Senator Elizabeth Warren has launched a Twitter tirade to blast Government officials who are seeking regulatory advice from those who will be subject to the stricter regulation.

Jamie Davies

October 1, 2019

4 Min Read
Presidential hopeful criticizes lack of tech knowledge in US Government

Senator Elizabeth Warren has launched a Twitter tirade to blast Government officials who are seeking regulatory advice from those who will be subject to the stricter regulation.

Although understanding the consequences of new regulation from those who would be deemed most impacted in a sensible way to operate, it does appear Warren believes there is too much reliance on outside sources.

Critics of government agencies and regulatory officials will be quick to raise a glass. For some, the competency of bureaucrats is woefully lacking when it comes to understanding the nuances of the technology industry. This is perhaps understandable, the segment moves at a remarkable pace after all, however it does create the difficult regulatory landscape where companies are free to duck and dive through the grey areas of inaction, inadequacy or a lack of progress.

“I’ve got a plan to end lobbying as we know it — but strengthening Congress’ independence requires us to do more,” Warren said on Twitter. “We must invest in resources to allow members of Congress to make informed decisions without relying on self-interested outside sources.

“My plan revives and modernizes the Office of Technology Assessment, shores up congressional support agencies, and transitions congressional staff to competitive salaries — so we can have competent public policy that actually holds big corporations accountable.”

Warren has hit the nail on the head when it comes to understanding why the chasm between the technology industry and the rules governing it is so wide; those who understand how the industry works, go work for the private sector. This is down to the salaries which are being paid, and also the work itself. Do the best and brightest in the work want to work drafting rules and red-tape, or would they rather work on creating cutting edge technologies and services?

Pumping more cash into these agencies and organizations will not solve the problem of a skills shortage, but it will address one of the difficulties.

To be fair to Warren, she is addressing a problem which plagues politics; the influence of interest groups. This is not an issue restricted to Washington, though as the US is home to some of the worlds’ most influential technology companies, it is perhaps more apparent in the country than anywhere else.

With the issue of net neutrality, the telcos threw cash at the lobbyists. And when it comes to the break-up of Big Tech, Silicon Valley began signing cheques which would make eyes water. Over the course of 2018, Google spent $21.7 million on lobbyists, AT&T spend $18.5 million, Amazon $14.4 million, Facebook $12.6 million and Comcast $15.6 million. These figures are only lobbyist spend in the US, and it is also worth bearing in mind associations would have their own spend as well.

The lobby industry is a powerful one in the US, this is not something which will change unless there is a significant upheaval, though politicians and officials could be less susceptible to it. This is where Warren is making a very valid point.

Industry should be consulted on up-coming regulatory evolution, this is only reasonable as regulation is not supposed to destroy business models, however it is important those asking the questions should have a comprehensive understanding. It will (theoretically) stop officials being misled, over- or under-compensating and aids future proofed regulation.

This will be a monumental challenge for Warren and her team, though it is a lot more achievable than previous claims make by the Presidential hopeful.

In announcing her plans to charge towards the White House, Warren also declared war on Silicon Valley. In an age where politicians are making big promises, Warren raised the stakes by suggesting the break-up of Big Tech.

Dissecting these companies is a daunting task, but it is also one which a few might question the logic of. Yes, the internet giants need to be held more accountable through regulation and greater scrutiny on acquisitions which could lead to a less competitive marketplace, however these are the companies which are driving the US economic dominance on the world stage. Weakening the positions of these companies could very well undermine the pursuit of success and open the door for competitors in other nations to mount a challenge.

However, with the announcement made via Twitter, the US Government would certainly be in a better position if more ably-minded, tech enthusiasts were on the payroll. Many criticise the sluggish nature and short-sightedness of governments, irrelevant to their nationality or location, and Warren is proposing a model to reassert the capability of the Government.

Another question which you have to ask is where the money to fund these salaries is going to come from? Either some departments are deprived, taxes are further straining, monies are borrowed, or industry is asked to contribute. The latter is the most likely, though this would give another reason for industry to line the pockets of the lobbyists.

In truth, this suggestion is a nightmare for the residents of Silicon Valley. These companies have benefitted unimaginably from the regulatory chasm, seeking profits through the introduction of new business models which traditional industry could not dream of.

Ironically, the suggestion of tackling lobbyists will probably make the whisperers and nudgers even richer.

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