The Government Shutdown's Lasting Impact on Tech

Your next video will start in

Recommended Videos

  • Info

  • Comments


Oct. 1 (Bloomberg) -- Engine co-founder Michael McGeary discusses the impact of the U.S. government shutdown on the technology industry. He speaks with Emily Chang on Bloomberg Television's "Bloomberg West." (Source: Bloomberg)

With government officials.

As cory johnson mentioned, so many people, industries, companies affected.

One thing we have not touched on yet is immigration, which is very important to the tech hiring process.

Explain to me what exactly the impact of the shutdown is going to be there.

The impact on immigration, theoretically, should not be too massive.

You will see it more in tourism.

These programs themselves are funded.

However, because many -- because nonessential workers work on those each day, as buildings are shutdown where those are being processed, those will start to create a backlog.

Overall with immigration and a lot of other pieces in the system, the backlogs created are what is going to be detrimental.

Companies that want to hire foreign workers may face some delays?

They may.

It should matter less on existing and for employees who are already on payroll who have been accepted and have their visas and are already working, but we do not know what this looks like after a few days or a few weeks.

How does this affect not just the process that we have now, but moving forward?

What about the fcc?

The things that you see as your emergency services, those continue, but everything else is being dialed back.

Your nonessential programs, device applications, spectrum management, these kinds of things on a skeleton staff, these things are going to get act up as well.

Even if the shutdown is just a few days on the sec side, as those programs are self funded with accepted staff working on them, you will see that backlog.

Wax what do you see as the greatest short-term impact?

The greatest is the potential long-term impact.

What i mean by that is when you drop uncertainty onto the marketplace, businesses and the markets themselves get sort of irrational.

This is seen in most marketplaces.

Small businesses specifically need that certainty of knowing that if they have a government contract, they will be able to fund it.

So, the quicker that resolution is found, the better off start up businesses, technology businesses, and businesses across the border are.

Speaking of the initial public offerings in the pipeline , what do you see as the initial potential impact?

We are hearing that twitter itself will proceed as planned.

I think they have to go forward on that track.

They do not have a choice, is what you are saying?

X they do not.

They have to assume the government will begin functioning sooner rather than later.

With the backlog, what will that look like in a few days and weeks?

They have to be prepared for all eventualities.

I do not think that it stops the march towards a successful twitter ipo.

One thing that is not necessarily bad news is the patent trademark office.

As the last guest mentioned, some of those offices will be closed, but because the employees are funded outside the normal government wanting, or through this budget process, they will continue to operate.

I have a friend who is a patent examiner who is working today and she will work tomorrow.

That will continue.

The postal service will continue . we will continue to get the mail and all of that.

These are undead outside the general boundary of the year-to-year federal government.

Research and development, science, the national institute of health, these are organizations facing pretty much a full shutdown?

It really is much more than panda cam, unfortunately.

The u.s. geological service, their website is down.

That is something we worry about in california.

Earthquake country?

Earthquakes, we cannot go there?

There monitoring services will not be updated as regularly.

We will see how long this

This text has been automatically generated. It may not be 100% accurate.


BTV Channel Finder


ZIP is required for U.S. locations

Bloomberg Television in   change