A Blue Wave Won’t Wash Away Our Oligarchy Problem

The massive election spending by Elon Musk and other billionaires is a huge problem, even if many of the superwealthy’s favorites lose next month.

By Perry Bacon, The New Republic

The candidates favored by billionaires and industry backers almost certainly won’t do as well in the midterms as they did two years ago, when the favorites of Elon Musk and other superrich individuals won numerous races, including the presidency. But big money is still warping American elections, putting weak candidates on equal financial footing with stronger ones, making politicians from both parties beholden to the rich instead of their constituents, and blocking more populist policies. There is little doubt that Democratic victories this fall will put the United States on a better footing, but our democracy ultimately can’t thrive if a class of oligarchs can use their wealth to dominate the political system.

Judicial rulings, mostly notably the Supreme Court’s 2010 Citizens United decision, have eliminated most restrictions on campaign spending by the wealthy and corporations. Each subsequent election cycle since, companies and billionaires have upped their political involvement, in terms of both raw dollars and the aggressiveness of their efforts. The 2024 cycle represented something of an inflection point. About 20 percent of campaign donations to candidates and political donations, more than $3 billion in total, came from billionaires and their immediate family members, according to an analysis by The New York Times. Six individuals or families donated more than $100 million, led by Elon Musk, who spent an estimated $290 million. He funded a get-out-the vote operation in swing states, the kind of organization usually built by candidates or political parties.

All six of those families backed Republican candidates. That spending helped the GOP win the House, Senate, and presidency.

Meanwhile, numerous companies funded super PACs and other campaign committees, usually to defeat Democratic candidates and boost Republicans. Perhaps the most notable was the cryptocurrency industry, which donated more than $40 million to a super PAC to oust a critic of the industry, then-Senator Sherrod Brown, a Democrat from Ohio.

This year, billionaires have already donated at least $1.7 billion. Of that, $1.2 billion (69 percent) has gone to help Republican candidates, according to a report from Americans for Tax Fairness. Musk alone has pumped in at least $366 million, according to the Times. Cryptocurrency, artificial intelligence, Big Tech, and online betting companies have spent at least $294 million this cycle, according to Public Citizen. Most of that spending is on behalf of Republican candidates, along with some to aid Democratic candidates who these companies believe—perhaps with good reason—won’t regulate them aggressively.