President Joe Biden issued a stark warning about the United States potentially becoming an “oligarchy” dominated by tech billionaires, a scenario that could be epitomized at Donald Trump’s inauguration, where the world’s three wealthiest individuals will be seated on the dais as Trump is sworn in for a second term. Elon Musk, the richest person globally, played an unprecedented hands-on role in the final stages of Trump’s campaign by contributing around $200 million via a super PAC. Musk is set to play a significant role in shaping the new administration and will be accompanied on the dais by Amazon’s founder, Jeff Bezos, whose company holds substantial contracts with the federal government. Additionally, Mark Zuckerberg, CEO of Meta, has also aligned his company’s priorities with Trump’s and has forged a closer relationship with the president-elect, despite previous tensions. Together, these three men boast a combined wealth nearing $1 trillion and will be joined at the inauguration by other tech CEOs. The prominent role of billionaires in national politics is not new, as evidenced by their contributions to various campaigns. However, the upcoming administration highlights the direct involvement of billionaires in shaping policies and decisions. Biden’s use of the term “oligarchy” is deliberate, drawing attention to the influence of immense wealth in government affairs. This phenomenon mirrors aspects of the Russian government, a country Trump has often praised, where the ultra-rich are kept in check by the leadership. The incoming administration faces challenges related to wealth inequality, with the top 0.1% of Americans controlling a significant portion of the nation’s wealth, while the bottom half possess limited assets. The astronomical wealth amassed by a select group of billionaires, including Musk, Bezos, and Zuckerberg, has sparked calls for tax reforms and wealth redistribution by Democrats. Efforts to introduce wealth taxes at both federal and state levels have been met with varying degrees of success, reflecting a growing concern about economic disparities in society.
One way to tackle income inequality is by addressing the presence of wealthy individuals in positions of power. Some prominent figures, including the Vice President-elect JD Vance and others close to the Trump administration, portray themselves as champions of the common people, aiming to reclaim power from special interest groups and elites and return it to the American populace. This narrative is echoed by conservative influencer Charlie Kirk, who has criticized the U.S. government for operating as an oligarchy that prioritizes military and financial interests over the will of its citizens.
Despite presenting himself as a disruptor of the elite class, Trump himself is a billionaire, and his approach to populism often revolves around the interests of wealthy entrepreneurs. This tension was highlighted during a recent confirmation hearing for Trump’s Cabinet nominee, Scott Bessent, where the issue of wealth inequality and the influence of billionaires in American society was raised by Senator Bernie Sanders.
The concept of oligarchy is commonly associated with Russia, where a group of businessmen, known as oligarchs, amassed immense wealth and power following the privatization of state industries in the 1990s. Under President Putin’s rule, these oligarchs were either controlled or faced dire consequences if they interfered in politics.
While the U.S. is far from resembling a Russian-style oligarchy due to its diverse economy and strong institutions, there are concerns that the increasing influence of executives with close ties to the government could exacerbate inequality and hinder overall economic progress. Some observers fear that under Trump’s leadership, certain sectors, such as the technology industry, are becoming more intertwined with political power, potentially leading to detrimental consequences for democracy.
As Trump’s inauguration approaches, his connections with tech giants like Google and Microsoft, as well as wealthy Republican donors, have raised eyebrows. The term “broligarchs” has been coined to describe this new wave of affluent tech supporters aligning themselves with the incoming administration. Critics caution that such associations could further erode democratic principles and exacerbate existing inequalities.
“In the world,” Harrington stated regarding their ascension, “because they have essentially amassed so much wealth that they wield more power than the governments of individual nations.”
Associated Press reporters Josh Boak, Fatima Hussein, Zeke Miller, Gary Fields, and Christopher Rugaber in Washington, D.C., David Lieb in Jefferson City, Missouri, Harriet Morris in Tallinn, Estonia, Matt O’Brien in Providence, Rhode Island, and Michelle L. Price in New York contributed to this article.
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