Google Amazon & Facebook are Standard Monopoly Distribution Networks

 

Washington increasingly is asking what are Google, Amazon, and Facebook?

That’s because they seem to be in the middle of many vexing problems spanning culture, politics, civility, economics, competition, jobs, investment, national security, public safety, consumer welfare, etc.

At core, Google, Amazon, and Facebook are unregulated, economy-wide, distribution networks, that de facto are taking control over core economic processes.

They are modern-day Standard Oils. Google is Standard Data. Amazon is Standard Commerce. Facebook is Standard Social.

Doubt it? Consider reality.

Standard Data: Alphabet-Google is the distribution network for over 4 billion search users, 2 billion Android devices, 15 million publisher partners, 5 million advertiser clients, and 400,000 Android developers. Google’s network has over 200 data-capturing products and services, 15 of the world’s fastest, highest-capacity data centers, and 2000 server points of presence in over 150 countries.

Google commands 19 of the top 25 Android apps downloaded over a billion times including: Search, Play, Gmail, Maps, YouTube, Google+, Text-to-Speech, Chrome, Play Books, Play Games, Play Music, Play Newsstand, Play Movies & TV, Drive, Photos, and StreetView.

Treat Cause Not Symptom of Google & Facebook’s Election Unaccountability -- Daily Caller Op-ed

Please don’t miss my Daily Calller op-ed: “Treat The Cause Not the Symptom of Google & Facebook’s Election Unaccountability.”

Google’s Government Influence Nixed Competition for Winner-Take All Results

Facts are stubborn things.

Know what one finds when one puts the evidence of Google’s many antitrust, IP, and privacy offenses into one telling timeline of what Google did from 2008-2017?

One sees a tale of two terms. Commendably, the evidence shows the first Obama Administration term featured very tough antitrust, IP, and privacy law enforcement against Google. Sadly, the second term was the direct opposite – featuring virtually no antitrust, IP, or privacy law enforcement against Google.

Know what one finds when one overlays the telling timeline of improper influence of Google’s Government Guardians, i.e. senior Google executives and outside counsels placed in all the right places to protect and advance Google’s business -- with the timeline of Google’s antitrust, IP, and privacy law enforcement problems?

One can see predictable patterns. Shortly after Google Guardians show up, those Google’s government problems go away. Same administration, different personnel, near completely opposite outcomes. It’s a quintessential example of the old Washington adage that “personnel is policy.”

Asymmetric Absurdity in Communications Law & Regulation

You can’t make this stuff up.

Asymmetric Realities: The five most valuable companies – Apple $802b, Alphabet-Google $688b, Microsoft $585b, Facebook $500b, and Amazon $475b – are together worth an unprecedented $3 trillion and widely-appreciated to be dominant in the communications-driven businesses of smartphones, search advertising, subscription business productivity software, social advertising, and ecommerce platform services respectively.

In Washington’s theater of the absurd, these well-known, winner-take-all platforms, are playing the role of victims of potential harms, that supposedly can’t afford to shoulder the potential risks for the potential net neutrality problems that they allege are potentially serious, when they produce $131b annually in free cash flow and have $357b in cash (mostly overseas).

CDA Section 230’s Asymmetric Accountability Produces Predictable Problems

Ever wonder why Google, Facebook, Twitter, Amazon, Uber, Airbnb, and their Internet Association allies are caught repeatedly enabling so many dreadful activities on their platforms? There’s minimal risk to them in doing so.

Everyone knows if there is no perceived risk for doing certain wrongs for money, many people certainly will do those wrongs, or look the other way while others do those wrongs on their property for the money, because they’ve learned they can get away with it.

It’s not only human nature, but it’s also a fundamental failure of government’s first purpose to protect its citizenry -- when zero-deterrence for certain wrongs on a certain technology is de facto American policy.

In 1996, a well-intentioned Congress passed a balanced Communications Decency Act (CDA) as an amendment to the 1996 Telecom Act, that on one hand would prevent “obscene, harassing, and wrongful utilization of telecommunications facilities” (Title V) and on the other hand, would create legal “protection for ‘Good Samaritan’ blocking and screening of offensive material” (Title II, Section 230).

Together, Congress intended that certain content was harmful, thus it made sense to provide “Good Samaritan” immunity for websites that in good faith removed the types of content the original CDA found harmful.

Online-Offline Asymmetric Regulation Is Winner-Take-All Government Policy

Online-offline asymmetric regulation is the biggest persistent competition problem in the economy for the next decade. 

Asymmetric commercial treatment by the Government predictably produces asymmetric market outcomes. Everyone knows how an unfair playing field or unfair rules of the game produce favored winners and disfavored losers.

Internet myth is that Google, Facebook, Amazon, Uber, Airbnb, and their “intermedia” Internet Association brethren deserve to be winner-take-all because they are more innovative and better for consumers than offline companies.

The reality is that these companies common “winner-take-all special sauce” is old-fashioned regulatory arbitrage, of its special Section 230 intermediary immunity from liability, regulation, and accountability.

To date, the intermedia’s decade-long, bankrolling and public leadership of the Title II net neutrality regulation of broadband effort, has been a spectacularly effective diversion of public and government attention from the intermedia’s regulatory arbitrage of their winner-take-all, asymmetric regulation advantages.

Google Amazon & Facebook’s Section 230 Immunity Destructive Double Standard

Congress is learning a predictable lesson that blanket immunization of a technology from accountability to law enforcement, and normal societal responsibility to others, creates unjust and destructive outcomes from a double standard of justice.

Google, Amazon, Facebook, Uber, and Airbnb are also learning a predictable lesson that opposing the unopposable for self-serving business reasons spotlights their increasingly indefensible “Monopoly” “get-out-of-jail-free” card, Section 230 immunity, that’s available only in the U.S. for online platforms.

This lesson is happening because a bipartisan Senate bill -- the “Stop Enabling Sex Trafficking Act” (SESTA S.1693) -- proposes to amend Section 230 of the 1996 Communications Decency Act to clarify that its immunization of online platforms from liability was never intended to shield knowing enablement of child sex trafficking from criminal prosecution.

Tuesday, a Senate Commerce Committee hearing will spotlight the gravity and depravity of how this well-intentioned, Internet-infancy, law to advance freedom of speech online, has caused unacceptable unintended consequences today for the most vulnerable among us.

There’s No Freedom of Speech to Enable Sex Trafficking of Children

With freedom comes responsibility.

A Tuesday Senate hearing on the Stop Enabling Sex Trafficking Act, SESTA, S.1693, will spotlight the strong objections of intermedia platforms like Google, Facebook, Amazon, Uber, and Airbnb, which oppose it as a slippery slope towards being subjected to the same public accountability standards as offline companies. 

SESTA is a bipartisan bill that seeks to narrowly amend Section 230 of the Communications Decency Act of 1996, to clarify that Section 230’s immunity from intermediary liability was never meant to immunize sex trafficking as a form of protected freedom of speech. 

The problem SESTA targets is best explained by a 2017 report by Consumer Watchdog and the Faith and Freedom Coalition, that spotlights how child sex trafficking effectively is enabled and legally protected in America via Section 230 immunity.  

The report documents how “for years, one company – Backpage.com – has dominated online trafficking in minors for sex;” and how Backpage is suspected to be involved in “73% of all suspected sex trafficking reports in the U.S.”

The 48-page report also chronicles in detail how Alphabet-Google has long bankrolled and organized much of Backpage’s legal support that has enabled Backpage to evade justice for several years by exploiting Section 230’s sweeping immunities from online intermediary liability. 

Trust in Google was built in part on the promise in its uniquely unequivocal “don’t be evil” corporate motto. 

If Google doesn’t consider purposeful enablement of child sex trafficking evil, what does it consider evil?

The Power of Facebook, Google & Amazon Is an Issue for Left & Right; Op-Ed

Please don’t miss my Buzzfeed Op-Ed on: “The Power of Facebook, Google & Amazon Is an Issue for Left & Right” -- because it would hold abuses of unaccountable power accountable.

Be sure to see the surprising effect that Google, Amazon, and Facebook, i.e. the “intermedia,” have had on U.S. economic growth 2012-2016!

 

 

 

iHypocrisy: Non-Neutral, Non-Free, Non-Open Apple Is Now for Net Neutrality

iHypocrisy?

After fourteen years of diligently dodging any public position on net neutrality on principle, while operating the largest non-neutral, non-free, non-open, Internet network of smart devices on the planet, Apple Inc. is now taking a “principled” public position for net neutrality, and a free and open Internet, because Apple now tells the FCC in its net neutrality public comments that Apple now believes in the principles of consumer choice, no paid fast lanes, transparency, competition, investment, and innovation. iHypocrisy.

Let me be crystal clear here.

I am a longtime iPhone user and big Apple fan. I have long publicly defended their freedom to maximize the value of their patented innovations and property-rights driven business model and value creation strategy. I strongly defend their right to free speech and their right to reverse their “principled” position when their business needs warrant it, like wanting to save money on bandwidth for Apple’s new streaming services because it is losing money on streaming now that it invested a billion dollars in new video content over the last few months.

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