Waterloo Region Record

Google was top spender on lobbying in U.S. in 2017

- Hamza Shaban

For the first time, Google spent more than any other company in 2017 to influence Washington, highlighti­ng both the sprawling reach of the thriving tech industry and the rising concern by regulators and lawmakers of its ascendance.

All told, the search giant broke its own record by allocating more than $18 million to lobby Congress, federal agencies and the White House on issues such as immigratio­n, tax reform, and antitrust. It also spent money to weigh in on an effort by lawmakers and regulators to regulate online advertisin­g, which is at the core of Google’s business, according to disclosure­s filed to the Senate Office of Public Records.

The non-partisan Center for Responsive Politics said Tuesday no technology firm had ever claimed the top spot since it began tracking lobbying expenditur­es by individual companies in 1998.

Google was not the only tech giant to ramp up spending in the nation’s capital. Facebook, Amazon and Apple all broke their own company records by pouring money into lobbying operations. Facebook increased spending by 32 per cent in 2017 over the previous year, while Apple increased its expenditur­es by 51 per cent. Combined, the four companies devoted about $50 million toward lobbying efforts during U.S. President Donald Trump’s first year in office.

Last year was pivotal for Silicon Valley and the broader world of tech. Industry executives publicly clashed with the president on hot-button issues such as immigratio­n and climate change. Social media companies were hammered by lawmakers for allowing Russian operatives to spread divisive content on their platforms before and after the 2016 presidenti­al election. And the potential for tech companies to abuse their market power is drawing scrutiny from regulators.

Despite soaring profits and stock prices, the industry also faced public backlash, as issues such as sexual harassment, the spread of hate speech and political bias by tech companies gained greater currency in the national debate.

Corporate lobbying typically has been dominated by telecom, energy or defence firms. But tech companies have been quickly rising within the ranks of big Washington spenders for years.

Google, long the industry leader on federal lobbying, boosted its spending by nearly 17 per cent over 2016. The company’s Washington operation paid close attention to proposed legislatio­n, introduced in October, that would require web companies to create a public database of political ads that run on their platforms, including details of the purchaser’s contract, the intended audience, price and the number of views the ads generate. The lawmakers behind the bill say the rules will help prevent Russia and other foreign powers from exploiting popular online platforms. Both Facebook and Google have told federal election officials they are open to greater oversight over the lucrative business of online political advertisin­g.

Facebook spent more than $11 million on federal lobbying in ’17. In recent weeks, the social media giant has been wrestling with the implicatio­ns of its global influence, even admitting in a blog post this week that social media can sometimes harm democracy.

In addition to lobbying the federal government on online advertisin­g, Facebook also focused on Deferred Action for Childhood Arrivals, net neutrality and internatio­nal tax policy.

Amazon, considerin­g three locations in the Washington region to build its second headquarte­rs, spent nearly $13 million in lobbying last year, a 16 per cent increase from 2016.

Apple spent just over $7 million, an increase of 51 per cent from ’16.

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