Move Fast and Break Things Summary

"Who will stop me?" This question, featured prominently by Silicon Valley's libertarians, encapsulates the unchecked power tech giants wield over our lives, economies, and societies.

1. Government Pioneered the Internet, Not the Free Market

Contrary to common belief, the roots of the internet are deeply tied to government funding and collaboration, not private entrepreneurship. The internet's initial development began in 1968 with the NLS system created by Doug Engelbart, incorporating now-familiar elements like graphics, video conferencing, and the mouse. Engelbart's work was possible only because of DARPA, a government initiative aimed at funding projects with military applications.

This system laid the groundwork for ARPANET, the world’s first online network using the foundational TCP/IP protocol—still essential today. Similarly, government-driven Bell Labs in the mid-1900s introduced key innovations like the transistor, microchip, and cell phone that are now fundamental to tech.

Yet, society now widely assumes that the free market is solely responsible for driving technological breakthroughs. This overlooks the significant role publicly funded initiatives have played, supported by taxpayer dollars, in enabling these revolutionary advancements.

Examples

• Doug Engelbart created the NLS system through DARPA funding.
• ARPANET, the precursor to the internet, relied on government-developed tools.
• Bell Labs produced inventions like the transistor under FCC-guided initiatives.

2. Libertarianism Influences the Tech World

Silicon Valley is steeped in libertarian philosophy, with figures like Peter Thiel treating Ayn Rand’s ideas, like “selfishness is a virtue,” as guiding principles. Alan Greenspan and Milton Friedman’s economic theories further reinforced this ethos, advocating laissez-faire policies and minimal taxation.

PayPal founder Peter Thiel spearheaded this approach, using his company to bypass traditional banking rules and encourage unregulated financial activities. His success influenced others in Silicon Valley, including “PayPal Mafia” alumni who started notable firms like YouTube and LinkedIn. Likewise, Jeff Bezos’ Amazon leveraged tax loopholes stemming from a 1992 Supreme Court ruling to avoid millions in state taxes, undermining local businesses across the U.S.

This mentality drives tech behemoths today, prioritizing profits over public accountability while evading regulations—a dangerous combination for society.

Examples

• Peter Thiel used Ayn Rand’s quote, “Who will stop me?” as PayPal’s operating mantra.
• Amazon avoided state taxes via a Supreme Court loophole, bankrupting smaller retailers.
• Google and Facebook’s operations follow the same laissez-faire template.

3. Tech Companies Exploit Monopolistic Practices

The grip of monopolies continues to tighten, making healthy competition nearly extinct. Google controls 88% of search advertising, while Facebook dominates 77% of social media. These monopolies echo historical examples, such as the East India Company, which leveraged its unchecked power to devastate farmers in British-dominated regions.

Legal protections against monopolies, like the Sherman Act of 1890, were introduced to counter such imbalances. However, anti-monopoly enforcement waned after Robert Bork argued monopolies actually served consumer interests. His ideas drastically reduced the application of antitrust measures, empowering tech giants to expand unchecked.

Without robust antitrust oversight, innovation suffers, and consumers face fewer choices, higher costs, and less transparency.

Examples

• Google owns five of the web’s leading platforms and is the largest advertising broker.
• Facebook dominates online communication with over 1.2 billion users logging in daily.
• Historical monopolies like Standard Oil faced government intervention under Teddy Roosevelt but today's tech companies evade similar scrutiny.

4. Tech Giants Trap Creators in Unfair Systems

Artists and creators face financial hardship due to corporate monopolies in digital media. Piracy further aggravates this loss. Websites like Kim Dotcom’s Megaupload enabled rampant file-sharing, earning billions while depriving musicians and filmmakers of fair revenue.

The Band’s Levon Helm exemplifies this struggle. Once earning $100,000 annually from royalties, Helm saw that income vanish post-Napster’s rise. Piracy siphons an estimated $2 billion yearly from entertainment revenues, forcing many artists into live gigs simply to stay afloat.

These platforms promote the illusion of free content while their unethical practices decimate the livelihoods of creators whose works they exploit.

Examples

• Megaupload profited by sharing 12 billion illegal files.
• Piracy-related revenue losses force creators like Levon Helm into financial struggles.
• Each year, the music, TV, and film industries lose billions due to illegal downloads.

5. "Free" Services Exploit and Mine Data

Tech companies exploit user data under the guise of providing free services. Gmail, for instance, introduced “free” email with unlimited storage. However, Google scans all emails to feed its targeted advertising model, treating users’ private messages as a business resource.

This profit-driven approach permeates platforms like Facebook. With billions of users uploading daily, Facebook extracts and monetizes personal habits and preferences, wielding unparalleled influence. Even services like Beacon, which tracked users’ activity on outside purchases, were launched without consent until public outrage forced Facebook to reconsider.

Users unknowingly pay in privacy what they assume to be freely available.

Examples

• Google’s Gmail reads user emails to design ad campaigns.
• Facebook harvests user data, creating "40,000 years" worth daily.
• Apps like Beacon release user details without explicit permission.

6. Tech Corporations Influence Politics

Companies like Google and Amazon don’t just dominate the market—they shape laws and public policy. Google spends millions lobbying Washington each year, focusing on legal loopholes that maintain its dominance. This network extends deeper: dozens of ex-Google employees now hold governmental roles, demonstrating their reach into regulation.

In 2012, Google led public resistance against SOPA, which aimed to curb online piracy. By leveraging its platform to sway public opinion against the bill, Google ensured the continuation of illegal uploads—an activity that drives search traffic and ad revenue.

Corporate interests increasingly determine policy outcomes, relegating public needs to the backburner.

Examples

• Google spends $15 million annually lobbying U.S. lawmakers.
• Fifty-three former Google employees work in federal government jobs.
• SOPA's withdrawal was directly tied to Google’s lobbying efforts.

7. Communities Can Make a Stand

Resistance against tech conglomerates is possible when communities unite. Chattanooga, Tennessee, rejuvenated its economy by building its own internet infrastructure. This fiber-optic grid threatened Comcast’s monopoly, sparking lawsuits from the corporate giant. United action from Chattanooga’s people defended the grid, setting a valuable precedent.

Art and literature can also inspire resistance. Aldous Huxley’s Brave New World warned of an overwhelmed society where information overload numbs critical thinking. Declining intellectual engagement eerily reflects the impact of the internet today.

Communities must remain committed to finding local solutions and rejecting external corporate pressures.

Examples

• Chattanooga built a community-powered internet grid.
• Comcast unsuccessfully sued to block the city’s fiber-optic network.
• Aldous Huxley’s fiction has prompted reflection on data saturation.

8. Artists Could Regain Control with Cooperatives

Artists can carve out better futures by forming cooperatives. Historically, groups like Magnum Photos proved it was possible for creators to successfully retain ownership of their work. They licensed their images globally without relying on centralized institutions.

Musicians could emulate this model. For example, Bandcamp lets artists sell music directly before moving to streaming sites. Control over content distribution would increase earnings, allowing artists to thrive without ceding power to middlemen like Spotify.

This collaborative approach presents a promising model to dismantle tech giants’ undue influence.

Examples

• Magnum Photos retained ownership rights across generations.
• Bandcamp lets musicians sell directly before moving to cheaper platforms.
• Spotify Premium could supplement Bandcamp revenue strategies.

9. We Must Reimagine the Internet's Future

Without collective action, tech companies will continue exploiting creators, undermining democratic processes, and profiting from illegal activity. By reclaiming an internet built around cooperation instead of exploitation, society can push back against the unbridled influence of powerful corporations.

Chattanooga’s fiber grid and co-operative art collectives reflect what’s possible when people take control. Beyond individual solutions, systemic advocacy from citizens can create policies limiting monopolistic practices, increasing transparency, and restoring user privacy.

The fight to reclaim online independence is challenging but essential.

Examples

• Cooperative groups like Magnum Photos demonstrate creator-driven systems.
• Chattanooga’s internet grid proved local solutions disrupt monopolies.
• Campaigns like SOPA's show public will drives political outcomes.

Takeaways

1. Support artistic cooperatives and platforms like Bandcamp or co-op-style photo and music collectives.
2. Advocate for stronger anti-monopoly regulations by voicing concerns to policymakers.
3. Protect your data by scrutinizing the privacy policies of "free" services.