Trump Administration Halts Big Tech Enforcement Amid Billion-Dollar Influence Campaign

The Trump administration’s approach to Big Tech has raised alarms, as a new report from Public Citizen reveals that federal enforcement actions against technology corporations have been significantly curtailed in the first six months of 2025. The report, titled “Deleting Tech Enforcement,” details how the administration has dropped or halted one-third of investigations and lawsuits targeting tech companies, many of which have spent over $1.2 billion on political influence since the 2024 election cycle. This shift, driven by claims of “weaponized” government, suggests a troubling nexus between corporate spending and regulatory leniency, potentially undermining protections for consumers, investors, and the public.

At the start of Trump’s second term, 104 technology companies faced 142 federal investigations and enforcement actions for alleged misconduct, ranging from consumer protection violations to securities fraud. Public Citizen’s analysis, based on its Corporate Enforcement Tracker, shows that 47 of these actions—against 45 tech firms—have been withdrawn or halted, with 38 dismissed outright and nine paused. These companies, including giants like Meta, Tesla, and Google, collectively spent $1.2 billion on political activities, including $863 million on campaign contributions, $222 million in payments to Trump’s businesses, $76 million on lobbying, and $25 million for Trump’s inauguration. Over $610 million supported Republican causes, with $352 million attributed to Elon Musk alone, highlighting the outsized influence of tech moguls.

The report argues that tech executives have echoed Trump’s rhetoric, framing federal oversight as unfair political attacks. This narrative aligns with the administration’s broader push to dismantle regulatory frameworks, as outlined in a day-one executive order, “Ending Weaponization of the Federal Government.” The order directed agencies like the Department of Justice (DOJ), Securities and Exchange Commission (SEC), and Federal Trade Commission (FTC) to review enforcement actions, resulting in unprecedented White House interference in independent agencies. For instance, the Consumer Financial Protection Bureau (CFPB) saw all its tech-related cases frozen, including investigations into fintech firms like Greenlight and PayPal for misleading practices.

Cryptocurrency and fintech companies have disproportionately benefited from this rollback. Of the 47 halted or dropped actions, 23 targeted crypto firms, with 20 withdrawn and three paused, often citing a shift away from “regulation by enforcement.” The SEC’s case against Ripple and the CFTC’s action against KuCoin were among those affected, reflecting a broader deregulatory stance championed by Trump allies like SEC chair nominee Chris Giancarlo. Fintech firms also saw relief, with 11 enforcement actions dropped, including CFPB cases against companies accused of deceptive practices.

Notable tech giants reaping benefits include Amazon, Google, and Meta, which face ongoing investigations but have secured favorable treatment. Amazon, for example, is under scrutiny for allegedly concealing warehouse injuries and violating consumer protection laws, yet donated $1 million to Trump’s inaugural fund and secured licensing deals benefiting Trump’s businesses. Meta, facing CFPB and FTC probes for data misuse and monopolistic behavior, also contributed $1 million to the inauguration, with board member and Trump ally Marc Andreessen amplifying the “weaponized government” narrative. Google, entangled in DOJ antitrust lawsuits, similarly donated to the inaugural fund, raising questions about the influence of such contributions.

Elon Musk’s companies—Tesla, SpaceX, xAI, Neuralink, X, and The Boring Company—stand out as major beneficiaries. These firms faced 17 investigations at the term’s start, including a DOJ probe into Tesla’s “Autopilot” claims and an SEC case tied to Musk’s Twitter acquisition. The DOJ dismissed a civil rights lawsuit against SpaceX for hiring discrimination, and other probes have been paused, coinciding with Musk’s $290 million in political spending and his role as co-chair of the Department of Government Efficiency (DOGE), which critics argue creates conflicts of interest across 70% of targeted agencies.

The report contextualizes this rollback within a larger pattern of reduced corporate oversight. Beyond tech, the Trump administration has halted or dropped 165 enforcement actions across all sectors, including 42 CFPB cases and eight DOJ Civil Rights Division investigations. The firing of National Labor Relations Board (NLRB) and Equal Employment Opportunity Commission (EEOC) members has further paralyzed enforcement, leaving nearly 27,000 NLRB cases in limbo. This aligns with Trump’s campaign promises to curb “left-wing” regulatory agendas, but critics argue it undermines protections for workers, consumers, and the environment.

The implications are far-reaching. Reduced enforcement could embolden tech companies to skirt consumer protection, labor, and securities laws, prioritizing profits over accountability. For instance, the FTC’s dismissal of a case against the Microsoft-Activision merger and the DOJ’s settlement with UnitedHealth Group signal a broader retreat from antitrust scrutiny, potentially fostering market consolidation. The report warns that this sends a message to Big Tech: lawbreaking carries little risk if political alliances are secured.

Broader policy shifts exacerbate these concerns. The Trump administration’s “Big Beautiful Bill,” signed into law on July 4, 2025, includes tax and spending policies favoring deregulation, while executive orders like “Defending Women” and “Reevaluating Foreign Aid” have led to the removal of over 8,000 government web pages, including data on diversity and environmental justice. These actions, combined with relaxed enforcement, suggest a systemic pivot away from evidence-based regulation, raising risks for consumers and smaller competitors.

For the tech industry, the stakes are high. Public Citizen’s Rick Claypool notes that the $1.2 billion in political spending has yielded “gigantic returns” for Big Tech through dropped prosecutions and policy shifts. Yet, this comes at the cost of public trust, as weakened oversight could lead to unchecked monopolies, data abuses, and workplace violations. The report calls for greater transparency and independence in regulatory processes to counter the influence of corporate spending.

As the Trump administration continues to reshape regulatory priorities, the balance between innovation and accountability hangs in the balance. For consumers, investors, and small businesses, the erosion of enforcement could mean fewer safeguards against corporate misconduct, while tech giants leverage their influence to navigate a deregulated landscape. The question remains whether public pressure and remaining checks—like judicial oversight—can restore accountability before the damage becomes irreversible.