President Donald Trump has publicly called on Microsoft to fire Lisa Monaco, its new head of global affairs, putting the tech giant in an extremely difficult position. The attack on the former Democratic administration official is another example of the White House’s increasing pressure on US corporations and is part of a wider trend of hitting those perceived as political opponents.
Monaco, who joined Microsoft in July, is expected to head up the company’s relationships with governments around the world. Her extensive experience at the Department of Justice, where she served as homeland security adviser in the Obama administration and was deputy attorney general during Joe Biden’s tenure, was expected to be an asset to the company. However, it is this past that has become a source of conflict.
President Trump has described Monaco as a ‘national security risk’, pointing to the key contracts Microsoft performs for the US government. Earlier in February, her security clearances were revoked and Monaco herself was banned from federal buildings.
It is worth recalling that she played a role in coordinating the Justice Department’s response to the events of 6 January 2021. The call for her dismissal came just one day after the indictment of former FBI Director James Comey.
For Microsoft, the situation is an unprecedented challenge. The company has been trying for months to warm its relationship with the second Trump administration. CEO Satya Nadella recently attended a dinner with the president at the White House, and the technology industry, previously accused by Republicans of bias, has actively sought a platform for dialogue.
Now the board in Redmond faces a difficult choice. Bowing to pressure and firing Monaco would set a dangerous precedent and could be perceived as capitulation to political pressure. But ignoring the president’s demand risks escalating the conflict, which could jeopardise billions of dollars worth of government contracts and expose the company to further attacks.
The case of Microsoft is the latest example of the Trump administration’s broader strategy of unprecedented interference in the affairs of corporate America. Previous examples of pressure include Intel, whose CEO had to step down, and Disney, whose ABC station suspended the Jimmy Kimmel show for several days.
The latest move by the White House is a wake-up call for the entire tech industry – in the current political climate, any personnel decision can become a high-stakes battleground. Microsoft, for now, declined to comment.
