Tech Groups Increase Lobbying Spending for Q2; Companies With M&A See Little Change
Several telecom and media companies that engaged in mergers and acquisitions during Q2 reported little change in lobbying expenditures compared with the year-ago quarter. The tech sector also reported mixed lobbying activity, though the Internet Association and several other groups reported major spending increases. Google remained the top overall tech and telecom sector spender at $5.8 million, down almost 2 percent from 2017.
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Comcast, still competing with Disney in the waning days of the quarter to buy Fox’s nonbroadcast assets, reported $3.54 million in lobbying expenses, down almost 6 percent. Forty-one outside firms reported a total of $2.05 million in fees for lobbying for the media company. Disney’s lobbying expenses totaled just over $1 million, little changed. Four outside firms reported a total of $100,000 from the company. Fox reported $202,500, down almost 20 percent. Comcast has since ceded Fox to Disney (see 1807120049 and 1807190022).
AT&T, which completed buying Time Warner days before the quarter ended (see 1806150002), increased lobbying spending 10 percent to $4.58 million. Twenty-six outside firms reported earning $1.17 million in fees for advocating on AT&T’s behalf. DOJ said it plans to appeal AT&T/TW decision to the U.S. Court of Appeals for the D.C. Circuit (see 1807120068). TW reported an almost 4 percent decrease in its lobbying spending to $749,000, with three outside firms reporting $110,000 in fees from the company.
T-Mobile lobbying spending totaled almost $2.1 million, up less than 1 percent, amid increased Hill scrutiny of its proposed buy of Sprint (see 1806270068). Twenty-six outside firms reported $1.1 million in fees collected for lobbying on T-Mobile’s behalf. Sprint said its lobbying expenditures totaled $800,000, up almost 48 percent. Eleven outside firms reported $380,000 from the company.
Sinclair, whose proposed buy of Tribune is now seen to be in grave danger (see 807230055 and 1807200055), reported $50,000, down 11 percent.
IA reported paying out $660,000, up 120 percent. Google reported spending $5.8 million, down almost 2. Amazon spent $3.5 million, up more than 9 percent. Facebook reported $3.7 million, up 130 percent. Twitter posted $320,000, up 166 percent. NetChoice paid $40,000, largely flat. Outsiders reported $70,000 lobbying on behalf NetChoice, also largely flat. The Computer and Communications Industry Association reported paying $20,000, a doubling. The Consumer Data Industry Association reported paying out $190,000.
Outsiders disclosed $82,500 lobbying on behalf of BSA|The Software Alliance, flat from 2017. BSA Vice President-Legislative Strategy Craig Albright told us the association is urging the Senate to confirm Privacy and Civil Liberties Oversight Board nominees Edward Felten and Jane Nitze, who the Senate Judiciary Committee advanced in June (see 1806210043). BSA is backing an amendment to the National Defense Authorization Act from Reps. Mark Meadows, R-N.C., and Don Beyer, D-Va., which would limit the federal government’s Lowest Price Technically Acceptable source selection for cybersecurity products, Albright said. The cheapest selection might not give the federal government the best protections, he said. BSA’s listed lobbying issues included information technology, copyright, cybersecurity, encryption, patent reform and trade.
Benton Foundation and Georgetown Law Institute for Technology Law and Policy fellow Gigi Sohn said the disparity in lobbying spending between online platform trade associations and telecom trade groups shows IA isn't as homogeneous as the latter. IA members Google, Amazon, Facebook and Twitter have vastly different businesses, she said. Sohn cautioned Silicon Valley isn't taking Washington as seriously as it should. The days of light regulation are coming to an end given the privacy and digital ad controversies that have erupted since 2016, she said. “They’re feeling under siege.”