… quarters that they are stifling the growth of other startups; that the age of the startup is over. Today, if a company develops a good idea, something original or groundbreaking that leads to rapid growth, it will simply be eaten up by a bigger fish, because independent development has become increasingly difficult. Companies with the resources to…
The shell of the old is killing the new
This is the transformation of the new technology into the old capitalist model. The small are eaten or simply ignored. What’s good for Amazon is good for America. Any of the five names may be inserted.
But not really. History does not repeat completely, it is a spiral that evolves. The process of change through time is not teleological as the outcomes are both good and bad. As we know, the age of capitalism is finished. The long development of wealth creation with the efficiency of the market is being reversed by inherent commitment to greed and size as the only values worthy of reward. The structural failure of hypercapitalism moving quickly to distort the new innovation of the data world into the distortion of late stage capitalism. The essence of the Internet and Information Age is innovation and the “level playing field”, the constant destruction of the old for the new. But already the innovation is being driven out in favor of a new set of oligarchs just as isolated and greedy as the old.
The great strength of market economics is creative destruction. This was always attributed to capitalism but is a product of open markets. The reliance on capital as the criteria of value initially enables this but then destroys it as the preservation of capital operating as a zero sum game that only the richest can afford.
This is the complexity that overwhelms the poorly trained and ignorant. We have elements that need to be carefully understood and redefined in the new context of intellectual value while we eliminate the old captial value of money and goods. We need to tease apart the power for good of open markets so that they don’t become mechanisms of gross asset distortion. This may not be possible but it must be determined. And the non-materialist/intellectual value system of Information Age Economics should be the way to new, sustainable, and equitable wealth but it is quickly being killed by the old institutional structure.
The only hope is to break out of the old capitalist based institutions in favor of diversity and innovation. That is the battle being fought now around the planet. We are facing the struggle for the new innovation to successfully crack the husk of the old capitalism so the new diverse, sustainable market economics can grow and flourish.