Tech Billionaires Pour $120M into Fighting California’s Wealth Tax
Tech billionaires have poured over $120 million into fighting California’s Proposition 40, a one-time 5% wealth tax on billionaires heading to the November ballot, against $31 million raised by union backers.
Key Takeaways:
- ** Sergey Brin** alone has spent $82 million against the tax, outgunning the union backing it by roughly four to one.
- Opponents have heavily funded their efforts, with figures totaling over $120 million.
- Proposition 40 would impose a one-time 5% tax on residents and trusts worth over $1 billion.
- Proponents project $100 billion in revenue from the tax.
Major Donors:
- Sergey Brin: $82 million to "Building a Better California."
- John Doerr: $10 million.
- Michael Moritz: $7.5 million.
- Patrick Collison: $7 million.
- Eric Schmidt: Over $3 million.
- Chris Larsen: $7.5 million (plus $5 million matched by Ripple).
Other notable contributors include Stewart Resnick ($2.5 million), Tony Xu ($2 million), Max Levchin ($1 million), and Daniel Tierny ($500,000). Ron Conway gave $100,000 to another group after failing to broker a deal.
AI Subtext:
Peter Thiel, whose Founders Fund recently raised $6 billion for AI bets, has also contributed $3 million to the California Business Roundtable’s political arm. He is reportedly spending more time in Argentina. The fight against the tax is intertwined with the AI boom that has significantly swollen the fortunes now under threat.