Will the American economy make a positive turn around with Trump? Of course, it is too early to say but a few positive developments have sparked this hope.
Japanese tech billionaire Masayoshi Son who controls Sprint Corp., said on Tuesday in New York that he would invest $50 billion (46.6 billion euros) in new startups in the United States, and create 50,000 new jobs. He announced this in the lobby of Trump Tower following a 45-minute private meeting with President-elect Donald Trump.
The Japanese businessman, telecom mogul is founder and chief executive of SoftBank, a technology and communications entity which owns the US mobile carrier Sprint.
Son said he was at Trump Tower to celebrate Trump’s election victory.
“I just came to celebrate his new job,” Son remarked. “Because he said he would do a lot of deregulation, I said, ‘This is great, the US will become great again’.”
Mr. Son told reporters he planned to “invest into the new startup companies in the United States. We are going to invest $50 billion in the U.S. and commit to create 50,000 new jobs.”
Mr. Son said the money will be coming from a $100 billion investment fund that he began setting up earlier this year with Saudi Arabia’s sovereign-wealth fund and other potential partners.
Trump took credit for the investment, saying his November victory spurred SoftBank’s decision.
Mr. Son’s plan to pour $50 billion is massive compared with the total amount of capital in venture circles. Venture-capital firms had $163 billion available to invest in new deals as of June 2016, according to research firm Preqin.
With the new $100 billion fund—dubbed the SoftBank Vision Fund—Mr. Son plans to spend heavily in fields including the so-called Internet of Things, artificial intelligence, deep learning and robotics. He has said he wants to become the Warren Buffett of the tech industry.
AT&T Inc. Chief Executive Randall Stephenson also spoke positively of the economic benefits of a Trump presidency Tuesday, largely because of lower taxes and less government oversight. He expressed hope that “a more moderate approach to some of these regulations is in the making under a Trump administration.”
At a UBS AG conference in New York, he said, “If we achieve any kind of meaningful corporate tax reform I am quite convinced that it is going to change this trajectory in terms of capital investment.”
He added that the company’s business plans for 2017 are based on expectations that economics growth will be higher compared with recent years.
Meanwhile Trump has reiterated his stand on H1B workers. He said, “We’re going to defend American jobs. We have to look at it almost as a war.”
Trump said that he would not allow Americans to be replaced by foreign workers, in an apparent reference to cases like that of Disney World and other American companies where people hired on H-1B visas, including Indians, displaced U.S. workers.
“We will fight to protect every last American life. During the campaign, I also spent time with American workers who were laid off and forced to train the foreign workers brought in to replace them. We won’t let this happen anymore,” Trump vowed amidst cheers and applause from a large crowd of supporters.
“Can you believe that? You get laid off and then they won’t give you your severance pay unless you train the people that are replacing you. I mean, that’s actually demeaning maybe more than anything else,” he said.
On immigration, Mr Trump reiterated that he will build the wall along the Mexico border.
“We will put an end to illegal immigration and stop the drugs from pouring into our country, the drugs are pouring into our country, poisoning our youth and plenty of other people,” he said.
“We are going to be good for the world not just good for our country. The script to what we’re doing is not yet written,” he said.