Google, Facebook, the New Monopolies and Silicon Valley Ideologues

• Main Author: Enrico Pedemonte
• Format: Article
• Language: English
• Published: Aracne editrice 2016-07-01
• Series: DigitCult@Scientific Journal on Digital Cultures
• Online Access: http://www.digitcult.it/index.php/dc/article/view/11

This article addresses the issues posed by the de facto monopolies created by digital platforms, focusing in particular on the cases of Google and Facebook. These two companies have assumed a dominant position in the fields of online research and of social networks. An analysis of their activity performed so far by the antitrust Authorities in the US and Europe shows the difficulty of dealing with these situations when applying methods which have traditionally been used to address questions of monopoly. The new element, compared to the past, is constituted by the huge data archives in possession of these companies: it’s the information on users to give Google and Facebook the ability to provide more competitive and customized services. Some scholars believe that it is necessary to regulate data collection, to redefine their property or even to oblige the dominant companies to share data with competitors. Others argue that “attention market” should be regulated, where a consumer’s attention is a scarce resource in the age of abundant information. However others believe that in the new world of the web and digital platforms the old categories of the economy are obsolete and monopolies are the natural and desirable outcome of the markets. The outcome of this battle will depend on the structure of economic power and the role of consumers in the near future. Video Extension Click on the thumbnail below for the video extension on YouTube.