A naukri.com initiative
TechCrunch
6d
223
Image Credit: TechCrunch
‘Whatever you want Ben’: Inside Ben Horowitz’s cozy relationship with the Las Vegas Police Department
- VC Ben Horowitz has given at least $7.6m to fund police department purchases in recent years, according to internal police emails viewed by TechCrunch. He has also paid to expand and improve the Las Vegas Metropolitan Police Department's gym. The emails showed Horowitz trying to facilitate connections between the LVMPD and at least six a16z portfolio companies, as well as making personal suggestions about the department's purchases. The donations, facilitated through police foundations, have been criticised for bypassing typical procurement processes and favouring donors. Horowitz claimed he was helping LVMPD adopt new strategic technology.
- Horowitz's relationship with LVMPD first developed in 2023 after Skydio, a young drone maker, sent a customer proposal to the department, which Horowitz forwarded to LVMPD's chief of staff Mike Gennaro. Horowitz then donated the funds for the department's purchase of Skydio drones. Skydio publicised its partnership with LVMPD, but did not mention Horowitz. In addition to donating Skydio drones, Horowitz has also facilitated connections with other a16z portfolio companies.
- Horowitz has justified his involvement with LVMPD by pointing to dropping crime rates in the city, but critics have slammed donations through police foundations as a legal loophole that opens taxpayers up to paying for ongoing contracts. Police foundations in major cities such as New York, Los Angeles, St Louis and Atlanta have generated millions of dollars in annual revenue.
- Horowitz's wife Felicia has also donated to LVMPD, paying $800,000 for new computer terminals and $120,000 for the gym, along with money for new ice and cappuccino machines.
- Experts and advocacy groups have pointed out that police foundations often give private citizens and corporations a way to donate money that can be used to bypass typical procurement processes and give competitors a chance. They also say it can set up companies for ongoing contracts where taxpayers foot the bill.
- Horowitz's approach is increasingly popular at major US police departments. As well as giving money to acquire Skydio drones for LVMPD, Horowitz has donated to secure communication start-up Kodex and Earnin', which helps employees access their pay before payday.
- After an initial donation, companies can try to sell the police on a follow-up contract and also use the fact that LVMPD has deployed their technology for advertising, opponents of police foundations noted. The LVMPD and a16z declined to answer questions from TechCrunch.
- While donations can set up companies for lucrative ongoing contracts with the police force, critics argue that it becomes impossible for the public to hold people accountable for accepting them. Albert Fox Cahn, Founder of the Surveillance Technology Oversight Project said donations to police foundations sidestep competitors.
- Horowitz donated $2m to the Las Vegas police foundation in 2023, however, the foundation's tax filing vaguely described the 'purpose' of the donation as 'support of police.' Reports have drawn attention to the foundations' lack of transparency over who donates and where the money goes.
- Skydio, in particular, stopped selling consumer drones in 2023 and started betting its future on government, defense, and law enforcement, increasing the cost of its products. Police foundations are now stepping in to fund departments' acquisitions of these technologies, critics argue.
- While some view creating police foundations to pay for needed equipment as a necessary effort to fill budget gaps in departments nationwide, critics argue the donations are set up to favour donors. They point out that police foundations bypass procurement processes, thereby giving private citizens and corporations a way to donate money that can be used to buy things for police departments.
Read Full Article
13 Likes
For uninterrupted reading, download the app