A secret history of the industrial wars behind the rise and fall of the twentieth century’s great information empires—Hollywood, the broadcast networks, and AT&T—asking one big question: Could history repeat itself, with one giant entity taking control of American information? Most... read more
“It is an underacknowledged truism that, just as you are what you eat, how and what you think depends on what information you are exposed to.”
“Of course the human urge to speak, create, build things, and otherwise express oneself for its own sake, without expectation of financial reward, is hardly new. In an age that has radically commoditized content, it is well to remember that Homer had no expectation of royalties.”
“This is the essential weakness of a centralized approach to innovation: the notion that it can be a planned and systematic process, best directed by a kind of central intelligence; that it is simply of <sic> matter of assembling all the best minds and putting them to work in unison. Were it so, the future could be planned and executed in a scientific manner.”
“Yet if all resources for solving any problem are directed by a single, centralized intelligence, that mastermind has to be right in predicting the future if innovation is to proceed effectively. And that's the problem: monopoly presumes a prescience that humans are seldom capable of”
“In the final draft of the TCP protocol, Jon Postel, another Internet founder, inserted the following dictum: 'Be conservative in what you do. Be liberal in what you accept from others.'It may seems strange that such a philosophical, perhaps even spiritual principle should be embedded in the articulation of the Internet, but then network design, like all design, can be understood as ideology embodied, and the Internet clearly bore the stamp of the opposition to bigness characteristic of the era.”
“What I propose is not the sort of nationalization that found favor in Western Europe and briefly in the United States during the 1930s. Far from it. For history shows that in seeking to prevent the exercise of abusive power in the information industries, government is among those actors whose power must be restrained."”
Kronos Effect: the efforts undertaken by a dominant company to consume its potential successors in their infancy.Highlighted by 156 Kindle customers
In an information industry the cost of monopoly must not be measured in dollars alone, but also in its effect on the economy of ideas and images, the restraint of which can ultimately amount to censorship.Highlighted by 132 Kindle customers
Sustaining innovations are improvements that make the product better, but do not threaten its market. The disruptive innovation, conversely, threatens to displace a product altogether.Highlighted by 132 Kindle customers
At the most basic level, Schumpeter believed that innovation and economic growth are one and the same. Countries that innovated would grow wealthier; those that did not would stagnate.Highlighted by 115 Kindle customers
in the United States, it is industrial structure that determines the limits of free speech.Highlighted by 114 Kindle customers
Here we see a rift that will appear in virtually every information industry, the fault line between the virtues of centralized and of decentralized decision making, between the imperative to produce at scales that justify production costs and the desire for variety.Highlighted by 95 Kindle customers
We sometimes treat the information industries as if they were like any other enterprise, but they are not, for their structure determines who gets heard. It is in this context that Fred Friendly, onetime CBS News president, made it clear that before any question of free speech comes the question of “who controls the master switch.”Highlighted by 88 Kindle customers
But in the hands of an outside inventor, a patent serves a different function: as sort of corporate shield that can prevent a large industrial power from killing you off or seizing control of your company and the industry. In that oblique sense, a strong patent can sow the seeds of creative destruction.Highlighted by 80 Kindle customers
The Cycle is powered by disruptive innovations that upend once thriving industries, bankrupt the dominant powers, and change the world. Such innovations are exceedingly rare, but they are what makes the Cycle go.Highlighted by 73 Kindle customers
History also shows that whatever has been closed too long is ripe for ingenuity’s assault: in time a closed industry can be opened anew, giving way to all sorts of technical possibilities and expressive uses for the medium before the effort to close the system likewise begins again. This oscillation of information industries between open and closed is so typical a phenomenon that I have given it a name: “the Cycle.”Highlighted by 44 Kindle customers
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