Podcast Summary: Bloomberg Talks
Episode: California Governor Gavin Newsom (D) Talks Donald Trump, ICE
Date: January 29, 2026
Host: Bloomberg
Guest: Governor Gavin Newsom
Main Theme & Purpose
This episode features an in-depth interview with California Governor Gavin Newsom, focusing on his response to events in Minnesota, his critiques of the Trump administration—particularly regarding federal enforcement actions, ICE, and political polarization—California’s economic and social policies, and his perspectives on the broader U.S. and global political climate. The discussions blend current headlines with longer-term reflections on democracy, governance, innovation, and economic justice.
Key Discussion Points & Insights
1. National Guard, Federal Intervention, and Election Tensions
(00:23–05:44)
- Newsom draws direct lines between recent unrest in Minnesota, federalized military interventions in California, and actions he describes as intimidation ahead of the last midterms.
- Describes incidents where federal tactical teams (BORTAC) were sent to chill free speech and suppress voter turnout, referencing incidents at Dodger Stadium and Little Tokyo.
- Argues that the Trump administration is normalizing authoritarian tactics and undermining public trust in elections, stating, "He tried to light democracy on fire when he lost the election, tried to light it on fire, tried to destroy this democracy." (04:26)
- Asserts that current tactics are purposeful: “These guys are not screwing around.” (01:47)
2. Government Shutdowns and ICE/DHS Reform
(03:22–05:44)
- Newsom firmly rejects the idea of shutting down the government as leverage: “It's not an option. You want your republic... It's not an option.” (03:33)
- Expresses grave concern over threats to democracy, misuse of law enforcement, and weaponization of federal agencies, referencing masked federal operatives terrorizing communities and the real consequences, including “People dying, quite literally now. Dying.” (04:31)
3. Political Critique and Media Manipulation
(05:44–08:16)
- Warns about potential retaliation against California for his opposition to Trump, but pledges to stand on principle: “I guess we can roll over, kiss the ring, put on some knee pads... or we can stand on principle. The rule of law, not the rule of dawn.” (05:58)
- Points to the normalization of outrageous behavior from Trump and allies, including the spread of AI-generated disinformation and viral conspiracy theories targeting political adversaries.
- Shares: “Last night he did 56 true socials in 60 minutes... The president of the United States... it should alarm you.” (07:09)
- References federal misinformation campaigns and the difficulty of fighting viral untruths.
4. Investigations and Accusations of Waste, Fraud, and Abuse
(08:16–11:51)
- Defends California’s record in combating fraud, highlighting introduction of ID.me and significant clawbacks, prosecution of fraudsters, and innovations like pay-by-touch EBT cards.
- Asserts that federal investigations into California are more political than substantive, distinguishing state efforts from what he argues is selective federal targeting of Democratic-led states: “This is about the polarization plus politicalization, weaponization... of agencies the likes of which we've never seen...” (11:34)
5. California’s Economic Record and Challenges
(11:51–16:06)
- Corrects interviewer on his term length (he's been governor for seven years, not eleven): “Full term governor, but it's also 11 years. It feels like 11, but it's been just seven.” (12:00)
- Defends California’s economic strength:
- 4th largest economy in the world.
- Surge in Fortune 500 companies headquartered in CA.
- Robust output in agriculture, manufacturing, AI, and tech.
- Admits long-time struggles with housing supply, affordability, and higher unemployment (structurally higher since the Reagan era), but highlights reforms and accountability units designed to address underlying causes.
6. Affordability and Cost-of-Living Policies
(14:50–18:44)
- Stresses investments to address childcare, preschool, prescription drug costs, and tax rebates.
- Notable statistics:
- “We created a brand new grade preschool for all saving people $18,000.”
- “We did the biggest expansion…on child care subsidies.”
- “$18 billion tax rebate to address those costs.”
- Describes progress on permitting reform for large-scale energy and housing projects.
- Details efforts to handle utility issues, wildfire management, and forest health—calls out decades of neglect, and new grid regionalization efforts to lower utility prices.
7. Regulatory Reform and Federal-State Tensions
(18:44–23:04)
- On breaking up PG&E: Newsom says they now have more accountability but is “not convinced” that state control is the solution. (18:50)
- Rebuts Trump’s criticism of CA’s handling of permitting and disaster recovery as “madness,” with the state far outpacing federal response after major disasters.
- Praises bipartisan support for disaster supplemental funding.
8. U.S. Global Standing, Trump, and Repairing Alliances
(23:04–26:47)
- Newsom discusses the end of the “rules-based global order,” echoing Canadian PM Mark Carney and Indian officials: “this wrecking ball presidency is jaw dropping…” (24:08)
- Cites overwhelming international concern about U.S. unpredictability: “Universal condemnation. They said sometimes you were unpredictable but never this unreliable, It's a wrecking ball presidency.” (24:38)
- Argues that repairing alliances requires leadership, humility, and time: “Destruction is not strength, it’s weakness masquerading as strength. That’s all Trump is, weakness masquerading as strength.” (25:35)
9. Behind the Scenes with Trump & Political Adversaries
(26:47–28:43)
- Shares a candid, somewhat humorous account of a closed-door meeting with Trump before the National Guard was federalized in California—the President mostly wanted to talk about “how many hats he had sold.”
- “He had no interest in LA, wanted to talk about how many hats he had sold.” (27:15)
- “It should amaze all of you that the President of the United States…operates as he does.” (27:38)
- Notes the “shock and awe” nature of politics and the normalization of extreme behavior.
10. The Wealth Tax and Medi-Cal Funding
(28:43–35:13)
- Firmly opposes California Health Care Union’s 5% wealth tax proposal targeting billionaires, warning of unintended consequences: capital flight, decreased long-term tax revenue, and reduced spending on core public services.
- “The impact of a one time tax does not solve an ongoing structural challenge…” (30:15)
- Emphasizes California’s already-progressive tax system, prefers sustainable, inclusive reforms.
- Recognizes deep economic inequality as “the oldest and most fatal ailment of all republics.” (31:11)
- Open to exploring universal basic capital and “pre-distribution” strategies for equity.
- On engagement with billionaires: “I've met with people that feel they're being attacked because of it. People that have no problem paying more income tax, people that literally are giving away all of their money but want to do it on the timeline that their family is approved...” (36:06)
11. State Politics, Democratic Opposition, & Lawsuits
(37:34–39:16)
- Responds to questions about Democratic critics, notably San Jose Mayor Matt Mahan: underscores his strategy of legal opposition to Trump’s actions, organization with other governors, and state-level alliances.
- “53 lawsuits wildly successful...Organizing with other governors...The west coast offense with governors of other Western states for healthcare...” (38:14)
12. The AI Boom and Budget Implications
(39:16–42:31)
- Asks whether we’re in an AI bubble: “Are we in a bubble? Are we not in a bubble?...the boom bust will lead to...this new platform that will change everything in more ways on more days.” (40:05)
- Stresses California’s national leadership on AI regulation and points to capital gains spikes as a major factor in state budget volatility.
- Mentions plans for "universal basic capital" as a possible pre-distributive approach to economic anxiety.
13. State vs Federal Law Enforcement & ICE
(42:32–44:55)
- California is expanding state and local authority to investigate misconduct by federal officers, including ICE and border agents.
- Newsom supports unmasking federal operatives to build community trust: "...this paramilitary outfit scares the hell out of me and I imagine scares the hell out of you and sure as hell has communities on edge..." (43:50)
14. Legislation on ICE, Immigration Centers, and Public Jobs
(44:55–45:43)
- Non-committal but open-minded regarding bills banning ICE officials from CA public employment and taxing immigration centers, pending legal review.
15. Newsom’s Future & Closing Reflections
(45:43–49:19)
- Jokes about being “a 59 year old unemployed man” soon (45:51), expresses pride in his term,
- “But public service is the most precious and no matter what happens, that is never going to escape me.” (48:41)
- Emphasizes global nature of California’s economy, the importance of international affairs in state governance, and his entrepreneurial background.
Notable Quotes & Memorable Moments
- “He tried to light democracy on fire when he lost the election, tried to light it on fire, tried to destroy this democracy. He's trying to ruin our republic. He's trying to torch it.” – Gavin Newsom, (04:26)
- “I guess we can roll over, kiss the ring, put on some knee pads, do what the universities, the law firms do... or we can stand on principle. The rule of law, not the rule of dawn.” – Newsom, (05:58)
- “Universal condemnation. They said sometimes you were unpredictable but never this unreliable, It’s a wrecking ball presidency.” – Newsom on international views of the U.S., (24:38)
- “Destruction is not strength, it’s weakness masquerading as strength. That’s all Trump is, weakness masquerading as strength.” – Newsom, (25:35)
- “He had no interest in LA, wanted to talk about how many hats he had sold…” – Newsom on Trump, (27:15)
- “The imbalance between the rich and the poor is the oldest and most fatal ailment of all republics. That was Plutarch 2000 years ago.” – Newsom, (31:11)
- “I mean we are universal state in every way, shape or form. What's happening around the globe impacts California disproportionately.” – Newsom, (47:12)
Important Timestamps
- 00:23 – Minnesota unrest & National Guard interventions
- 02:58 – On the predictability of unrest and federal crackdowns
- 03:29 – Government shutdown as a negotiation tactic: “not an option.”
- 05:58 – Whether Newsom fears retribution for criticizing Trump: “stand on principle...rule of law, not the rule of dawn.”
- 08:35 – Defends California’s anti-fraud record, accuses federal politicization
- 12:24 – Newsom makes case for California’s economic progress
- 14:57 – Tackling affordability: childcare, housing, and energy policies
- 18:50 – PG&E accountability and state control
- 23:36 – Rules-based global order, alliances, and Trump’s impact
- 27:07 – Behind-the-scenes exchange with Trump about “hats”
- 28:43 – On California’s billionaire wealth tax proposal
- 36:06 – Engaging with billionaires on tax policy and philanthropy
- 39:42 – On the AI boom and CA’s role in regulation
- 43:50 – Concerns regarding federal law enforcement: “paramilitary outfit scares the hell out of me...”
- 45:51 – Newsom on his impending exit as Governor
Tone and Style
Newsom’s tone is direct, intellectual, often impassioned, sometimes sarcastic, and not above a well-timed quip or pointed rhetorical flourish. He draws on historical references, detailed statistics, and personal anecdotes to reinforce his arguments, while the interviewer maintains a challenging but conversational tone. The exchange oscillates between policy deep-dives, political critique, and moments of comic relief.
This summary covers the full scope of the content-rich, candid conversation, highlighting the current political and policy stakes in California and the U.S. as a whole.