Billionaire environmental activist Tom Steyer invested more than $215 million of his personal fortune in a bid for California's governorship, yet his efforts fell short. On Tuesday, The Associated Press projected that conservative commentator Steve Hilton would surpass Steyer and advance in the gubernatorial race. As of Thursday, the latest results showed former Health and Human Services Secretary Xavier Becerra leading with 28% of the vote, Hilton at 24.9%, and Steyer trailing in third place at 22.6%.
Self-Funding in House Race Also Falls Short
Similarly, Saikat Chakrabarti, a former chief of staff to Rep. Alexandria Ocasio-Cortez (D-N.Y.), placed third in the House primary for California's 11th congressional district after injecting nearly $10 million of his own money into the contest. The latest tallies had State Sen. Scott Wiener at 40.8%, San Francisco Supervisor Connie Chan at 29.7%, and Chakrabarti with just 17.8%.
Experts Weigh In on Campaign Spending Limits
Political experts note that heavy campaign spending can boost candidates but has significant limitations. Funding can enhance name recognition but does little to improve favorability, according to Jason McDaniel, a political science professor at San Francisco State University, who spoke to HuffPost. "Campaign spending is ads, it's staff, it's precinct walkers, it's all organizational stuff, data, all that," McDaniel said. Steyer spent $209 million on television ads, introducing himself to voters and promoting progressive policies like breaking up utilities. Chakrabarti, also running on a progressive platform, focused on confronting the Democratic Party and invested heavily in voter outreach, employing over 250 paid canvassers to engage residents door-to-door.
"The money could not substitute for… voters' experience with you, previous favorable ratings, trusting," McDaniel added.
Opponents Leverage Experience and Endorsements
In both races, Steyer and Chakrabarti's opponents emphasized their public office backgrounds and endorsements to highlight experience and local ties. Becerra, Steyer's main Democratic rival, pointed to his tenure as California's attorney general, a former House member, and a former Cabinet official, expertise that resonated with supporters. In the House race, Wiener and Chan cited endorsements from local Democratic officials and labor groups. Chan received a late boost when House Speaker Emerita Nancy Pelosi (D-Calif.), the incumbent in the seat, backed her. Neither Steyer nor Chakrabarti had held public office, so they positioned themselves as outsiders ready to challenge the status quo. This message appealed to voters seeking change but likely deterred those favoring their opponents' credentials.
Wealth and Self-Funding Draw Scrutiny
Steyer and Chakrabarti's wealth and self-funding invited skepticism from voters wary of supporting a billionaire or centimillionaire. Their opponents accused them of trying to buy elections. Steyer also faced criticism for past investments in fossil fuels and private prisons, conflicting with his progressive platform. Steyer later stated those investments "clearly didn't align with my values," and his former firm divested from private prison holdings. His campaign also noted that the hedge fund had screened out fossil-fuel-related investments from his portfolio. Both candidates criticized corporate support for their opponents and pointed to attacks from groups linked to tech leaders and energy companies. Steyer said he wasn't "conflicted by taking money from corporations," and Chakrabarti framed self-funding as an alternative to relying on big donors. They described themselves as "class traitors" advocating for taxing the rich.
"I think the money that they spent, they had a hard time overcoming that presumption of self-funder, you know, in a time when a lot of people in the Democratic Party are just skeptical of very rich people," McDaniel said.
Other Factors Influence Success
McDaniel noted that candidate success depends on other variables. "If the candidates [Steyer] faced were different, if it was a different year, maybe that money is enough," he said. For instance, San Francisco Mayor Daniel Lurie successfully self-funded his 2024 campaign as an outsider, aided by voters' openness to an anti-incumbent message and a struggling opponent. Another California contest involving a self-funding candidate remains undecided. Eric Jones, a former venture capitalist who invested nearly $5 million in a progressive challenge to incumbent Rep. Mike Thompson (D-Calif.), is competing for second place in the primary for California's 4th congressional district.
