Platform capitalism: The danger posed by Facebook has been ignored for too long

Companies like Facebook and Google are economically motivated, but at the same time quasi-political institutions. How does a state have to deal with it?

Platform capitalism: The danger posed by Facebook has been ignored for too long
Content
  • Page 1 — The risk of Facebook has been ignored for too long
  • Page 2 — who decides on algorithms?
  • Page 3 — reversal of burden of proof
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    Thomas Beschorner is professor of business ethics and director of Institute of Business Ethics at University of St. Gallen. Martin Kolmar is professor of economics in St. Gallen.

    Data of about 50 MillionenFacebook users were deducted without ir consent and were used by company Cambridge Analytica ZurBeeinflussung of US campaign for good money. Facebook admits mistakes, but sees itself as a victim and pushes black PeterCambridge Analytica, which would have confidence of Konzernsmissbraucht. The data scandal has been portrayed in past few days as a unique misstep, which will not be repeated.

    But is it really that simple? No, whole thing is more than a simple black-and-Peter game. Companies that represent Facebook and Cambridge Analyticaim new platform capitalism represent einezivilgesellschaftliche and economic challenge that has been ignored for far too long. Victory tires deep into lives of us humans, can shape societal perspectives undwomöglich even influence political decisions. Therefore, se Konzerneschlechterdings can not only be considered closely economic.

    Companies like Facebooksind are economically motivated, but at same time a prime example of fürquasi-political institutions because y shape social fertility of politics significantly by controlling our access ZurWirklichkeit. And especially this combination makes m dangerous.

    Companies such as Facebook or Google are usually active on so-called multi-page markets. What is characteristic is that offers on a market lead to or markets and weave m toger. In concrete terms: we can use Facebook free of charge, we pay with our personal data and not in euros. And exactly this data makes platforms for advertisers and or sointeressant. Money is not earned directly from customers, but from advertising market and market for data analysis. DieGewinne are harvested here by a few companies, which leads to zumonopolistischen tendencies.

    In addition, platforms from a certain size can use so-called network effects. Only through a network – for example Friends on Facebook – will desired interactions be created. Jegrößer This is, more attractive it becomes for EinzelnenNutzer. In addition to high fixed costs for development and Betriebsolcher platforms, network effects also lead to a Konzentrationsolcher offer to a few companies.

    And re is anor reason for a monopoly formation: some operators use so-called habit-forming-technologies, whose aim is for ir users to spend as much time on ir platforms as possible. Here are certain psychological Mechanismengenutzt and targeted, which are those at Suchtverhaltenähnlich and very simply work: every like on Facebook and each retweet on Twitter bring a little emotional reward and never ending Choice of Neuemverstärkt this effect. Similar to tobacco use, Abhängigkeitenerzeugt.

    Date Of Update: 29 March 2018, 12:03
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