While computer companies have traditionally never been major Washington players, they are increasing their political presence. One example of a company that has stepped up its involvement in campaign financing is Oracle Corp, which formed its PAC only a year ago and gave more PAC contributions in the first six months of 1997 than in all of 1996. The industry has also learned to use sophisticated giving techniques such as bundling, in which a particular organization or interest group gives a cluster of contributions to a particular candidate over a specific period of time.
Computer companies have ample reason to involve themselves in the legislative process.
Computer companies have a stake in a number of issues including securities litigation reform, taxation, encryption exports, and copyright laws. The industry already has won over the Clinton administration on the issue of taxes. The computer industry has largely lauded the administration's stance. Computer companies also fared well in the tax bill signed by Clinton in August, getting a long sought tax break on software exports and an extension of the research and development tax credit. A major impetus for the computer industry's political involvement was a 1996 California ballot initiative that could have made the industry more vulnerable to shareholder lawsuits.