Month: January 2024

In an interview with The Register, author and activist Cory Doctorow offers potential solutions to stop “enshittification,” an age-old phenomenon that has become endemic in the tech industry. It’s when a platform that was once highly regarded and user-friendly gradually deteriorates in quality, becoming less appealing and more monetized over time. Then, it dies. Here’s an excerpt from the interview, conducted by The Register’s Iain Thomson: […] Doctorow explained that the reasons for enshittification are complex, and not necessarily directly malicious — but a product of the current business environment and the state of regulation. He thinks the way to flush enshittification is enforcing effective competition. “We need to have prohibition and regulation that prohibits the capital markets from funding predatory pricing,” he explained. “It’s very hard to enter the market when people are selling things below cost. We need to prohibit predatory acquisitions. Look at Facebook: buying Instagram, and Mark Zuckerberg sending an email saying we’re buying Instagram because people don’t like Facebook and they’re moving to Instagram, and we just don’t want them to have anywhere else to go.”

The frustrating part of this is that the laws needed to break up the big tech monopolies that allow enshittification, and encourage competition, are already on the books. Doctorow lamented those laws haven’t been enforced. In the US, the Clayton Act, the Federal Trade Act, and the Sherman Act are all valid, but have either not been enforced or are being questioned in the courts. However, in the last few years that appears to be changing. Recent actions by increasingly muscular regulatory agencies like the FTC and FCC are starting to move against the big tech monopolies, as well as in other industry sectors. What’s more, Doctorow pointed out, these are not just springing from the Democratic administration but are being actively supported by an increasing number of Republicans. He cited Lina Khan, appointed as chair of the FTC in part thanks to the support of Republican politicians seeking change (although the GOP now regularly criticizes her positions).

The sheer size of the largest tech companies certainly gives them an advantage in cases like these, Doctorow opined, noting that we’ve seen this in action more than 20 years ago. “Think back to the Napster era, and compare tech and entertainment. Entertainment was very concentrated into about seven big firms and they had total unity and message discipline,” Doctorow recalled. “Tech was a couple of hundred firms, and they were much larger — like an order of magnitude larger in aggregate than entertainment. But their messages were all over the place, and they were contradicting each other. And so they just lost, and they lost very badly.” Doctorow discusses the detrimental effects of mega-companies on innovation and security, noting how growth strategies focused on raising costs and reducing value can lead to vulnerabilities and employee demoralization. “Remember when tech workers dreamed of working for a big company before striking out on their own to put that big company out of business? Then that dream shrank to working for a few years, quitting and doing a fake startup to get hired back by your old boss in the world’s most inefficient way to get a raise,” he told the Def Con crowd last August. “Next it shrank even further. You’re working for a tech giant your whole life but you get free kombucha and massages. And now that dream is over and all that’s left is work with a tech giant until they fire your ass — like those 12,000 Googlers who got fired six months after a stock buyback that would have paid their salaries for the next 27 years. We deserve better than this.”

Additionally, Doctorow emphasizes the growing movement toward labor organizing in the tech industry, which could be a pivotal factor in reversing the trend of enshittification. “We’re so much closer to tech unionization than we were just a few years ago. Yeah, it’s still nascent, and yes, it’s easy to double small numbers, but the strength is doubling very quickly and in a very heartening way,” Doctorow told The Register. “We’re really at a turning point. And some of it is coming from the kind of solidarity like you see with warehouse workers and tech workers.”

Ultimately, Doctorow argues it should be possible to reintroduce a more competitive and innovative tech industry environment, where the interests of users, employees, and investors are better balanced.

Read more of this story at Slashdot.

In an interview with The Register, author and activist Cory Doctorow offers potential solutions to stop “enshittification,” an age-old phenomenon that has become endemic in the tech industry. It’s when a platform that was once highly regarded and user-friendly gradually deteriorates in quality, becoming less appealing and more monetized over time. Then, it dies. Here’s an excerpt from the interview, conducted by The Register’s Iain Thomson: […] Doctorow explained that the reasons for enshittification are complex, and not necessarily directly malicious — but a product of the current business environment and the state of regulation. He thinks the way to flush enshittification is enforcing effective competition. “We need to have prohibition and regulation that prohibits the capital markets from funding predatory pricing,” he explained. “It’s very hard to enter the market when people are selling things below cost. We need to prohibit predatory acquisitions. Look at Facebook: buying Instagram, and Mark Zuckerberg sending an email saying we’re buying Instagram because people don’t like Facebook and they’re moving to Instagram, and we just don’t want them to have anywhere else to go.”

The frustrating part of this is that the laws needed to break up the big tech monopolies that allow enshittification, and encourage competition, are already on the books. Doctorow lamented those laws haven’t been enforced. In the US, the Clayton Act, the Federal Trade Act, and the Sherman Act are all valid, but have either not been enforced or are being questioned in the courts. However, in the last few years that appears to be changing. Recent actions by increasingly muscular regulatory agencies like the FTC and FCC are starting to move against the big tech monopolies, as well as in other industry sectors. What’s more, Doctorow pointed out, these are not just springing from the Democratic administration but are being actively supported by an increasing number of Republicans. He cited Lina Khan, appointed as chair of the FTC in part thanks to the support of Republican politicians seeking change (although the GOP now regularly criticizes her positions).

The sheer size of the largest tech companies certainly gives them an advantage in cases like these, Doctorow opined, noting that we’ve seen this in action more than 20 years ago. “Think back to the Napster era, and compare tech and entertainment. Entertainment was very concentrated into about seven big firms and they had total unity and message discipline,” Doctorow recalled. “Tech was a couple of hundred firms, and they were much larger — like an order of magnitude larger in aggregate than entertainment. But their messages were all over the place, and they were contradicting each other. And so they just lost, and they lost very badly.” Doctorow discusses the detrimental effects of mega-companies on innovation and security, noting how growth strategies focused on raising costs and reducing value can lead to vulnerabilities and employee demoralization. “Remember when tech workers dreamed of working for a big company before striking out on their own to put that big company out of business? Then that dream shrank to working for a few years, quitting and doing a fake startup to get hired back by your old boss in the world’s most inefficient way to get a raise,” he told the Def Con crowd last August. “Next it shrank even further. You’re working for a tech giant your whole life but you get free kombucha and massages. And now that dream is over and all that’s left is work with a tech giant until they fire your ass — like those 12,000 Googlers who got fired six months after a stock buyback that would have paid their salaries for the next 27 years. We deserve better than this.”

Additionally, Doctorow emphasizes the growing movement toward labor organizing in the tech industry, which could be a pivotal factor in reversing the trend of enshittification. “We’re so much closer to tech unionization than we were just a few years ago. Yeah, it’s still nascent, and yes, it’s easy to double small numbers, but the strength is doubling very quickly and in a very heartening way,” Doctorow told The Register. “We’re really at a turning point. And some of it is coming from the kind of solidarity like you see with warehouse workers and tech workers.”

Ultimately, Doctorow argues it should be possible to reintroduce a more competitive and innovative tech industry environment, where the interests of users, employees, and investors are better balanced.

Read more of this story at Slashdot.

Read More