On June 24, 2024, Joe Lonsdale, founding partner of 8VC and co-founder of Palantir, appeared on CNBC’s “Squawk Box” to share his views on various pressing issues.
Palantir is a technology company that specializes in creating software to analyze large sets of data for various organizations. Their platforms, such as Palantir Foundry and Palantir Gotham, are used by businesses, governments, and other entities to integrate, manage, and derive insights from their data.
These tools help users make informed decisions by uncovering patterns, connections, and trends within their data. Palantir’s software is often employed in areas like national security, healthcare, finance, and logistics, where handling and interpreting complex data is crucial for operational efficiency and strategic planning.
Apple’s Monopoly Power and EU Regulations
Lonsdale began by addressing the European Union’s recent accusations against Apple. Lonsdale stated that European regulators, whom he generally considers to be quite extreme, might have a valid point in this instance. He pointed out that Apple behaves like a bully, frequently altering its rules and exerting excessive power over the market. Lonsdale emphasized that although he typically sides with innovation and technology, he cannot support a company that monopolizes and manipulates the market to its advantage.
Lonsdale shared his personal experiences with Apple’s arbitrary rule changes. He explained that during the COVID-19 pandemic, he and other developers attempted to create applications on Apple’s platform, only to face constant changes in requirements. He mentioned that Apple’s unpredictable standards created significant challenges and ultimately blocked their efforts despite meeting the evolving demands. According to Lonsdale, such practices highlight Apple’s excessive control and the necessity for consistent regulatory standards for entities wielding such power.
U.S. Business Challenges in Europe
Discussing the broader implications for U.S. businesses operating in Europe, Lonsdale expressed his concerns over European regulators imposing hefty fines on companies like Apple. He criticized the EU’s ability to claim up to 10% of global revenue from companies not adhering to their standards, labeling this approach as excessive and problematic for business operations.
The 2024 Election and Silicon Valley’s Political Climate
The conversation then shifted to the political landscape, particularly the 2024 presidential election. Lonsdale commented on the changing sentiments within Silicon Valley, noting an increasing frustration with current policies. He highlighted that many in the tech industry, who are traditionally not vocal about their political leanings, are now quietly supporting Trump due to dissatisfaction with the status quo.
Lonsdale explained that this support is not necessarily for Trump as an individual but as a reaction against the perceived failures and disruptions caused by current policies. He mentioned the bipartisan Chips Act as an example, which failed to progress due to numerous divisive DEI (Diversity, Equity, and Inclusion) mandates. Lonsdale argued that these regulatory and political obstacles are stifling innovation and progress in the United States.
The Impact of Regulatory and Political Actions
Lonsdale further elaborated on the hostile environment created by regulatory bodies like the FTC and various agencies, which he believes are targeting tech companies and stalling development projects. He mentioned the significant challenges faced by innovators due to these regulatory pressures, which prevent the country from achieving its full potential.
Regarding the justice system and its influence on politics, Lonsdale expressed concerns about the polarized nature of the rule of law in the United States. He argued that while there is a segment of judges who adhere to originalist interpretations of the Constitution, the real threat comes from activist judges with agendas. This legal activism, according to Lonsdale, undermines the rule of law and disrupts the political landscape.
Featured Image via Pixabay
