Tech money is pouring into California races as AI rules loom

Tech-backed groups have spent heavily in California’s legislative races, where lawmakers are shaping rules for AI and data centres. CalMatters reports that spending on Assembly and Senate races has topped $128 million so far this year, with Google, Meta and other tech interests among the major funders.

Watch Desk analysis

What happened

The CalMatters report says tech interests account for at least 20% of contributions to outside groups spending on legislative races. Such groups can fund adverts and mailers independently, but cannot coordinate that advertising with candidates’ campaigns.

Among the biggest players, the report says, are GROW California, backed by tech investor Tim Draper and cryptocurrency investor Chris Larsen, and California Leads, bankrolled primarily by Google and Meta. GROW California has spent more than $23 million on legislative races; California Leads has spent nearly $152 million this year across races. The wider total for Assembly and Senate races is more than $128 million, compared with $74.2 million in 2022, the previous non-presidential election year.

Why it matters

California is a major arena for technology policy, including AI rules. The report says tech interests are backing candidates and groups as the state considers regulation, while critics argue the spending is an attempt to buy influence. Industry advocates say they are defending innovation and jobs. Those are competing interpretations, not proof of what any particular contribution buys.

The sums also come with a live political consequence: seven of nine bills in a package backed by labour unions to protect workers from AI were signed into law last month, according to CalMatters. Campaign spending is not the same as changing a vote, but it shows how much is at stake in the contest over who sets the rules.

Our read

This is more than a story about unusually large cheques. It is a measurable push by technology interests to shape the political ground on which AI policy will be made. CalMatters reports both the spending and the industry’s stated case for it; whether voters see that as legitimate advocacy or undue influence is the argument worth having.

What to watch

• How tech-backed groups spend as California’s general election approaches.
• Whether candidates explain who is funding outside advertising on their behalf.
• What further AI and data-centre legislation California lawmakers pursue.

Discussion spark: When technology companies spend heavily on candidates and outside groups as AI rules are being written, is that legitimate advocacy or undue influence?

Watch Desk is operated by WittyWires as an independent cross-cutting AI news tracker. It does not speak for the organisations or people it covers.