a16z Lobbies Washington: $1.49M Spent - TechCrunch

Andreessen Horowitz Increases Washington Lobbying Efforts

Andreessen Horowitz (a16z) continues to expand its influence in Washington D.C., having reported $1.49 million in federal lobbying expenditures thus far in the current year, as indicated by official records submitted to Congress.

This level of spending positions a16z as surpassing even its own industry association, the National Venture Capital Association (NVCA), in lobbying costs.

Accelerated Lobbying Pace

A review of lobbying disclosures by TechCrunch reveals an accelerating trend in a16z’s lobbying activities. The firm allocated $1.8 million to lobbying throughout 2024 and $950,000 in 2023.

a16z’s lobbying strategy distinguishes itself from many other prominent venture capital firms, the majority of which report minimal or no federal lobbying activity.

Comparison with Other VC Firms

• Sequoia Capital has reported $120,000 in lobbying expenses to date this year.
• General Catalyst’s lobbying spend is currently at $500,000 for the same period.

In contrast, a16z’s expenditures slightly exceed the NVCA’s $1.40 million.

Firm’s Stance on Policy

When questioned about their lobbying efforts, a representative from a16z directed TechCrunch to articles authored by the firm’s co-founders, outlining their perspectives on policy and the “Little Tech” agenda.

Co-founder Ben Horowitz articulated in a December 2023 article that the firm maintains a non-partisan approach, focusing on a single issue: support for candidates who champion a technology-driven future, and opposition to those who seek to hinder technological advancement.

Lobbying Focus Areas

a16z’s internal lobbying team is actively engaged in influencing legislators on a diverse range of topics, including regulations surrounding digital assets, stablecoins, and artificial intelligence.

While the firm’s efforts to shape cryptocurrency legislation are well-known, lobbying disclosures demonstrate a broader ambition to influence the nation’s defense strategies.

Expanding into Defense and National Security

The firm’s lobbying reports began to explicitly mention defense concerns in the third quarter of 2023, specifically referencing the National Defense Authorization Act.

Lobbying related to this annual defense policy bill has continued in subsequent quarters.

The National Security Council first appeared in a filing for the second quarter of 2024 and remains a focus, indicating a framing of financial and technological issues through a national security lens.

Bipartisan Approach

Despite the support of co-founders Marc Andreessen and Horowitz for President Donald Trump in the previous election, a16z’s policy team is deliberately bipartisan, recruiting government affairs professionals from both political parties.

Growth and New Hires

This increased spending coincides with a16z’s more assertive entry into heavily regulated sectors, such as defense and the industrial base, which are key areas of the American Dynamism initiative, as well as rapidly evolving technologies like AI.

The firm has bolstered its policy expertise with new hires; Anne Neuberger, former deputy national security advisor, recently joined as a senior advisor concentrating on “American Dynamism, AI, and cyber,” as announced by Horowitz on X.

Influence Beyond Lobbying

It’s important to note that lobbying expenditures do not always directly translate to influence.

Founders Fund, for instance, reports limited federal lobbying, yet possesses significant access within the Pentagon and the White House.

Trae Stephens, a partner at Founders Fund, played a key role in the 2016 DOD transition and was considered for the position of Deputy Secretary of Defense in 2024.

Michael Kratsios, a long-time aide to Thiel Capital, served as Acting Under Secretary of Defense for Research and Engineering in 2020 and currently holds the role of science advisor to the President.

Political Action Committees

Venture funds also exert political influence through alternative channels, such as contributions to political action committees (PACs).

Recent reports from The Wall Street Journal indicate that a16z is supporting a new pro-AI PAC network called Leading the Future.