Just Who Was Rand Paul's Apology For?

Just Who Was Rand Paul's Apology For?

By Russ Choma on May 22, 2013 5:22 PM 

Yesterday, Sen. Rand Paul (R-Ky.) offered a blunt apology to Apple CEO Tim Cook, scolding his fellow senators for criticizing Cook and his company for using offshore havens to avoid billions in tax bills. 

"I frankly think the committee should apologize to Apple," Paul said at a hearing of the Senate Permanent Subcommittee on Investigations, which had just released a report finding Apple had avoided paying billions in taxes by setting up shell companies in other countries, such as Ireland. "I'm offended by the spectacle of dragging in executives from an American company that is not doing anything illegal."

Apple doesn't have a PAC, so it can't reward Paul for his outrage on the company's behalf, but Paul is planning a trip to Silicon Valley next week, where he'll be meeting with top tech execs, according to media reports. 

Paul doesn't historically have a close connection with any Silicon Valley companies, but he has had some luck in the region -- and with high-tech execs -- and his Apple-friendly attitude might help his fundraising next week. According to CRP data, 94019 is one of Paul's top 10 zip codes for fundraising. That would be Half Moon Bay, Calif., the ritzy seaside home to tech millionaires like Scott Banister, an early investor in PayPal, who along with his wife Cyan, has given more than $100,000 to Paul's campaign or committees and super PACs backing him or his father, Ron. 

Overall, the computer and Internet industry has not been hugely supportive of Paul. According to CRP records, it is his 18th largest source of support, having given him a little more than $50,000. Almost all of that came from individuals, not corporate PACs. But the industry has been a source of campaign cash for Paul's father' and the various outside spending groups that sprouted up to support libertarian causes.

The ninth largest donor to outside spending groups in the 2012 election was Peter Thiel, the founder of PayPal, who donated $4.7 million to conservative groups. They included Revolution PAC, a general pro-libertarian super PAC, and Endorse Liberty, a super PAC that supported Ron Paul's presidential run. Both organizations were heavily supported by the computer and Internet industry -- in fact, the industry was the second largest source of cash for Endorse Liberty. 

Overall, it gave about $14.1 million to outside spending groups, of which more than half ($7.8 million) went to Republicans. In terms of its $64.3 million in overall donations -- to candidates, parties and other committees -- only 32 percent went to Republicans. Democrats picked up 47 percent of the total, and the rest went to groups not affiliated directly with either party.

The fact that the industry is not particularly partisan, and may share some natural affinities with the libertarian cause -- like the industry's longstanding argument that fewer taxes and immigration regulations would let loose a flood of cash and investment in innovation and growth for Silicon Valley -- is likely not lost on Paul. And his defense of Apple's business tactics might unleash a flood of Silicon Valley cash for his own cause next week.

Categories:

• Computers/Internet

Tags:

• 94019,
• apple,
• computer/internet,
• endorse liberty,
• peter thiel,
• rand paul,
• revolution pac,
• silicon valley,
• zip codes