Why Silicon Valley Wants Biden's White House?

 As the US presidential election proceeds, Silicon Valley, the heart of the technology industry, is more sensitively awaiting the election results. Needless to say, Silicon Valley and big tech companies want Biden to be elected. CNN analyzed and reported the reason.

Silicon Valley and tech-centric companies are hoping for Democratic candidate Biden to be elected president. Photo = CNN 

Like other companies in the United States, tech companies increased their profits by benefiting from the Trump administration's corporate tax cuts. The checks on social networking platforms from Europe have been part of the defense by President Trump. This did not help much, but rather damaged the ties between the United States and Europe. Little did I get help from Trump. Many were at odds with their hopes. 

Trump waged a trade war with China, creating constant tension. It is also true that the technology supply chain has become unstable. Tech companies have also restricted the issuance of work visas to hire foreign workers. During Trump's four years in office, the Ministry of Justice has been continuously investigating the possibility of Big Tech's antitrust violations. Recently, it has sued Google for antitrust violations. There are even concerns that Google will spin off. Trump further accused social media platforms of arbitrary censorship, including warnings on his tweets and arguing that it was biased to exclude far-right groups. In response, he made a pretense to revise the Communication Quality Act. 

Global technology companies have been growing in the midst of that. Apple, Amazon, Microsoft, Google, Facebook, Tesla, and Netflix have raised their market caps from $2 trillion to nearly $8 trillion. However, corporate behavior and stock price are completely different. Big techs are eager for changes in corporate management and hope for Biden to lead positive changes. 

'I think we should separate the challenges of companies from the performance of stocks,' said analyst Tom Forte DA Davidson to CNN. Stanford Law School professor Mark Remley in charge of legal science and technology diagnosed it as 'the key post-Trump position in a different world.' Professor Ramley said, “Silicon Valley is a success because everyone wants to come, and smart people from the world come to school, come to work, stay, and find their own company. Even so, the US and Silicon Valley may not be in a position to be respected by the world in the future.” 

Employees at big tech companies appear to be primarily supporting Biden. A review of CNN's September election report revealed that workers from Amazon, Google, Facebook, and Apple contributed three times more money to Biden's July campaign than President Trump. Businessmen have also said they support Biden for predictable behavior rather than Trump, who doesn't fit back and forth. 

The immigration issue is the biggest issue in Silicon Valley. Silicon Valley criticized Trump for regulating a visa program to bring skilled foreign workers. In response, Biden promised to take a more open stance on immigration and employment of foreigners. For reference, the CEOs of Silicon Valley's largest companies, including Google, Microsoft, and Tesla, are all immigrants. 

The Trump administration was in sharp confrontation with China, including restrictions on exports of communication equipment from Chinese telecom giant Huawei, restrictions on semiconductor supply, and pressure to sell TikTok's US business. The problem is, despite Trump's pressure, nothing has changed significantly. Analysts predict that the Biden administration will remain less aggressive, even if China's policy of checks continues. This is also expected to help revitalize US tech companies that are losing Chinese customers. Apple relies on China for about 15% of its sales. Intel and AMD are also quite dependent on China for semiconductor sales. 

Biden made policy proposals in many other areas related to the industry. 

The prospect of regaining net neutrality, which will favor the technology ecosystem, is prevailing when the Biden regime enters. His plans to invest in higher education and make it more widely accessible could also benefit big tech, which relies on a highly skilled workforce. 

Biden also pledged to invest $20 billion with the goal of building a broadband network infrastructure for communities where the current information gap is severe. This can be of great help in bridging the information gap highlighted by the Corona 19 pandemic. It also proposed reform of the FCC's Lifeline program to help low-income consumers buy broadband.