In abstract
The tech big spent $10.7 million lobbying the Legislature and governor from July via September throughout a media invoice struggle. It additionally showered elected officers with $107,500 in marketing campaign money on someday in September.
Google’s funds to affect state authorities surged to nearly $11 million from July via September, practically 90 occasions greater than the identical interval final yr, making it the highest-spending lobbyist employer in California within the third quarter.
Its lobbying blitz got here because the tech big engaged in a fierce battle on the state Capitol throughout the ultimate months of the legislative session over whether or not it must pay information shops for publishing their content material.
Google’s lobbying bills by no means beforehand topped $1.3 million in a single quarter, in response to state dataand are usually far much less. Throughout the first two quarters of 2024, Google spent on common of about $261,000 on lobbying — 41 occasions lower than its $10.7 million bombardment this summer time.
The corporate didn’t reply to questions on its lobbying, which final quarter was forward of extra typical titans of affect in Sacramento, together with the Western States Petroleum Affiliation, the California Enterprise Roundtable and the California Hospital Affiliation.
Throughout that interval, which included the top of the legislative session in August and the governor’s invoice signing interval in September, Google reached the conclusion of a contentious two-year battle over journalism funding.
The search behemoth might have been on the hook for tens of tens of millions of {dollars} or extra yearly underneath Meeting Invoice 886a proposal to require main tech platforms similar to Google to both pay a charge or negotiate with California information shops for utilizing their work. Launched by Assemblymember Buffy Wicksan Oakland Democrat, the measure handed the Meeting final yr earlier than Wicks shelved it to barter instantly with the trade.
As a substitute, in August, she introduced a deal for Google to supply $55 million over the following 5 years for a brand new fund for native newsrooms and $70 million for a synthetic intelligence accelerator. Beneath the deal, the state may even kick in $70 million over 5 years for the newsroom fund, whereas Google will proceed $10 million in current annual grants that the corporate had threatened to drag if the invoice handed.
“That agreement was an escape clause for Google,” stated state Sen. Steve Glazeran Orinda Democrat who was pursuing one other proposalaccredited by the Senate in June, that he estimates would have raised $500 million a yr for California information shops by charging main tech platforms a mitigation charge.
Google needed to ramp up its lobbying this summer time to offset renewed momentum for the journalism funding payments and safe a cope with extra favorable phrases, stated Glazer, who didn’t assist the ultimate settlement. “Their spending was a reflection of the cheaper alternative.”
Wicks, who didn’t reply to an interview request, has beforehand known as the deal the most effective of what was potential.
The tens of millions of {dollars} spent to push Google’s viewpoint was largely funneled via two different organizations, in response to its lobbying disclosure report: The tech big paid $7 million to the Laptop and Communications Trade Affiliation and $2.75 million to the California Taxpayers Affiliation throughout the third quarter. The teams ran ads on tv and social media opposing the Wicks and Glazer payments.
Each organizations have beforehand lobbied state officers, however the summer time funds from Google resulted in budgets lots of of occasions higher than within the spring. Their spending within the third quarter was directed nearly completely to hiring Washington, D.C.-based promoting corporations, in response to their disclosure experiences.
Google’s report lobbying funds final quarter far exceeded different main tech corporations that may have been compelled to pay up underneath the Wicks and Glazer journalism funding proposals.
Amazon spent greater than $918,000 throughout the third quarter, its largest lobbying quarter on report and triple the quantity in the identical interval final yr. Meta, which threatened to take away information posts from its Fb and Instagram platforms if it needed to pay for them, spent practically $366,000.
Google didn’t simply pour cash into persuading lawmakers. It additionally contributed a small fortune to the campaigns of 40 elected officers on a single day, marketing campaign finance disclosures present. On Sept. 13, two weeks after the Legislature adjourned, the corporate lower checks totaling $107,500 to 39 legislators, together with Wicks, plus Lt. Gov. Eleni Kounalakis — greater than a 3rd of the $301,800 that Google contributed to state campaigns since final January.
Google’s monetary disclosure for the third quarter mentions lobbying the Legislature on greater than 30 payments, as effectively the governor’s workplace and several other state companies, with out offering a breakdown of its spending.
One other precedence this summer time was Senate Invoice 1047which might have required testing large-scale AI fashions to find out whether or not they hurt society. Large tech gamers, together with Google, vocally opposed the regulation and it was finally vetoed by Gov. Gavin Newsom in September.
However Sen. Scott Wienerthe San Francisco Democrat who carried the measure, stated Google’s lobbying gave the impression to be extra centered on the journalism funding laws. Whereas the corporate was a number one voice towards his AI testing invoice, he stated, its efforts there appeared to be directed exterior of the Capitol.
“It was not a tidal wave of activity,” Wiener stated. “It was much more online and on social media.”
