matt mahan

Google co-founder Sergey Brin confronted Gavin Newsom — then launched a political war

In a treehouse nestled in redwoods north of San Francisco, Gov. Newsom stood cold and hungry as Sergey Brin, the world’s fourth-richest man, and his wellness-influencer girlfriend told him they were leaving the state.

It was late in the evening at a Christmas party hosted by crypto titan Chris Larsen — featuring singer Janelle Monáe and a towering abominable snowman with glowing red eyes — when Brin and his partner, Gerelyn Gilbert-Soto, confronted Newsom about a new proposal to tax billionaires in California, according to people who’ve spoken with the governor. Such a levy could hit Brin’s stake in Alphabet Inc. and his $272.6 billion fortune.

Newsom, who opposes the wealth tax, was still telling people about the lengthy exchange at the party months later, complaining of a lingering cold the pair had given him, according to the people, who asked not to be named discussing private conversations with the governor.

Brin, meanwhile, followed through. He left the state, bought a lakeside mansion in Nevada, and started bankrolling a billionaire political uprising in California.

Newsom, through a spokesperson, declined to comment on the interaction. “The governor has been very clear with everyone, no matter who they are, that this effort will do serious damage to the state, including for public safety workers and schools, at the expense of one special interest group,” Izzy Gardon, a spokesperson, said.

A representative for Brin didn’t respond to requests for comment.

Brin’s political push reflects a broader awakening among California’s ultrawealthy. Over the past six months, the proposed billionaire tax and a heated governor’s race have drawn tech titans and business leaders more directly into the state’s affairs — a space many of them have traditionally kept at arm’s length.

Prior to this year, Brin’s last contribution in a California election cycle was 2010 when Arnold Schwarzenegger was governor and the Google co-founder largely backed climate causes. He’s now spent more than $58 million in the last four months, including an extra $9 million disclosed late Friday, but more importantly has helped mobilize a network of fellow tech titans in a push to sway state issues.

“The wealth tax was a wake up call, it was a fire that just lit up Silicon Valley literally in a matter of weeks,” said Steven Maviglio, a veteran Democratic strategist. “I’ve never seen anything like it.”

Altogether, ultrawealthy donors have injected more than $270 million into California’s political scene in this election cycle. Outside of the wealth tax, billionaire Tom Steyer is emerging as a top Democratic candidate for governor after the downfall of former Representative Eric Swalwell following allegations of sexual assault. Steyer, a former hedge fund manager, has spent more than $140 million in his election bid, crowding TV airwaves with ads and labeling himself a “class traitor” with a campaign modeled after Vermont Senator Bernie Sanders.

Ballots for the June 2 primary election start going out next week. Brin and a cohort of the ultrawealthy including Coinbase CEO Brian Armstrong and venture capitalists Vinod Khosla and John Doerr have plowed millions into supporting Matt Mahan, a Silicon Valley mayor, with a back-to-basics agenda and a penchant for taking on the state’s Democratic establishment.

That money has helped Mahan buy airtime and attracted controversy, but his polling numbers remain stuck in the single digits while Steyer’s well-funded progressive campaign is gaining favor with voters. Brin has also backed Republican Steve Hilton, who’s currently leading polls.

“You have two polar opposites going on. You have a billionaire running who has actually fully adopted an agenda that the vast majority of voters agree with: Taxing billionaires, funding healthcare, fighting back against ICE,” said Lorena Gonzalez, head of the state’s largest union group, the California Federation of Labor Unions. “And then you have billionaires pushing a candidate whose talking points are apologetic to the tech industry.”

The billionaire political activism in California mirrors larger shifts in Silicon Valley and the nation. President Donald Trump has given tech billionaires broad access to the White House, inviting Brin and other industry captains over for dinner and to join advisory boards.

Back in September, Trump singled out Gilbert-Soto as Brin’s “really wonderful MAGA girlfriend” at a White House dinner also attended by Mark Zuckerberg, Tim Cook and Sam Altman. She has publicly supported Republican Steve Hilton for California governor, a candidate Trump endorsed and Brin has also donated to.

In California, Brin’s newfound political action was catalyzed by the wealth tax proposal, which would levy a one-time 5% tax on billionaires to help offset federal healthcare cuts. In a Signal group chat earlier this year with other Silicon Valley elite, Brin floated the idea of raising hundreds of millions of dollars to influence California politics, according to a person who saw the message.

Brin left California for Nevada ahead of a Jan. 1 residency deadline for the proposed wealth tax. He moved to a $42 million mansion on the Nevada side of Lake Tahoe, featuring two glass-walled funiculars.

Shortly after leaving California, Brin contributed $20 million to a new group dedicated to fighting the tax while also pushing pro-business and housing affordability policies, Building a Better California, making him the single largest contributor. He added $37 million over the spring, as the group quickly started supporting a trio of anti-wealth tax measures that could nullify a billionaire tax if it gets passed in an election. One of the measures, the so-called Transparency Act, has enough signatures to qualify for the November ballot, its backers claimed on Monday.

Building a Better California “remains fixed on long-term reforms supported by most Californians: housing affordability, stable funding for education, infrastructure investments, and government accountability,” a spokesperson said.

Joining Brin in the effort were other billionaires, including former Google CEO Eric Schmidt, Stripe CEO Patrick Collison and venture capitalist Michael Moritz. Peter Thiel, who also left California ahead of the New Year’s Day deadline, gave $3 million to a separate committee opposing the wealth tax.

“They don’t trust California anymore,” said David Lesperance, a tax attorney who specializes in relocations and has helped move five families out of the state because of the wealth tax threat.

Brin and his fellow billionaires helped push up the costs to gather the more than 870,000 signatures required to qualify a ballot measure. This forced the union behind the wealth tax, SEIU-UHW, to spend more on their efforts.

Now, the union says it has succeeded in getting the signatures it needed, which will likely force the business leaders opposing it into further spending.

“A very small group of the most controversial billionaires on the planet tried to stop Californians from being able to save their local emergency rooms and hospitals — but our current signature tally proves frontline healthcare workers will prevail in bringing this commonsense proposal to voters,” said Suzanne Jimenez, SEIU-UHW’s chief of staff. “When our growing coalition files these signatures, David will have won the first round against Goliath.”

Other billionaires have bankrolled their own political initiatives, including Larsen, who set up his own network of influence groups with names like Grow California and Golden State Promise.

Many in Sacramento are skeptical that Brin and his fellow ultra-rich will succeed in swaying California state politics. They point to the failed candidacy of former eBay executive Meg Whitman, who spent around $144 million of her own fortune to become governor, or even venture capitalist Tim Draper’s longshot initiative to split California into six separate states.

“They’re trying to extrapolate from their own industry, which might have been fabulously successful, that they know something about political advertising, when they don’t,” said Garry South, a veteran Democratic strategist. “They think, ‘Hey, I’ve got money I can throw it around,’ and they don’t really do their homework.”

Political consultants describe their frustration with some wealthy tech donors, who often view their political giving through an investment lens, promising big checks and not following through if they don’t see momentum. That’s led to questions about whether the California billionaire activism would continue if Mahan’s governor bid fails and the wealth tax passes.

Even Larsen, who’s worth around $13 billion, has expressed anxiety that not enough business leaders are stepping into politics. “It’s a lot of talk, and they’re happy, but we don’t see the firepower we need to take on the SEIUs,” he said, referring to the state’s largest union.

Newsom, for his part, acknowledges that many of the state’s wealthiest residents are willing to donate significant sums of money, but want to do it on their own terms and not through a tax.

“Some will never give a penny away,” he said at a Bloomberg News event in January, not long after his encounter with Brin in the treehouse. “Some I respect. Some I don’t.”

Kamisher and Carson write for Bloomberg.

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Commentary: 90 minutes, 6 gubernatorial candidates, zero big moments — but some differences that matter

Two of our esteemed gubernatorial candidates, the cowboy and the dilettante, apparently could not find ties for the first debate Wednesday night, showing up with dress shirts casually unbuttoned.

Mr. Middleground sported a scruffy sorta-beard, apparently unable to pay for a razor in the midst of California’s affordability crisis. It’s a trademark look that always makes me think if this doesn’t work out, he’ll opt to live on a boat in some not-too-expensive slip by the Bay.

The billionaire wore Nikes instead of dress shoes, a sartorial nod perhaps to his bid to be the outsider-fighter. Or maybe his feet just hurt.

The last two contenders were remarkably unremarkable.

Why start with fashion? Honestly, it might be the most interesting, and telling, bit of insight that came from this first (of three) chances for our next governor to let us know who they are and what they’re made of. If the debate showed us anything, it’s that none of these candidates are hiding follow-me charisma or an excitement-inducing political vision for our collective future.

Yes, there were a few decent jabs here and there about Tom Steyer’s money, Katie Porter’s temper, Matt Mahan’s tech ties and Chad Bianco’s far-right world view. But even those were predictable.

Still, in between the yawns, there were a couple of answers worth noting, ones that might actually give us insight into how the Democratic candidates differ (Despite all the hype, it seems increasingly unlikely that two Republicans will come out of the primary, and even more unlikely that in a Democratic vs. Republican race, the Democrat would lose in blue California.)

I’ll start with a surprising place where I agreed with Steve Hilton, the Republican endorsed by President Trump.

The candidates were asked if they would support a ban on social media for kids under age 16. This is a quickly accelerating idea not beloved by tech companies. Australia and Indonesia already have bans in place. Other countries, including France and Portugal, have them in the works. Florida banned children under 14 from opening social media accounts on their own last year.

And a Los Angeles jury last month dealt a blow to Meta and YouTube when it found the platforms had damaged the mental health of a young woman with their addictive features.

Hilton took the ban question a step further, saying it “misses the point.” He has long argued that it isn’t just social media that is the problem, but having kids staring at a digital device for hours a day instead of interacting in the real world. It was one of the most genuine answers of the night.

“We’ve got to get to the heart of the problem, and that’s the devices and the screens,” he said. “I think that every parent in their heart knows that it’s wrong.”

While Steyer and Xavier Becerra, the former California attorney general, both said they would support such a ban, the remaining three candidates hedged or said they would not. Porter said no to a ban under age 16, but said she “might consider a different ban,” without being specific.

Mahan, who is backed by significant tech money, and Bianco both said they believed requiring parental consent was the way to go (though Mahan said he would ban devices in schools).

As Becerra pointed out, “kids have died as a result of their use of social media,” so it’s a place where policy matters. And if a candidate doesn’t see government’s role in controlling the dangers of social media, what will happen with artificial intelligence?

The candidates also had differences in how they would handle homelessness and the related crisis of housing affordability, though the devil was often buried in the details.

At least for Democrats. For Bianco, the difference was stark.

“We are not dealing with homeless. So stop calling it homeless,” he snapped at the moderators. “It has nothing to do with homes. This is drug- and alcohol-induced psychosis, mental illness.”

Of course, this is wrong. Last year, the UC San Francisco Benioff Homelessness and Housing Initiative released the results of the state’s most comprehensive survey of homeless people. It found that for most people living on our streets, “the cost of housing had simply become unsustainable.” It also found an increasing percentage of those folks were older — almost half were over the age of 50 — and had become homeless after a hardship such as an illness or a job loss.

“It’s also families who are fleeing intimate partner and domestic violence,” Porter said. “It’s people who are double and tripled up. It’s people who are living in their cars on our college campuses. Homelessness comes in a lot of different forms.”

Most of the Democratic candidates seemed to understand this and embraced the increasingly popular idea of putting more money into helping people stay housed after a hardship, instead of trying to get them housed after they lose their place.

“How can I help you keep your home?” Becerra said. “Because it costs me so much more money to pick you off the streets, provide you with the assistance in the shelter, than it does to keep you in the home.”

But the issue of homelessness is also where daylight emerged between the candidates. Steyer said he and his wife had helped finance low-barrier homes, not just shelter spaces, where people do not need to be addiction-free and where they can bring pets — two issues that are common hindrances for moving folks off sidewalks voluntarily.

Mahan, the mayor of San José, who often touts his city’s success at moving people indoors, agreed that emergency and interim housing was critical, but also voiced support for forcing folks to accept help. Last year, San José passed an ordinance he backed that some say criminalizes homelessness — a person can be cited twice for refusing shelter, and a third refusal within 18 months can lead to an arrest.

“When shelter was available, we required that people come indoors,” Mahan said, adding, “We have to be able to mandate treatment.”

It’s a controversial position, but also one that is increasingly popular. Gov. Gavin Newsom has backed mandated treatment, in a lighter form, with his CARE Court (which is technically voluntarily). And the movement to require people to accept a shelter space or face arrest is growing on the right and even the Democratic-middle.

But there is a fine and dangerous line with mandated treatment and shelter requirements that is often pushed further and further to the side in favor of the clean, safe streets argument. Whenever we start locking folks up — whether it’s in mental wards or immigration detention centers or jails — we should be careful that expediency isn’t trumping ethics.

Of course, the debate would not be complete without the Democratic candidates’ position on our president, speaking of ethics.

Steyer was gleeful that Trump has come after him on social media, a point of pride that he is a relevant figure in the fight against MAGA. He also said he would abolish Immigration and Customs Enforcement if he could, which he can’t.

Becerra highlighted his many lawsuits as California’s attorney general during Trump’s first term, and pledged to keep fighting. Porter leaned into her time in Congress and her efforts to help Democrats in other races win.

Mahan took a different route, pledging to fight when necessary, but adding, “We need a partnership, and we need to find common ground with this administration on certain issues.”

Newsom learned the hard way that common ground is what Trump says it is, and shifts without warning or reason.

So what’s the takeaway from all this?

Boring dad; feisty mom; rich do-gooder; striving newcomer; MAGA one; MAGA two.

None of them hit it out of the park, but no one struck out. Maybe next time.

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