UPDATED 19:51 EDT / JANUARY 23 2019

POLICY

Google led record-breaking tech industry lobbying blitz in 2018

Five of the biggest technology giants in the U.S. spent a combined $64.3 million on lobbying government officials in 2018, in a year that was notable for numerous congressional hearings, accusations of Russian interference in elections and the increased pressure heaped on the companies over issues such as privacy.

Alphabet Inc.’s Google LLC was the biggest spender, shelling out $21.2 million in 2018, according to a federal lobbying disclosure report filed this week. That’s a new record for Google, which had spent $18 million in 2017.

The filing revealed that some of the issues Google threw money at included cloud computing, cybersecurity, data security, privacy, online advertising regulations, global trade, immigration and “policies on online controversial content.”

Next up was Amazon.com Inc., which spent a hefty $14.2 million in 2018, up from the $12.8 million it spent in the previous year. The cloud computing and retail giant used its cash to try to influence lawmakers on issues including cloud computing, data and “internet of things” security and also “postal reform,” the report said. The issues targeted, in line with Amazon’s core products and services,  also addressed last year’s claims by U.S. President Donald Trump that the online retailer is somehow swindling the U.S. Postal Service.

Facebook Inc. was another big spender, funneling $12.6 million to the U.S. capital to lobby lawmakers on issues such as cybersecurity, encryption and online advertising transparency. Facebook’s increased spending, up from $11.5 million it spent in 2017, isn’t much of a surprise considering it had more than its fair share of scandals last year, the most notable one involving Cambridge Analytica and allegations of enabling election meddling.

Apple Inc. and Microsoft Corp. were a little more subdued in 2018, spending $6.6 million and $9.5 million, respectively, both less than the year before.

The companies all had good reason to exert their influence in Washington, having faced a growing backlash amid repeated privacy breaches and disclosures that Russia used social media platforms and “fake news” to try to influence the 2016 U.S. presidential election.

The spending also suggests the five companies are growing increasingly worried about the ongoing scrutiny from Washington over issues such as privacy and data collection. And that scrutiny is unlikely to let up soon. Democrat senators recently introduced a new bill that would hold tech firms responsible for protecting private data in the same way as more heavily regulated industries such as banking and healthcare.

With such close scrutiny over their businesses, it’s no surprise that the ‘Big Five’ are upping their game when it comes to lobbying, said Holger Mueller, principal analyst and vice president of Constellation Research Inc.

“With the equivalent of the European GDPR privacy regulation creating cloudy skies over Capitol Hill in Washington D.C., fighting fake news, election interfering and more are entering product roadmaps,” Mueller said. “Last year has probably seen a record number of high tech executives testifying in front of Congress. All of that prepping and fallout is money for the lobbying industry.”

Photo: Fotocitizen/Pixabay

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