But it's important to separate this very real threat from Thiel's specific allegations about Google, which were presented without proof, and from his claims that Google has participated in 'treasonous' activity.
The contrast is notable. But Thiel's quotes about Google's alleged "treasonous" activities go too far. Falling victim to one of the world's biggest spy programs, doing business in China by the country's rules and eschewing certain government contracts for ideological reasons don't come close to any responsible definition of "treason.
Trump's reaction is not surprising. Thiel has been one of his most ardent supporters, and Trump has been hammering away at Google and other tech giants for many other reasons, including his assertion the tech companies are tamping down conservative voices unfairly on social media or rigging search functions to disfavor him and other Republicans.
But Trump's national economic advisor, Larry Kudlow, downplayed any future action stemming directly from the allegations on Tuesday. "I'm not sure where [Thiel's] going; what he's pointing to. I meet with Google, I meet with Google's CEO on a regular basis. I think they're working for America, for our military, not for China. I guess it's very fashionable to pick on these big tech companies. Maybe some deserve it, maybe some don't. I've had long discussions with Google's CEO, their new CEO, long discussions with Tim Cook of.
Despite the dust-up, it's unlikely that anything has changed with Thiel's or Trump's comments. Tech companies will be under intense scrutiny for dealings in China, anti-competitive practices, dabbling in the financial markets with new currencies and privacy violations by any administration in power, as well as globally, whether Trump throws these allegations into the mix or not.
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