Democrats Win Texas Senate and Governor Seats in Midterm Upset
Democrats captured both chambers of the Texas legislature and won the governor's race, marking the first statewide Democratic victories in decades, prompting mixed reactions from the tech community.
Democrats secured control of the Texas House and Senate on Tuesday, and voters elected James Talarico to the state Senate and Gina Hinojosa as governor. The victories represent the first statewide Democratic wins in Texas since the early 1990s, with Talarico becoming the first Democrat to win a Texas Senate seat since 1988.
The outcomes surprised many in the technology sector, a group that had previously been drawn to Texas for its deregulation and lower taxes. Elon Musk, CEO of Tesla and SpaceX, posted on X that data centers in space now look appealing. Tech investor Jason Calacanis expressed disappointment on X, noting he had not expected Texas to shift politically. Co-host Chamath Palihapitiya warned on a livestream that the AI trade could be jeopardized if power supplies in West Texas were affected.
Alex Cohen, CEO of AI-healthcare firm Hello Patient, posted a brief comment on X about the impact on AI development. In contrast, LinkedIn co-founder Reid Hoffman, a known Democratic donor, described the midterm results, including the Texas races, as a significant pushback against President Trump and his allies.
Several prominent Texas-based tech figures, such as David Sacks, Travis Kalanick and Lane Kasselman, have not publicly commented on the election outcomes.