As Big Tech cosies up to Trump, what will it mean for brands ...
Tech’s billionaire fraternity has been cosying up to Donald Trump in the hopes that this time around, the “America-first” president-elect will treat them with less disdain than his first time at the helm. They hope that his stated “pro-business” stance will decrease scrutiny on their practices, amid a number of ongoing legal battles that had previously aimed to limit their powers.
Meta CEO Mark Zuckerberg's Response
Meta CEO Mark Zuckerberg said Trump’s response to being shot at was “badass”; this week, he congratulated his “decisive victory” on his X competitor, Threads. (Trump has previously called Facebook the “enemy of the people”, and threatened to put him in prison if he steered his social media platforms against him.)
Amazon Executive Chairman Jeff Bezos
Amazon executive chairman Jeff Bezos, after being called “Jeff Bozo” by the former president, wrote on Elon Musk-owned X, “Big congratulations to our 45th and now 47th President on an extraordinary political comeback and decisive victory.” He also killed an endorsement for Trump rival Harris at the paper that he owns, the Washington Post.
Musk's Support for Trump
Musk himself has rallied and canvassed for Trump, as analysts speculate the billionaire will play a key role in the Trump administration. The CEOs of Google, OpenAI, Apple and Microsoft all also chimed in. They all have something to gain — money and power — from a more favourable, hands-off administration.
Impact on Fashion, Beauty, and Retail
For fashion, beauty and retail, this could have mixed results: Amazon, Google and Meta are less likely to be disrupted over concerns of monopolistic behaviour; TikTok might stay in the game; and cryptocurrencies and artificial intelligence businesses might enjoy tailwinds.
But this also means that risk-averse brands could have to perform their own due diligence in terms of consumer protections in the absence of governmental oversight. Instead of trusting tech providers to proactively protect consumers, especially in terms of topics such as data privacy, they’ll have to maintain their own guardrails.
Implications of Trump Administration
The focus of the Trump campaign was “America first” and improving the financial economy of the US, so these big tech companies are now going to support administrations that lead to more freedom in terms of scaling their businesses. The bigger tech companies are focused on scaling and growing. This could lead to fewer consumer protections in terms of data and data privacy, and potentially more reliance on AI. More acquisitions by big tech companies could be expected, as they may use data to benefit their own pockets.
Antitrust and Legal Battles
To be clear, Trump often changes his mind. Some statements already contradict his first term in office, in areas such as AI and antitrust. As fashion braces for impact, experts and brands can parse a few predictions.
There are a number of ongoing cases against Google, Meta and Amazon from the US Department of Justice and the Federal Trade Commission. The government’s lawsuits accuse the tech giants of anti-competitive behaviour. Amazon’s case, which alleges it favoured its own products over marketplace sellers, is set to go to trial in 2026. Google, already determined to be a monopoly by the DOJ, could be facing a breakup after allegations that it tried to control the online advertising market and its role in online search. Meta is still fighting a 2020 FTC lawsuit that alleges its acquisitions of Instagram in 2012 and Whatsapp were monopolistic.
Amazon has warned that it would ultimately harm consumers if it doesn’t get a favourable outcome, while a potential Google breakup could bifurcate the online advertising space. Google has also argued that the DOJ’s proposals could create security risks for consumers, hold back American innovation and would “break” Chrome and Android. A Meta breakup could destabilise any business integrations across Facebook, Instagram and Whatsapp, and could complicate Zuckerberg’s big plan to integrate Meta AI throughout the ecosystem.
