big-tech

Large publicly traded tech companies seem to no longer consider their customers – that is, people and organizations who actually buy their products or pay for access to their services – their core focus. The focus has instead turned towards the stock price.

Their real clients, the entities they really care about, are the stockholders. Reasons are many, perhaps one of them being that people making decisions tend to own stock options or have bonuses tied to stock performance of the companies they run.

This means that for a large, established tech company the product or service it offers does not matter all that much anymore. It needs to be just barely good enough to keep people using it. The easiest way to do this is some form of a monopoly.

Monopoly is the business model of Silicon Valley, and they are not even shy about that.

I would like to propose a new term: outrage dividend.

Outrage dividend is the boost in reach that content which elicits strong emotional responses often gets on social media and other content sharing platforms.

This boost can be related to human nature — an outrage-inducing article will get shared more. It can also be caused by the particular set-up of the platform a given piece of content is shared on — Facebook’s post-promoting algorithm was designed to be heavily biased to promote posts that get the “angry” reaction.

A tale of two media outlets

Imagine two media organizations.

A Herald is a reliable media organization, with great fact-checking, in-depth reporting, and so on. Their articles are nuanced, well-argued, and usually stay away from sensationalism and clickbaity titles.