California Billionaire Tax Vote Divides Democrats Ahead of 2028 Race

California is gearing up for a high-stakes vote that could ripple across the entire country. This fall, voters will decide on Proposition 40, a one-time 5% tax on the state's billionaires. The measure has already sparked one of the priciest ballot campaigns in the nation, with about $100 million spent on ads so far. Tech giants like Google co-founder Sergey Brin are leading the charge against it, while labor groups such as SEIU-United Healthcare Workers West are pushing hard in favor.

The split within the Democratic Party is clear. Governor Gavin Newsom and former Health Secretary Xavier Becerra oppose the tax, while progressive figures like Rep. Ro Khanna and billionaire activist Tom Steyer support it. Other top Democrats, including Kamala Harris, Nancy Pelosi, and Alex Padilla, have stayed quiet. A recent poll shows 48% of likely voters back the measure, 38% oppose it, and 14% are undecided. Among Democrats alone, 67% say they'll vote yes.

One big worry from opponents is that rich residents might leave California if the tax passes. But the same poll found that 59% of voters aren't concerned about that possibility. For progressives, a win here could energize their base heading into the 2028 presidential race. A national NBC News poll recently found that taxing the wealthy is one of the most popular positions among voters.

Meanwhile, President Donald Trump is trying to calm public fears about artificial intelligence. He hosted a White House lunch with top tech leaders, where they discussed voluntary AI regulations. Trump, known for rebranding ideas, signed an executive order aimed at reassuring Americans about the rapid rise of AI technology. The move comes as AI becomes a central issue in both politics and business.