Excerpt from Yahoo Finance quoting DataTrek’s Nick Colas and Jessica Rabe:
…. “If you want to know which ‘Big Tech’ company is likely most exposed to regulation, look at how much they spend on lobbying for their perceived risk of legal action,” said Nicholas Colas, co-founder of DataTrek Research, in a recent note to clients. “Amazon and Facebook, for example, have spent the most on lobbying of all companies so far this year at $12.4 million and $12.3 million, respectively.”
Furthermore, Colas noted, the companies spent a record quarterly sum on lobbying in the third quarter of 2019 — and are on pace to top 2018 highs.
Colas’s co-founder Jessica Rabe dove deeper, noting that it’s remarkable that tech holds the top two spots, “even higher than a heavily scrutinized pharma industry or a deeply troubled plane manufacturer.” Northrup Grumman ($11.0 million), United Technologies ($10.5 million) and Boeing ($10.4 million) follow the tech giants. United Technologies made news in the early days of the Trump administration when the president attempted to prevent jobs from being outsourced to Mexico.
The fact that the tech companies are outspending Boeing, whose CEO Dennis Muilenburg testified in front of Congress this week, “reflects just how risky these companies perceive their regulatory environment,” wrote Rabe“….
Read the full article here on Yahoo Finance!