Black Founders Reconsider Relationship with Silicon Valley Investors Supporting Trump
Silicon Valley has long been known for its wealthy and influential investors, who hold considerable power in the tech industry. However, the recent revelation that some of these investors publicly support Donald Trump’s campaign has caused a rift among Black founders. According to seven Black founders and investors interviewed by TechCrunch, this support has led some Black founders to question whether they should have these investors on their cap table.
While the political leanings of some venture capitalists, such as Sequoia’s Doug Leone and Khosla Ventures’ Keith Rabois, may not come as a surprise, the public support of Marc Andreessen and Ben Horowitz, founders of Andreessen Horowitz, has shocked many in the Valley. Horowitz, in particular, was seen as an ally to the Black community, making his endorsement of Trump all the more painful.
These Black founders and investors feel betrayed because Trump’s policies are seen as harmful to people of color. Trump has advocated for anti-immigrant policies, threatened to remove federal funding from schools addressing race and racism, and shown no interest in addressing climate change—a pressing issue that disproportionately affects Black and brown communities.
Horowitz’s support of Trump is particularly jarring due to his previous reputation as an advocate for the Black community. He and his wife, who is Black, have been vocal about their support and involvement in the community. Horowitz has written a book with a foreword from African American historian Henry Louis Gates Jr. and has spoken about his love for hip-hop and what he learned from the Haitian revolution. However, his decision to support Trump based on crypto regulation and taxes has left many feeling that personal interest and profit outweighed standing against oppression.
The support for Trump from investors like Andreessen Horowitz has caused Black founders to reevaluate what they thought they knew about the opportunities available to them. They are now questioning the authenticity of investors’ commitment to social justice and equal rights, realizing that proximity to Black figures does not necessarily equate to true allyship.
Even Arlan Hamilton, founder of Backstage Capital, which received early investment from Andreessen Horowitz, expressed surprise and disappointment at the firm’s public support for Trump. She believes that these investors should have funded anonymously if they held such views.
The Black founders in the tech community now fear a more divisive society, where tech billionaires prioritize capital gains over democracy. They see a future where increased divisive rhetoric further marginalizes communities of color. While some Black founders are not surprised by the self-interest displayed by these investors, they are now considering alternative options and being more cautious about who they network with.
Nevertheless, Black founders understand the delicate balance they must strike. They want to be conscious of the investors they associate with while also avoiding alienating potential supporters. They recognize that politics and investing are often unemotional, driven by what will bring the best outcomes for each party involved.
In conclusion, the public support of Donald Trump by influential Silicon Valley investors has caused a significant rift within the Black tech community. Black founders are reevaluating their relationships with these investors and grappling with the implications of aligning themselves with individuals who support policies that could harm their communities. The debate surrounding politics, investing, and allyship will likely continue as the tech industry strives for greater diversity and inclusion.
