Big Tech and the Trump Administration: Implications for Global Digital Policy

The resurgence of Donald Trump to the presidency in 2025 has sent shockwaves through the global technology landscape, particularly in relation to Big Tech and international digital policy. This article examines the potential ramifications of Trump’s tech policies on the global stage, focusing on the emboldening of US tech giants, shifts in global digital governance, and the concept of “techno-imperialism.” Additionally, we will explore the imperative for Europe and other regions to develop robust strategies to maintain their digital sovereignty in this evolving landscape.

The return of Trump to the White House has signaled a potential sea change in the relationship between the US government and Big Tech companies. Unlike his predecessor, Trump has shown a propensity to align more closely with tech industry leaders, particularly those who have supported his political agenda. This shift in dynamics has significant implications for how US tech giants approach global regulations, especially those imposed by the European Union.

One of the most striking examples of this emboldening effect is Mark Zuckerberg’s recent appeal to Trump to protect US tech firms against European regulation. The Meta CEO went so far as to compare EU antitrust penalties to tariffs, arguing that Brussels is “screwing with” American industry. This rhetoric marks a significant departure from the more conciliatory tone tech leaders often adopted during previous administrations.

The Trump administration’s stance on tech regulation is expected to be markedly different from that of the Biden era. While the previous administration sought to implement stricter oversight and accountability measures, particularly in areas such as artificial intelligence (AI) and content moderation, Trump’s team is likely to prioritize deregulation and innovation. This approach aligns with the president’s broader economic philosophy of reducing barriers to business growth and maintaining US competitiveness on the global stage.

However, this deregulatory push could create tension with other global powers, particularly the EU, which has been at the forefront of implementing comprehensive digital regulations such as the General Data Protection Regulation (GDPR), the Digital Services Act (DSA), and the Digital Markets Act (DMA). The clash between the US’s laissez-faire approach and the EU’s more stringent regulatory framework could lead to significant diplomatic and economic challenges in the coming years.

The Trump administration’s tech policies are poised to reshape the landscape of global digital governance. The concept of “digital realpolitik” is likely to gain prominence, with the US government adopting a more assertive stance in promoting American interests in the digital realm. This approach may involve a combination of diplomatic pressure, economic incentives, and potentially even threats of retaliation against countries or blocs that impose regulations perceived as unfairly targeting US tech companies.

One area where this shift is likely to be particularly pronounced is in the realm of data flows. The Trump administration may push for greater freedom in cross-border data transfers, potentially challenging data localization requirements imposed by other countries. This could lead to increased friction with nations that view data sovereignty as a crucial aspect of their national security and economic strategies.

Another significant aspect of this evolving landscape is the potential for the US to withdraw from or significantly alter its participation in multilateral forums focused on digital governance. Organizations such as the OECD and the G7, which have been working on developing global standards for AI governance and digital taxation, may find their efforts complicated by a less cooperative US stance.

The concept of “techno-imperialism” may gain traction in this new era, with critics arguing that the US is leveraging its technological dominance to exert undue influence over global digital norms and standards. This perception could fuel resistance from other nations and potentially accelerate efforts to develop alternative technological ecosystems that are less dependent on US-based companies and infrastructure.

In light of these developments, it has become increasingly clear that Europe and other regions must develop comprehensive strategies to maintain their digital sovereignty. The concept of digital sovereignty encompasses a nation or region’s ability to exert control over its digital destiny, including data, hardware, software, and the rules governing the digital space.

For the European Union, which has been at the forefront of digital regulation, the challenge will be to balance its regulatory ambitions with the need to foster innovation and competitiveness. The EU’s approach to digital sovereignty has thus far focused on three main pillars:

1. Regulatory Framework: Continuing to develop and enforce comprehensive digital regulations that protect citizens’ rights and ensure fair competition.
2. Technological Capabilities: Investing in homegrown technologies and digital infrastructure to reduce dependence on foreign providers.
3. Strategic Autonomy: Developing the capacity to make independent decisions in the digital realm without undue influence from external powers.

However, in the face of a more assertive US tech policy under Trump, the EU may need to refine its strategy. This could involve:

• Strengthening International Alliances: Forming coalitions with like-minded countries to create a counterweight to US influence in global digital governance.
• Investing in Strategic Technologies: Doubling down on investments in critical areas such as AI, quantum computing, and 5G/6G networks to ensure technological competitiveness.
• Enhancing Digital Diplomacy: Developing more sophisticated diplomatic approaches to navigate the complex landscape of global tech politics.

Other regions, particularly developing nations, face their own unique challenges in maintaining digital sovereignty. Many of these countries find themselves caught between the competing influences of the US and China, each offering its own vision of the digital future. To navigate this complex landscape, these nations may need to:

• Develop Indigenous Capabilities: Investing in local tech talent and fostering homegrown innovation ecosystems.
• Diversify Partnerships: Avoiding over-reliance on any single technological superpower by cultivating diverse international partnerships.
• Craft Nuanced Policies: Developing regulatory frameworks that protect national interests while remaining open to beneficial foreign technologies and investments.

As the global digital landscape becomes increasingly fragmented, the role of multilateral institutions in shaping digital policy becomes more crucial than ever. Organizations such as the United Nations, the World Trade Organization, and regional bodies like the African Union or ASEAN may need to step up their efforts to foster dialogue and find common ground on critical digital issues.

These institutions could play a vital role in:

• Standard Setting: Developing globally accepted standards for emerging technologies like AI, ensuring interoperability and ethical use.
• Dispute Resolution: Providing mechanisms for resolving conflicts related to digital trade and data flows.
• Capacity Building: Assisting developing nations in building the necessary infrastructure and expertise to participate fully in the global digital economy.

However, the effectiveness of these institutions will depend largely on the willingness of major powers, including the US under Trump, to engage constructively in multilateral processes.

Amidst these geopolitical shifts, the role of the private sector in shaping global digital policy is likely to evolve. Tech companies, particularly US-based giants, may find themselves in a delicate position, balancing their home government’s expectations with the need to comply with diverse international regulations.

This could lead to:

• Increased Corporate Diplomacy: Tech companies may need to engage more directly in diplomatic efforts to shape global digital norms.
• Localization Strategies: Firms may adopt more nuanced, region-specific approaches to product development and policy compliance.
• Public-Private Partnerships: Closer collaboration between tech companies and governments on issues of national security and economic competitiveness.

The intersection of Big Tech and the Trump administration’s policies presents a complex and rapidly evolving landscape for global digital governance. As the US adopts a more assertive stance in promoting its tech interests, other nations and regions must carefully navigate the challenges of maintaining digital sovereignty while fostering innovation and economic growth.

The coming years are likely to see increased tension between competing visions of the digital future, with the potential for both conflict and cooperation. Stakeholders across the globe – from governments and multilateral institutions to tech companies and civil society organizations – will need to engage in thoughtful dialogue and strategic planning to shape a digital landscape that balances innovation, security, and individual rights.

As we move forward, the ability of nations to adapt to this new reality while safeguarding their core values and interests will be crucial in determining the future of our increasingly interconnected digital world. The global community must remain vigilant and proactive in addressing the challenges and opportunities presented by this new era of digital geopolitics.

Citations:
[1] https://www.cigionline.org/articles/trump-20-clash-of-the-tech-bros/
[2] https://www.politico.eu/article/parliament-tech-eu-european-commission-us-president-donald-trump-meta-mark-zuckerberg/
[3] https://www.diplomacy.edu/blog/trump-and-tech-more-of-the-same-but-with-a-twist/
[4] https://carnegieendowment.org/europe/strategic-europe/2024/12/europes-wake-up-call-for-tech-leadership?lang=en
[5] https://academic.oup.com/book/55328/chapter/428796038
[6] https://www.crowell.com/en/insights/client-alerts/early-insights-and-projections-on-digital-policy-in-a-second-trump-administration
[7] https://euobserver.com/eu-and-the-world/ar1d71180f
[8] https://www.techpolicy.press/the-global-digital-agenda-and-the-path-toward-a-balanced-future/
[9] https://www.orfonline.org/expert-speak/trump-s-tech-policies-deregulation-decoupling-and-disruption
[10] https://www.euractiv.com/section/tech/opinion/technology-sovereignty-is-an-existential-matter-for-europe/
[11] https://www.techpolicy.press/the-techlash-will-not-disappear-under-trump-20/
[12] https://www.euronews.com/my-europe/2025/01/20/eu-digital-enforcement-barometer-amid-rising-pressure-from-us-tech-giants
[13] https://www.project-syndicate.org/commentary/techno-colonialism-defines-us-china-rivalry-by-hermann-hauser-and-hazem-danny-nakib-2024-08
[14] https://www.cidob.org/en/publications/how-can-european-union-achieve-digital-strategic-autonomy-views-future-leaders
[15] https://www.bpm.com/insights/technology-industry-under-trump-administration/
[16] https://www.cnbc.com/2025/01/17/henna-virkkunen-denies-taking-a-softer-approach-to-big-tech-as-trump-returns.html
[17] https://ecfr.eu/article/stand-by-me-why-eu-trade-actions-need-member-state-consensus/
[18] https://ecfr.eu/article/glitch-in-the-matrix-how-europeans-should-respond-to-the-trump-musk-tech-agenda/
[19] https://www.pubaffairsbruxelles.eu/opinion-analysis/big-tech-donald-trump-and-techno-imperialism-how-europe-can-avoid-becoming-a-digital-colony/
[20] https://www.politico.eu/article/zuckerberg-urges-trump-to-stop-eu-from-screwing-with-fining-us-tech-companies/
[21] https://www.globalasia.org/v19no4/cover/the-intellectual-framework-behind-trumps-ascent_thitinan-pongsudhirak
[22] https://ecdpm.org/work/tech-sovereignty-and-new-eu-foreign-economic-policy
[23] https://www.euronews.com/next/2025/01/20/us-big-tech-is-ready-for-trump-2-but-is-the-eu
[24] https://www.lawfaremedia.org/article/the-trump-administration-should-not-mess-with-the-eu-u.s.-data-privacy-framework
[25] https://ecfr.eu
[26] https://www.weforum.org/stories/2025/01/europe-digital-sovereignty/
[27] https://www.forbes.com/sites/emilsayegh/2024/11/18/decoding-trumps-tech-and-ai-agenda-innovation-and-policy-impacts/
[28] https://www.reuters.com/technology/eu-says-it-is-assessing-tech-cases-not-impacted-by-new-us-administration-2025-01-14/
[29] https://papers.ssrn.com/sol3/Delivery.cfm/SSRN_ID3773652_code3331411.pdf?abstractid=3773652&mirid=1&type=2
[30] https://www.ifri.org/en/shaping-europes-technological-sovereignty
[31] https://www.setav.org/en/opinion/trumps-return-to-power-big-tech-ai-rivalries-future-of-us-tech-policy
[32] https://www.insideglobaltech.com/2024/11/19/tech-policy-in-a-second-trump-administration-ai-promotion-and-further-decoupling-from-china/
[33] https://www.atlanticcouncil.org/wp-content/uploads/2020/06/The-European-Union-and-the-Search-for-Digital-Sovereignty-Building-Fortress-Europe-or-Preparing-for-a-New-World.pdf
[34] https://ecfr.eu/article/commentary_the_eu_as_a_digital_regulatory_superpower_implications_for_the_u/
[35] https://thebulletin.org/2024/11/trumps-potential-impact-on-emerging-and-disruptive-technologies/
[36] https://www.crowell.com/en/insights/client-alerts/early-insights-and-projections-on-digital-policy-in-a-second-trump-administration
[37] https://www.newamerica.org/new-america/blog/shaping-tech-for-public-good-trump-administration/
[38] https://www.chathamhouse.org/2025/01/new-trump-administration-could-herald-remaking-international-order-how-should-world-respond
[39] https://flint-global.com/blog/deregulation-or-doubling-down-what-does-trump-2-0-mean-for-tech-regulation-in-asia-pacific/
[40] https://www2.itif.org/2021-us-grand-strategy-global-digital-economy.pdf
[41] https://www.tandfonline.com/doi/full/10.1080/13501763.2023.2295523