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Professor Who Coined Term 'Net Neutrality' Thinks It's Time To Break Up Facebook (theverge.com) 61

pgmrdlm shares a report from The Verge: Best known for coining the phrase "net neutrality" and his book The Master Switch: The Rise and Fall of Information Empires, Wu has a new book coming out in November called The Curse of Bigness: Antitrust in the New Gilded Age. In it, he argues compellingly for a return to aggressive antitrust enforcement in the style of Teddy Roosevelt, saying that Google, Facebook, Amazon, and other huge tech companies are a threat to democracy as they get bigger and bigger. "We live in America, which has a strong and proud tradition of breaking up companies that are too big for inefficient reasons," Wu told me on this week's Vergecast. "We need to reverse this idea that it's not an American tradition. We've broken up dozens of companies."

"I think if you took a hard look at the acquisition of WhatsApp and Instagram, the argument that the effects of those acquisitions have been anticompetitive would be easy to prove for a number of reasons," says Wu. And breaking up the company wouldn't be hard, he says. "What would be the harm? You'll have three competitors. It's not 'Oh my god, if you get rid of WhatsApp and Instagram, well then the whole world's going to fall apart.' It would be like 'Okay, now you have some companies actually trying to offer you an alternative to Facebook.'" Breaking up Facebook (and other huge tech companies like Google and Amazon) could be simple under the current law, suggests Wu. But it could also lead to a major rethinking of how antitrust law should work in a world where the giant platform companies give their products away for free, and the ability for the government to restrict corporate power seems to be diminishing by the day. And it demands that we all think seriously about the conditions that create innovation. "I think everyone's steering way away from the monopolies, and I think it's hurting innovation in the tech sector," says Wu.

Professor Who Coined Term 'Net Neutrality' Thinks It's Time To Break Up Facebook

Comments Filter:
  • Safe Harbor (Score:5, Interesting)

    by Kunedog ( 1033226 ) on Thursday September 06, 2018 @08:09PM (#57266778)
    There's a simpler way:
    https://www.youtube.com/watch?... [youtube.com]

    If they want to curate content according to their political bias, then treat them like the politically-biased media outlets they are, legally liable for the content they host, instead of platforms under "safe harbor" protections. If they want to continue to be treated like platforms, then they can keep their hands off their political opponents' speech.
  • by Anonymous Coward

    Why do I bother coming here anymore?

  • exactly do you break up a company who offers a service for free?

    • by pots ( 5047349 )
      Facebook's service is selling advertising. It is not free, they are the #2 advertiser in the world right now (I think that's right, but I'm not going to look it up).
  • Microsoft has fallen below the zone they were once in.

  • by Anonymous Coward on Thursday September 06, 2018 @08:38PM (#57266892)

    Facebook has grown because it offered the best social platform for users. The point of social platforms is to connect with everyone else. Fragmentation means people needing to belong to and check multiple platforms. Trying to force competition won't solve any user issues. However, once Facebook stops providing a compelling service, people will move on their own. The same as they gave up MySpace and the same as they rejected Google+. The market chose Facebook and will purge it when time comes.

    The same with Google. There were plenty of entrenched search services when Google came to be. Users chose it because it was better. The old search services died because they didn't evolve. If Google stops being the best fit option, people will go somewhere else. They already have choices like Bing and Duck Duck Go. As the service is free, people are choosing based on functionality, not on price. Those that don't like the privacy price of Google are opting for other services. You can't just declare another search service is required and then force the public to use it so that you can claim to have multiple services with comparable market share.

    If people were given a choice of all you can eat steak or beets at equal cost, odds are that the majority would choose steak. When you remove cost and scarcity, the premium option will dominate. Digital services don't have scarcity like physical products do. It's a different economy.

    • by pots ( 5047349 )

      Facebook has grown because it offered the best social platform for users.

      As stated in the summary: Facebook has grown by purchasing their competitors. The summary mentions WhatsApp and Instagram specifically.

      Your comment about the problem with fragmentation is an example of why Facebook needs to be broken up by an outside entity: they have a natural monopoly, since real competition from startups would lead to fragmentation.

      I've said this before, but if the government came along and broke up the company by splitting off Facebook's front-end from its back-end, then we could

      • by jrumney ( 197329 )

        As stated in the summary: Facebook has grown by purchasing their competitors. The summary mentions WhatsApp and Instagram specifically.

        While this is true, so far they have not bought their competitors to shut them down, or to raise prices to the detriment of consumers. They are building a monopoly, but so far, it is not harmful from an economic perspective, and unfortunately I don't think anti-trust law is concerned with privacy, so the case for breaking up Facebook is not strong.

        Apple would be a much juicier target, especially as they recently became the world's first trillion dollar company (with Amazon close behind). Splitting out the

  • by Alyks ( 798644 )
    why do I care about a guy whose biggest contribution to this subject is clever phrasing?
    • Are you with me Doctor Wu
      Are you really just a shadow
      Of the man that I once knew
      Are you crazy are you high
      Or just an ordinary guy
      Have you done all you can do
      Are you with me Doctor

  • These proprietary social networks are bad for free speech.

    I have no problem with facebook, google, twitter, except that they concentrate the internet in the hands of a few large companies.

    We need open platforms like HTML, TCP/IP, Email, Newsgroups, etc.

    All old retrograde stuff according to the children. But there isn't one of these social networks that couldn't be made P2P or something that anyone could set up their own personal server for that interlinked with each other.

    A 20 dollar raspberry pi could host

  • I don't like Facebook either but its not a monopoly, nor is it required in anyway to use the internet. Anyone could come up with the next social network thing anytime now or you can just NOT use Facebook. It isn't like an OS or a browser that is necessary for use or access to anything. Facebook or Twitter are tools of convenience and can easily be done without. If you don't like what is being said filter it out or don't use either.

  • and blew it...with Microsoft. They should have been broken up just like Standard Oil. But they were not and that just created a precedent for companies like Facebook and Amazon and Google. We reap what we sow.

  • Look, I don't get my news from Facebook. Local, National, World. Be it political or otherwise. I don't give a shit about who they ban, and who they don't. I don't give a shit on who they censor, and who they don't. Just don't care. Face book has purchased the following which was competition. At least they didn't kill them. They own Tinder, dating. They own Instagram, another form of social media. And a couple others were mentioned in the article. My profile was not used by that company that tried t
  • "Look over here! See? We're thinking about maybe eventually doing something someday! (Pay no attention to the massive personal data collection feast that every-single-damn-corporation and government in the entire bloody world is gorging on behind the curtain)"

    WHY do people give so many shits for instabook and facegram? It's not something anybody actually needs to begin with. For fucks sake. Big tech is not "The internet"... in fact, the case has been made that these companies are big evil time eaters that p

    • Hell, let's start with the fact that before Facebook, what ever. Credit cards are tracked, companies record everything you purchase from them. Those company cards on your key change to save 3 cents. That is all tracked. And it is all shared via companies selling the information

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