Silicon Valley's anger is showing

Many of the core tasks at Silicon Valley companies are handled by immigrants

'Silicon Valley spirit' guides policymakers, start-ups look for a deal
Eric Newcomer Bloomberg
Last Updated : Jan 31 2017 | 12:21 AM IST

US immigration restrictions introduced over the weekend are bringing the technology industry together in unified anger like never before.

While the clampdown isn’t an immediate threat to businesses, emotions are running high because President Donald Trump’s executive order violates Silicon Valley’s self-image of inclusion and tolerance. More than any other industry, the tech enclave embraces the work and aspirations of immigrants. At least half of the top 20 US tech companies were founded or are currently led by someone who came from another country.

The late Steve Jobs, Apple’s co-founder, is the biological son of an immigrant from Syria, one of the seven mostly Muslim countries targeted by the administration. The chief executive officers of Microsoft and Google were both born in India. Among start-ups, 51 per cent of those valued at more than $1 billion had an immigrant as co-founder, according to a paper by the National Foundation for American Policy.

“This is essentially a direct attack at what we consider to be incredibly important to our culture and how we built our companies,” said Aaron Levie, chief executive officer of Box Inc.

Apart from executives, many of the rank-and-file employees in Silicon Valley are people from different nations. Walk through any of Google’s cafeterias during lunchtime or stroll down Palo Alto’s University Avenue on a balmy evening, and you’ll see a mix of white and Asian software engineers.

That’s also a reflection of the dearth of home-grown engineering talent needed to write advanced software code and build complex machines. Many of the core tasks at Silicon Valley companies are handled by immigrants. Recognising this, industry group FWD.us has been pushing for immigration reform. Founded in 2013, the organisation is backed by some of the biggest names in tech, including Bill Gates and Mark Zuckerberg.

At the same time, Silicon Valley has faced criticism for giving high-paying engineering jobs to foreigners. Through FWD.us and on their own, tech companies have lobbied to expand the H-1B visa program, which lets them recruit highly skilled foreign employees. IBM, Amazon.com, Microsoft, Alphabet, Intel and Apple have been among those receiving the most approved petitions. 

Many tech executives and venture capitalists opposed Trump’s candidacy. It was hard to find supporter for the real-estate reality TV star in Silicon Valley before the presidential election in November, although investor Peter Thiel was a visible exception. According to election returns, 86 per cent of San Francisco County voted for Hillary Clinton.


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