Billionaire Tom Steyer jumps into wild California governor race

Sacramento, California – Tom Steyer has always been more comfortable writing checks than writing political narratives. But on Wednesday, the San Francisco billionaire and environmental activist stepped back into the arena, announcing he will join the crowded race to become California’s next governor — a contest already defined by uncertainty, ambition, and an unusually large field.

Steyer, 68, enters a race in which no candidate has yet managed to break away from the pack. Term limits prevent Gov. Gavin Newsom from running again, forcing California Democrats to confront the rare prospect of an open gubernatorial seat in a state where political power tends to calcify. With just over six months until the June primary, eight Democrats and two Republicans have announced campaigns, and more are expected.

Steyer begins with two things that matter in a state as large and expensive as California: name recognition and money. While he is hardly a household name, his high-profile and heavily self-funded 2020 presidential bid — which included millions spent on television ads and an unexpectedly strong third-place finish in South Carolina — ensures he won’t start from scratch. And his personal fortune, estimated at $2 billion, gives him a financial advantage that theoretically allows him to compete everywhere at once.

“There’s a reason everybody comes here to start businesses,” Steyer said in his launch video. “Because this is the place that invents the future.”

That framing — of California as a national proving ground — is a familiar one for Steyer, who has spent the past decade weaving himself into the state’s policy fights. He donated millions to ballot initiatives on climate policy, tobacco taxes, and clean-energy school upgrades. His “Need to Impeach” campaign against Donald Trump, launched during Trump’s first term, garnered millions of signatures and turned him into a fixture on cable news.

More recently, Steyer poured $12 million into ads supporting Proposition 50, the redistricting ballot measure that California Democrats passed this month to counter Trump’s efforts to gerrymander Republican-controlled states.

But political history in California is littered with wealthy candidates who spent big and still lost. Rick Caruso’s $100 million bid for Los Angeles mayor failed in 2022. Meg Whitman and Carly Fiorina both spent heavily in 2010 and were defeated. Money can buy airtime, but it can’t buy trust — and in California politics, voters expect both.

That reality looms over another billionaire in the race: Stephen Cloobeck. The hotel magnate has put $13 million into his campaign, yet his support in a recent UC Berkeley poll registered below 0.5 percent — not even enough to merit a number. Steyer, in the same poll, sits at 1 percent.

The broader field reflects the Democrats’ organizational uncertainty. Katie Porter’s support has slipped amid viral videos showing her berating staff. Alex Padilla and Kamala Harris, both once considered possible candidates, opted out earlier this year. Meanwhile, big names like Antonio Villaraigosa, Xavier Becerra, and Betty Yee are struggling to stand out.

Republicans are likely to consolidate around either Steve Hilton, a conservative commentator and former Fox News host, or Riverside County Sheriff Chad Bianco — though in deep-blue California, the GOP remains a long shot.

Steyer says he intends to make California’s staggering cost of living the centerpiece of his campaign, including a push for more affordable housing and a plan to break up utility monopolies to lower electricity bills. Those are issues with broad resonance, but also long political histories and entrenched opposition.

Still, in a race where 44 percent of voters remain undecided, Steyer’s candidacy adds another unpredictable variable. In a state this large, a late-breaking surge is not impossible — but neither is a well-funded flameout.