5 Ways Trump's Second Presidency Could Influence Your Tech Habits
Elon Musk could emerge as a big winner.
By Sukhbir Cheema — 08 Nov 2024, 10:59 AM
Donald Trump is set to make his return to the White House. What does this mean to the tech industry and most importantly, you, the consumer?
Silicon Valley might brace for a new playbook with Trump and Elon Musk in a pivotal position.
With promises to undo several Biden-era initiatives and a policy lineup that could dramatically alter artificial intelligence (AI), antitrust, and semiconductor policies, tech leaders may see an echo of Trump’s earlier, more volatile relationship with the Valley.
Here's how things could change.
1. Expect more AI-led misinformation, disinformation, fraud, and scams under Trump 2.0
Trump's AI strategy is all about prioritising free speech over strict safety rules.
Outgoing President Joe Biden's AI policies set up safety standards, encouraged research, and established an agency to monitor AI developments. But Trump plans to ditch these guidelines, calling them roadblocks to innovation, and is emphasising "AI rooted in free speech" — an idea that resonates with Republicans concerned about censorship in AI.
With tech-savvy JD Vance as vice president-elect, we could see a more hands-off approach towards Silicon Valley, promoting open-source AI to reduce bias and give smaller players a better shot.
For users, this shift means they could see fewer restrictions in AI-powered tools — possibly opening up access to more diverse or unfiltered content. However, it also means fewer protections around misinformation, algorithm bias, and safety risks.
2. There might be better integration across tech platforms but fewer choices and higher prices
Biden took a tough stance on Big Tech, pushing for stricter rules to curb their power. But Trump is likely to loosen the reins on mergers, especially with high-profile Republicans in charge of overseeing these deals.
While Trump would probably still pursue some antitrust cases against giants like Amazon, Meta, and Google, his administration is expected to do so at a slower pace and with fewer restrictions on big mergers.
For users, this shift could mean seeing more tech giants combining forces, potentially leading to fewer choices in apps and services. While there may be benefits from these partnerships, like better integration across platforms, it could also mean higher prices or fewer alternatives as competition shrinks.
3. Trump might go easy on ByteDance in his second term — expect newer and better features on TikTok
Back in his first term, Trump labelled TikTok a national security risk and signed an order demanding that ByteDance, TikTok's parent company, sell its US operations. But now, things have changed. Trump sees TikTok as a real competitor to Meta — which might not be a coincidence, considering that Meta’s platforms, Facebook and Instagram, banned him in 2021.
With fewer Americans in favour of banning TikTok (just 32% support it), Trump's new stance lines up with the shifting mood. Instead of trying to force a sale, he's showing support for TikTok as a market player to keep Meta in check.
For users, this likely means TikTok isn't going anywhere anytime soon. Under a second Trump term, TikTok could face less pressure, allowing fans to continue enjoying their videos and creators to grow their followings without interruption. This rivalry with Meta might even encourage TikTok to roll out more features or improvements to keep pace, benefiting users with new tools and a more competitive social media landscape.
4. Trump's return could lead to higher costs for electronics and fewer options for the newest devices
Under Trump 2.0, Taiwan's semiconductor industry could struggle. Biden's Chips Act poured billions into boosting US chip manufacturing to keep up with China's tech race.
Trump's approach? Tariffs. Trump's stance is that placing taxes on foreign chipmakers will do more to revive American manufacturing than pouring in government money. This approach is raising eyebrows in the tech world, where big companies rely on seamless supply chains and fear higher costs and potential slowdowns.
Trump's position on Taiwan adds fuel to the fire. He's called out Taiwan, saying they "stole" chip manufacturing from the US and need to invest more in their own security. With Taiwan responsible for 90% of the world’s advanced chips, any changes in policy or conflict over Taiwan could disrupt the global tech landscape.
For Malaysian users, Trump's chip policy could mean pricier tech and slower access to the latest gadgets. If tariffs and tensions lead to shortages or price hikes, consumers in Malaysia might feel it through higher costs for electronics and potentially fewer options for the newest devices.
Malaysia's tech sector could also feel the pinch, especially if disruptions in Taiwan impact the broader supply chain, given Malaysia's significant role in global electronics manufacturing.
5. Billionaire Elon Musk could influence how you use tech under Trump
Musk backed Trump heavily, spending over USD130 million (RM571 million) supporting pro-Trump initiatives and lending his social media platform, X, to amplify Trump's messaging.
This proximity to the Oval Office could position Musk to shape policy that benefits Tesla, SpaceX, and perhaps X (formerly Twitter) itself. His influence might leave competitors scrambling, particularly in electric vehicles (EVs) and space ventures where Musk’s businesses dominate.
In the social media space, Musk’s ownership of X puts him in a unique position to amplify conservative messaging, aligning with Trump's aims to counter perceived censorship on other platforms.
We may see Musk and Trump tag-teaming on content regulation, especially around free speech protections in tech, which could spell relaxed oversight on misinformation controls.
As Silicon Valley gears up for Trump’s second term, it's clear his approach will shake up policies impacting the biggest names in tech
With Musk at his side and a Congress partially on board, expect 2025 to bring a cascade of regulatory rewrites, ambitious funding shifts, and plenty of recalibrated alliances within the Valley.
Silicon Valley, buckle up: it’s going to be an intense four years.
