So far the tech industry in the US has been quite hostile towards Donald Trump. When the PayPal founder Peter Thiel declared his open support to Donald Trump everybody pounced on him and wanted to declare him a pariah. There has been an all-out effort within the US tech industry to make sure that Trump didn’t become the president, but unfortunately for these people, he has become the President. That chapter is over. Now various financial analysts, economists and tech experts are trying to gauge how Donald Trump’s policies are going to impact the tech industry in the US in particular, and the world in general (because the US tech industry has a great impact on the global tech industry).
This TechCrunch report says that his ascent doesn’t bode well for the tech industry in the US.
There might not be a direct fallout of the lousy treatment meted out to him by the tech industry because when politicians assume important offices they are normally subdued, if he decides to follow through on his promises there will be broad policy changes that may negatively impact the tech industry in the US.
The tech industry in the US depends a lot on labour from other countries but Donald Trump is not very friendly towards the H-1B visa program that allows people from different countries to come to the US to work for the technology companies and then get a green card in order to remain in the US for an indefinite time. The benefit of the H-1B visa program is that these technology companies can quickly have access to the global talent pool rather than having to depend on locally available employees.
Donald Trump in his campaign insisted on giving American employees preference over foreign employees. Compared to foreign employees American employees are expensive and maybe there aren’t enough skilled employees, at least to meet the demands of the tech industry – which might be true for any country given the scale of technological boom the world is going through.
Another problem might be Donald Trump’s policy towards China. He wants to bring manufacturing back to the US to prop up growth rate within the country. Most of the tech companies like Apple heavily depend on the Chinese manufacturing companies. iPhones and iPads are assembled in China and so are many more gadgets. Companies depending on Chinese manufacturers are going to be adversely impacted if Donald Trump starts implementing disincentives for tech companies that import finished goods from China.
The renewable energy industry could also face a negative impact due to a few statements made during the campaign.
Donald Trump becoming the president of the US may or may not have negative impact on the tech industry because in politics outlooks change very fast. When you become the President, you’re not the president of a particular interest group, you become the president of the entire country. But what sort of impact he has on the US tech industry, only time will tell.