Amazon Plans to Donate $1 Million to President-Elect Donald Trump's Inauguration

Dec 16, 2024 By Noah Bell

In the grand theater of American politics, where fortunes and friendships can turn on a dime, a new act unfolds with Amazon's announcement to contribute $1 million towards the inauguration of President-elect Donald Trump.

The company's founder, Jeff Bezos, is expected to engage in a personal meeting with Trump, part of a broader effort by tech industry leaders to establish stronger ties with the incoming administration. This financial support, split between a cash donation and an in-kind contribution through live streaming the inauguration on Amazon Video, marks a significant thaw in relations after years of public sparring.

The Wall Street Journal first reported on Amazon's planned donation, which comes on the heels of a private meeting between Meta's CEO, Mark Zuckerberg, and Trump at Mar-a-Lago, and Meta's own $1 million donation to the inaugural fund. This shift in stance is a stark departure from Meta's actions nearly four years ago, when it banned Trump from its platforms following the January 6, 2021, Capitol insurrection.

Trump, who has had a contentious history with both Bezos and Zuckerberg, has recently extended olive branches to these technology giants. He has boasted about his private discussions with them during interviews and public appearances, commending companies that he had previously accused of contributing to his electoral defeat in 2020. This new narrative of cooperation and praise is a far cry from the days when Trump referred to Facebook as an "enemy of the people," causing Meta's stock to plummet.

Bezos, for his part, has had a long-standing feud with Trump, particularly over his ownership of The Washington Post and the newspaper's coverage of Trump's presidency. In 2015, Trump tweeted, "If Amazon ever paid fair taxes, its stock would plummet, and it would collapse like a house of cards. The Washington Post scam is what's keeping it afloat!" The Post experienced turmoil in late October when Bezos withheld the newspaper's endorsement in the 2024 presidential election.

"Presidential endorsements have no impact on swaying elections," Bezos wrote in an opinion piece. "No undecided voters in Pennsylvania will say, 'I'm voting based on Newspaper A's endorsement.' None. What endorsements really do is create a perception of bias, a perception of lack of independence. Ending them is a principled decision, and it's the right one."

This decision had profound implications for the newspaper, leading to resignations from the Post's editorial board over the lack of endorsement for Vice President Kamala Harris, and thousands of readers canceling their subscriptions in protest. Staff also publicly voiced their disagreement, creating a rift within the newsroom and among the readership.

Trump has also met with executives from Blue Origin, a space exploration company founded by Bezos. In his op-ed, Bezos refuted allegations that he withheld the endorsement to gain favor with Trump, stating he had no prior knowledge of the meeting. This denial adds another layer to the complex relationship between the two figures, both titans in their respective fields.

The narrative of Trump's relationship with tech leaders is one of shifting alliances and political intrigue. It's a tale of public disputes and private meetings, of past grievances seemingly set aside in the face of potential influence over the technology policies of the incoming administration. The $1 million donation from Amazon, a company that once found itself at odds with Trump, is a significant gesture in this political theater.

As the tech world and the Trump administration move towards a new era of collaboration, the implications for policy and regulation remain to be seen. But one thing is clear: the tech industry is keen on playing a more significant role in shaping the future of the country under President-elect Trump's leadership. This financial support and the private meetings between tech executives and Trump suggest a new era of collaboration, where past disputes are overshadowed by the potential for mutual gain.

In this new chapter of American politics, the tech industry's influence is likely to be felt in the corridors of power. As the inauguration approaches, the contributions from Amazon and Meta, and the anticipated meetings between their CEOs and Trump, signal a new dawn for the relationship between Silicon Valley and the White House. It is a time of adaptation, of pragmatism, and of strategic realignment, as the tech world and the Trump administration navigate the changing landscape of power and influence in the digital age.

Sony hasn't been this popular since the Walkman era

By Daniel Scott/Dec 16, 2024

Sony, the 78-year-old conglomerate that revolutionized the Walkman and PlayStation, has seen its stock market value soar to levels not witnessed since the Clinton presidency and the imminent launch of the PlayStation 2. Over the past two and a half decades, Sony has faced significant challenges as a trailblazer in consumer electronics. Despite the profitability of the PlayStation franchise, the company has grappled with rising production costs and waning demand for other electronics, while also missing out on the mobile phone revolution. However, with the emergence of streaming services, Sony is pivoting from a traditional electronics manufacturer to a content and entertainment powerhouse. This strategic shift has paid off, as Sony's stock has recently achieved record highs not seen since March 2000, reflecting investor confidence in the company's ability to diversify its gaming portfolio and expand into entertainment. According to Damian Thong, a research equity analyst at Macquarie, "If you look back 30 years, Sony was primarily an electronics company, renowned for its hardware sales. Today, however, the majority of its profits stem from entertainment sectors, including gaming, music, and TV and film production." Sony Group, the third most valuable company in Japan by market capitalization, has managed to reinvent itself by innovating in gaming beyond traditional consoles and through strategic acquisitions to bolster its intellectual property (IP) portfolio. Joost van Dreunen, an adjunct assistant professor at NYU Stern who specializes in the video game industry, notes that Sony's acquisitions of Crunchyroll, an anime giant, in 2021 and Bungie, an American video game developer, for $3.6 billion in 2022, are part of this transformation. Beyond Sony Interactive Entertainment, the creator of the PlayStation, the Sony Group also encompasses Sony Pictures, known for producing the Spider-Man film series, and Sony Music, which includes Columbia Records. Sony is striving to create synergies across its subsidiaries to produce original entertainment content for consumers, as van Dreunen explains. This strategy was evident at the 75th Emmy Awards, where the TV series "The Last of Us" garnered eight primetime awards, marking the first time a TV show adapted from a video game received significant recognition at a Hollywood awards show. Sony initially published "The Last of Us" as a video game in 2013 before it was adapted into a TV series that premiered on HBO and Max in 2023. Lacking its own streaming platform, Sony is licensing its IP and original content to compete with streaming titans such as Netflix, Disney, and Amazon. Robert Lawson, the chief communications officer for Sony Group, stated that since acquiring EMI publishing in 2018, making Sony Music the world's largest music publisher, the company has invested approximately 1.5 trillion yen into content IP across various entertainment sectors. Lawson highlighted the company's focus on "new collaborations between Sony sister companies," with a particular emphasis on the anime genre. In the fiscal year ending in March, Sony's entertainment division, which includes music, films, and games, accounted for 60% of total revenue, doubling from 30% a decade prior. This strategic emphasis on entertainment represents a departure from Sony's origins as Tokyo Telecommunications Engineering Corporation, founded in 1946 by Akio Morita and Masaru Ibuka, which released Japan's first magnetic tape recorder in 1950 and later became Sony Corporation in 1958. Sony established its presence in the U.S. in the 1960s and over the next three decades became a household name in consumer electronics, producing iconic products such as the Trinitron color TV, the Walkman cassette player, and the world's first CD player. Sony's involvement with music dates back to the 1960s, with a joint venture with CBS that evolved into Sony Music Entertainment in 1991. However, it was the 1990s that marked a high point for Sony as it entered the gaming console market with the release of the PlayStation in 1994, disrupting the arcade and gaming industry. Since then, Sony has been a dominant force in video game consoles, with the PlayStation 5 outselling competitors like Microsoft's Xbox Series X and Nintendo's Switch, according to Ampere Analysis. Van Dreunen suggests that Sony is exploring new avenues in gaming beyond consoles, seeking new audiences and distribution methods. "We're currently in a softer period for gaming, which raises the stakes for companies to innovate and grow," he said. Thong notes that Sony has been successful as a profitable platform for third-party publishers to sell video games. Sony has diversified its gaming strategy, including the release of "Helldivers 2" across PlayStation 5 and PC, which sold over 12 million copies within three months of its release, according to Anna Kerr, a research manager for games at Ampere Analytics. In November, Sony reported a 69% increase in net quarterly profit, partly driven by its gaming segment. The company has experienced consistently strong financial quarters this year, fueled by the profitability of its games. Sony is also in discussions to acquire Kadokawa, a Japanese video game powerhouse known for producing the popular game "Elden Ring." Despite some setbacks, such as the underwhelming reception of the "Concord" video game and the latest Spider-Man film, these are seen as trial and error efforts and manageable costs for a company that has allocated 1.8 trillion yen ($11 billion) for acquisitions and stock buybacks through March 2027. At Sony's annual investor conference in May, Chief Executive Kenichiro Yoshida emphasized the company's embrace of a "creative entertainment vision." Sony's transition to an entertainment company was not guaranteed, with Thong acknowledging the company's "substantial pain" over the years. However, van Dreunen points out that Sony has seized opportunities to bring more of its IP to the big screen, as evidenced by the success of "The Last of Us" and the film adaptation of "Uncharted," a video game franchise first published by Sony in 2007. Sony also plans to adapt the "God of War" video game franchise, first published in 2005, into a film next year. While Sony remains in the electronics business, particularly with its image sensors used by companies like Apple and its high-end cameras, it has moved away from being a mass consumer electronics company. By 2025, Sony intends to spin off its online banking and insurance units, further focusing on its entertainment offerings. Sony's stock has risen almost 18% in the past month, outperforming entertainment giants like Disney and Netflix, and has been boosted by investor interest in the Nasdaq, which recently crossed the 20,000 mark for the first time.