meanwhile, President Joe Biden’s decision not to seek re-election is seen as a catalyst for Democratic supporters in Silicon Valley to rally around Vice President Harris and strengthen anti-Trump voices.
In response to Sacks’ list, Siri Srinivas, partner at Gradient VC, who released the Harris supporter list on the 24th, said, "It likely helped to firmly show support for Harris and opposition to Trump." Currently, Democratic supporters in Silicon Valley express concerns about a second Biden administration, citing Trump’s past demands to break up Meta Platforms and threats to imprison CEO Mark Zuckerberg, contrasting with Republican supporters who anticipate tax cuts, deregulation, and cryptocurrency support under Trump.
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