The line between technology and politics is becoming increasingly blurred, with tech founders stepping into the political arena as both influencers and agitators.
In the European Union, the sway of these ‘Technocrats’ is drawing growing attention, as their financial power, technological clout, and vast platforms are used to shape policy and public opinion.
This phenomenon isn’t limited to campaign financing or lobbying efforts. From Daniel Ek’s push for ‘fairer’ digital regulations to Elon Musk’s interventions in European political debates, tech leaders are reshaping political discourse in Brussels and beyond.
EU politicians, including French President Emmanuel Macron and Spanish Prime Minister Pedro Sánchez, have publicly criticised figures like Musk for perceived meddling in democratic processes, raising alarms about the unchecked power of tech magnates in shaping Europe’s political landscape.
As a handful of primarily US tech founders navigate the corridors of power in Brussels, their influence is challenging the balance between democratic principles and technological progress. Are these leaders driving innovation, or are they steering Europe toward a new era of technocratic dominance?
Spending by tech founders and companies
Tech entrepreneurs have emerged as major players in lobbying and advocacy spending, often aligning their contributions with causes that resonate with their business interests or personal ideologies.
In the United States, lobbying efforts by major technology companies continue to increase on a year-by-year basis. For example, in the first quarter of 2024, Meta (formerly Facebook) spent a record €7.4 million on federal lobbying, marking its highest quarterly expenditure to date. This surge contributed to a total of over €1.1 billion in federal lobbying spending across various industries during the same period.
While comprehensive data on political donations by tech organisations within the EU remains limited, evidence suggests significant lobbying efforts.
According to LobbyFacts, In 2022, companies registered in the EU Transparency Register collectively increased their annual lobbying budgets to approximately €120 million, a notable rise from €90 million in 2015.
Big Tech dominated the top 10 highest spending companies, with six firms coming from the tech sector: Apple, Google, Meta, Microsoft, Qualcomm (all U.S.-based), and Huawei (China).
These companies appear to have recognised the potential risks posed by new EU regulations, such as the General Data Protection Regulation (GDPR), Digital Markets Act (DMA), and Digital Services Act (DSA). Their lobbying efforts have edged out energy companies, which previously featured more prominently in the top 10.
The tech industry as a whole was noted by Lobbyfacts for its inclusion in the 50 highest spending corporate lobbies in 2022 in the EU. Apple, for example, was not among the top 50 in 2015 (ranking 53) while in 2022 it took the third place, with a sixfold increase in its declared lobby budget since 2015, from €750k to €6.5 million. Meta also increased its lobby budget in 2022 by more than sixfold since 2015 from €450k to €6 million.
This highlights the strategic interest of global tech companies in shaping the regulatory frameworks governing digital assets in the EU.
EU tech entrepreneurs and companies are also increasing their advocacy and lobbying endeavours in Brussels through concentrated efforts, but it should be noted they do not yet match the influence or purchasing power of US tech companies.
This can include national organisations within the EU such as the German Startup Association or the French Tech Mission, or EU wide organisations such as the European Startup Network.
A notable example is the collaborative effort of four leading European blockchain advocacy groups—the European Crypto Initiative, INATBA, Blockchain for Europe, and the European Blockchain Association—which released a manifesto in November 2023 advocating from decentralised technologies in government.
Advocacy and policy influence
Beyond campaign contributions, certain tech founders are also using their platforms to advocate for specific policies.
Founders like Daniel Ek of Spotify have been vocal about the need for ‘fairer’ regulations for tech companies operating in Europe. Ek’s efforts have focused on reforming EU policies to support innovation and creativity, particularly concerning open-source AI and fair competition in the digital market.
In August 2024, Ek, alongside Meta CEO Mark Zuckerberg, expressed concerns over Europe’s regulatory approach to AI. They argued that complex and inconsistent regulations could hinder innovation and cause Europe to fall behind in the global tech landscape. They emphasised the importance of open-source AI in leveling the playing field and driving progress.
Ek has also been vocal about the need for ‘fair’ competition in the digital market. Spotify filed a complaint against Apple in 2019 with the European Commission, accusing Apple of anti-competitive behaviour that stifles innovation. Ek highlighted the importance of keeping fair competition at the top of the Commission’s agenda, given the amount of developers and consumers affected by gatekeeper platforms.
The Musk factor
In a more direct and incendiary way, Elon Musk’s use of X has become a key point of contention in the EU.
Musk’s interference in national debates, including sensitive topics like Ukraine and global security, has sparked criticism from European leaders. Without naming him directly, French President Emmanuel Macron stated, “Ten years ago, if someone had told us that the owner of one of the biggest social networks in the world would support a new Reactionary International and intervene directly in elections, including in Germany, who would have imagined it.”
Spanish Prime Minister Pedro Sánchez echoed this sentiment, claiming that Musk is “openly attacking our institutions, inciting hatred, and openly calling for support for the heirs of Nazism in Germany in the next elections.”
Sánchez’s remarks follow Musk’s public endorsement of Alice Weidel, the co-president of Germany’s far-right Alternative for Germany (AfD) party, whose interview Musk livestream on X last Thursday.
Musk has also made inflammatory statements, such as calling German Chancellor Olaf Scholz “an incompetent fool” after the attack on the Magdeburg Christmas market and accusing British Prime Minister Keir Starmer of negligence in handling cases of sexual exploitation during his time as a prosecutor. Berlin condemned these statements as “erratic,” and London denounced “those who spread lies and misinformation.”
According to reports from The Guardian, the EU Commission has been urged by several of its MEPs to act on Musk’s perceived interference in democratic processes, especially when considering the weight Musk’s statements carry in public opinion and policy discussions.
German MEP Damian Boeselager called for swift action under the DSA, highlighting the risks of Musk amplifying narratives or favouring political entities through X’s algorithms.
A spokesperson for the Commission outlined that “The Commission services, together with the German Digital Services Coordinator and with very large online platforms including X – will host a roundtable on 24 January to discuss risks ahead of the elections.”
This raises broader concerns about the unchecked power of tech founders and companies in shaping political discourse and influencing democratic outcomes.
The legacy of the Technocrats
The growing involvement of tech founders and companies in EU politics has not been without controversy. Critics argue that their influence risks creating a technocratic dynamic, where wealth translates into disproportionate political power—raising concerns about the balance between democratic principles and technological advancement.
The increasing role of tech founders, from Daniel Ek and Mark Zuckerberg’s push for open-source innovation to Elon Musk’s use of X for political influence, highlights the evolving relationship between tech and governance in the EU.
While policymakers and regulators in Europe face the challenge of managing this influence while safeguarding democratic integrity, only time will tell what the legacy of the Technocrats will be.
Read the orginal article: https://www.eu-startups.com/2025/01/how-global-technology-leaders-meddle-with-eu-policy/
