Press Release: Democracy at risk in Davos: new report exposes big tech lobbying and political interference
January 16 2025
Davos, Switzerland Just five partners of the World Economic Forum control 11 percent of global GDP amounting to €11.91 trillion, more than 168 countries’ national incomes combined, and what they spend on lobbying governments is rising fast. This is according to a new report released to coincide with the annual gathering of the super-rich and political decision-makers in Davos, called Reining in the extreme power and influence of the tech billionaires.
Google, Amazon, Meta, Microsoft and Apple (GAMMA) top the list of companies for lobby spending in Europe, revealed the new research by LobbyControl, Balanced Economy Project and Global Justice Now. These 5 tech monopolies, all WEF partners, spend more than the top 10 companies in the financial sector or the automotive industry do on lobbying. In recent years, the tech industry as a whole has increased its lobbying expenditure from €97 million to €113 million in the EU. The majority of GAMMA's lobbying expenditure, 62.5 percent, is focussed on the US capital.
Max Bank, Researcher and Campaigner, LobbyControl, said: “The growing power and influence of tech billionaires and their giant corporations is fundamentally at odds with the democratic principle of equal representation. The World Economic Forum in Davos amplifies this problem by providing a privileged platform to further entrench the political influence of the world’s super-rich, undermining the belief that every voice should count equally in democratic decision-making.”
Among the top 10 richest people in the world are 5 tech billionaires. Some are politically active in the background, but others are now directly involved in the US government. Elon Musk is about to take up a senior political position in the US government following President Trump’s inauguration, and is also well positioned to influence EU politics through his company X. In December 2024 and January 2025, the South African tech billionaire spoke out in favour of right-wing parties in Europe: in Germany for the Alternative for Germany (AfD), and in the UK for the Reform Party and a far-right extremist, currently in prison, known as Tommy Robinson, but whose real name is Stephen Yaxley-Lennon.
Claire Godfrey, Executive Director, Balanced Economy Project, said: “Monopoly billionaires use wealth to amass power to grow wealth in a vicious circle. They build market power by crushing competition, and use this monopoly power to jack up prices, and keep them high, ripping consumers off in the process. They buy political influence from the money they make from huge markups on retail prices - up to 75% for big tech services and products. Governments have allowed them to do this, and are failing to regulate markets in the public interest. Governments must stamp out harmful monopoly power before it’s too late.”
The WEF's business model is based on bringing together corporate bosses and politicians from all over the world “to strive for a better world, where cooperation and trust lead to lasting progress”. With the rise of monopoly power interference in Western democracies, it is not only inappropriate but arguably unethical to cling to the concept of a lobby forum like the World Economic Forum being for the public good.
Nick Dearden, Director, Global Justice Now, said: “The power of Elon Musk is a symptom of a much deeper problem: the problem of monopoly capitalism. By falling over themselves to do the bidding of the Big Tech giants, governments are only intensifying the dangers our politics faces from the likes of Musk. To reclaim our democracy, we need to take control of the technology on which our society increasingly depends, and bring down the monopolies.”
The Elon Musk case must serve as a wake-up call to governments. With Donald Trump set to take office shortly, governments must reclaim powers to regulate the structural power of corporations and their wealthy owners. Europe has to take a leading role in regulating and breaking up tech monopolies and reining in the excessive influence of billionaires. The EU competition authority, the Directorate-General of Competition, can start this process by breaking up Google. Europe, the UK and others cannot cower to pressure from Silicon Valley via Washington D.C., and must ensure that the numerous good digital laws already in place are effectively enforced against tech monopolies and their power. In addition, clear rules for transparency and against one-sided influence, for example by capping party donations, are urgently required.
Notes to editors
1. The “Reining in the extreme power and influence of the tech billionaires” report will be available for download here https://shorturl.at/ppHdm. For advance copies, please email info@balancedeconomy.org
2. GDP per country ranked to market capitalisation comparison, based on 2023 GDP figures https://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nominal)
3. Elon Musk on the Alternative for Germany (AfD) party
4. Elon Musk on the Reform party and Stephen Yaxley-Lennon, also known as Tommy Robinson
5. “Together, we continue to strive for a better world, where cooperation and trust lead to lasting progress.” - WEF statement https://www.weforum.org/about/world-economic-forum/
6. Taken, not earned: how monopolists drive the world’s power and wealth divide - 2024 report released for Davos by Balanced Economy Project, SOMO, Global Justice Now, and LobbyControl which exposed how the world’s biggest companies, including top WEF partners, are using monopoly power to effectively rip off consumers, while exploiting workers and citizens, and suffocating smaller businesses.
Contacts
Max Bank will be available for interviews in Davos from January 21st 2025. Please contact Svea Gaum svea.gaum@lobbycontrol.de
For remote interviews with Claire Godfrey, Executive Director of Balanced Economy Project, please email: info@balancedeconomy.org
For remote interviews with Nick Dearden, Director, Global Justice Now, please email Anita Bhadani anita.bhadani@globaljustice.org.uk
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