Predictions 2022 – Crypto, Climate, Big Tech, Streaming, Offices, Tik Tok…and (ugh) Trump

Welcome to year nineteen of these annual predictions, which means….holy cow, twenty years of writing at this site. Searchblog has been neglected of late, running a media startup during a pandemic will do that to thoughtful writing. I hope to change that in 2022, starting with this bout of chin stroking. If you’re an old timer here, you know I don’t really prepare to write this post. Instead I sit down, summon the muse of flow, and let it rip in one go. Let’s get to it.

  1. Crypto blows up. 2022 will be a chaotic year for crypto – both the decentralized finance and social token/NFT/gaming portions of the industry, which will grow massively but be beset by fraud, grift, and regulatory uncertainty, as well as an explosion of new apps based on scaleable blockchains such as Solana and Avalanche. Most of these apps will fade (much as early dot com stocks did), but the overall space will be markedly larger as a result. And while 2021 was the year most of the world learned about crypto, 2022 will be the year crypto dominates the tech narrative. I’m holding off on calling a crash – ’22 feels a bit more like ’98 or ’99 than the year 2000, which is when “web1” topped out. But that first top is coming, and when it crests, look the f*ck out. Crypto is a far more integrated into the global economy than we might suspect. In fact, I’ll toss in a corollary to this first prediction: In 2022, a major story will break that exposes a major state actor has been manipulating the crypto markets in a bid to destroy US financial markets.
  2. Oculus will be a breakout hit, but it’ll  immediately be consumed in the same controversies besetting the rest of Facebook’s platforms. The company throws money and lobbyists at the problem, including enough advertising budget to mute mainstream press outrage.  Apple will try to capitalize on all of this FUD as it introduces its own VR play. Regardless, the Oculus division becomes a meaningful portion of Meta’s top line, which starts the change the narrative around Facebook’s surveillance capitalism business model.
  3. Twitter changes the game. I have no particular insight into new CEO Parag Agrawal, but the company has had a long suffering relationship with its true value in the world, and I think the table is set for an acceleration of its product in ways that will surprise and even delight its most ardent fans (I count myself somewhat reluctantly among them). How might this happen? First, look for a major announcement around how the company works with developers. Next, deeper support and integration of all things crypto, in particular crypto wallets like MetaMask. And last (and related), a play in portable identity, where your Twitter ID brings value across other apps and environments.
  4. Climate has its worst – and best – year ever. Worst because while 2021 was simply awful (I mean, the year ends with a winter draught, then a historic fire in… Boulder?) things can always get worse, and they will. Best, because finally, the political will to do something about it will rise, thanks mainly to the voice of young people around the world, and in particular in the United States.
  5. The return of the office. Yes, I know, everything’s changed because of the pandemic. But truth is, we work best when we work together, and by year’s end, the “new normal” will be the old normal – most of us will go back to going into work. A healthy new percentage of workers will remain remote, but look for trend stories in the Post and Times about how that portion of the workforce is feeling left out and anxious about missing out on key opportunities, connections, and promotions. One caveat to this prediction is the emergence of some awful new variant that sends us all back into our caves, but I refuse to consider such horrors. I REFUSE.
  6. Divisions in the US reaching a boiling point. I hate even writing these words, but with the midterms in 2022 and a ’24 campaign spinning up, Trump will return to the national stage. He’ll offer a north star for Big Lie-driven tribalism, a terrifying rise in domestic terrorism and hate crimes, all fueled by torrents of racial and economic anger. I really, really hope I’m wrong here. But this feels inevitable to me.
  7. Big Tech bulks up. Despite a doubling down in anti-trust saber rattling from the EU and the Biden administration, Big Tech companies must grow, and they’ll look toward orthogonal markets to do it. Meta and Apple will buy gaming companies, Amazon will buy enterprise software companies, and Google will buy a content library. Google’s always been a bit confused about what its entertainment strategy should be. YouTube is so damn big, and its search business so bulletproof, the company hasn’t really had to play the game the way Meta, Amazon, and Apple have. That likely changes in 22.
  8. The streaming market takes a pause. The advertising business has yet to catch up with consumer behavior in the streaming television market, and as I’ve written elsewhere, the consumer experience is fracking awful. In 2022, those chickens will come home to roost. There’s only so much attention in the world, and with more than $100 billon to invest in content in 2022, something’s gotta give. Plus, if we get through Omicron and back out into the world, consumers might just find themselves doing something besides binging forgettable, algorithmically manufactured programming. I’m not predicting that streaming crashes, but just that the market will have a year of consolidation and, I hope, improvements in its consumer experience and advertising technology stack.
  9. Tik Tok will fall out of favor in the US. Everyone is predicting that 2022 will be The Year Of Tik Tok, but I think they’re wrong in one big way: This won’t be a positive story. First off, the public will wake to the possibility that Tik Tok is, at its core, a massive Chinese PsyOp. Think I’m crazy? I certainly hope so! But you don’t have to wear a tin foil hat to be concerned about the fact that the world’s most powerful social algorithm is driven by a company with a member of the Chinese Communist Party on its board. And second, US-based competitors are already learning, fast, what makes Tik Tok tick. YouTube, Insta, Snap and others will take share all year long.
  10. Trump’s social media company delivers exactly nothing.  Hey, I needed one sandbag in the mix – and this one comes with a heaping side of schadenfreude. The company will become mired in legal fights, and Trump, having grifted a billion or so from favor-currying investors, will move on to ever more ruinous pursuits.

Well, that’s ten, and I wanted to keep this year’s version under a thousand words. Have a wonderful New Year’s, dear readers. I hope I see you out there in the real world, and soon.


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Predictions 2021: How’d I Do? Pretty Damn Well.

As has been my practice for nearly two decades, I penned a post full of prognostications at the end of last year.  As 2021 subsequently rolled by, I stashed away news items that might prove (or disprove) those predictions – knowing that this week, I’d take a look at how I did. How’d things turn out? Let’s roll the tape…

My first prediction: Disinformation becomes the most important story of the year. At the time I wrote those words, Trump’s Big Lie was only two months old, and January 6th was just another day on the calendar.  A year later, that Big Lie has spawned countless others, culminating in one of the most damaging shifts in our nation’s politics since the Civil War. The Republican party is now fully captured by bullshit, and countless numbers of local, state, and national politicians are busy undermining democracy thanks to the Big Lie’s power.  A significant percentage of the US population has become unmoored from truth – and an equally significant group of us have simply thrown our hands up about it. Trust is at an all time low. This Barton Gellman piece in The Atlantic served as a wake up call late in the year – and its conclusions are terrifying: “We face a serious risk that American democracy as we know it will come to an end in 2024,” Gellman quotes an observer stating. “But urgent action is not happening.” I’m not happy about getting this one right, but as far as I’m concerned, this is still the most important story of the year – and the most terrifying.

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Well That Was A Year: A Review of My 2020 Predictions

From the Department of Didn’t See THAT Coming…

Yes, it’s true: Last year, I did not predict a global pandemic in 2020. COVID is a gravitational force that warps everything it touches, so I approach this annual ritual of self-grading with trepidation. As I start, I honestly don’t remember what I predicted twelve months ago…but regardless, I’m expecting a train wreck. I’ll read each one in turn, repeat the headline prediction, and then free associate some thoughts on what actually transpired. Grab a glass of your favorite beverage…and here we go:

  1. Facebook bans microtargeting on specific kinds of political advertising. OK, Facebook did NOT do this – well, not exactly. What the company DID do was ban political advertising altogether – but only in the week before, and a short period after the US election. Of course, you can certainly say that by banning all political advertising, the company ended up banning microtargeting as a result. So that’s one argument for giving myself a “Nailed It.” If that’s too weak an argument, let’s go to the fine print in my original prediction: “The pressure to do something will be too great, and as it always does, the company will enact a half-measure, then declare victory.” And that is exactly what the company did. I mean, exactly. I also wrote: “The company’s spinners will frame this as proof they listen to their critics, and that they’re serious about the integrity of the 2020 elections. As with nearly everything it does, this move will fail to change anyone’s opinion of the company. Wall St. will keep cheering the company’s stock, and folks like me will keep wondering when, if ever, the next shoe will drop.” Yup. Nailed it.
  2. Netflix opens the door to marketing partnerships. This prediction requires a bit of clarification. I was not claiming Netflix would open the door to advertising on its platform, but rather that it “may take the form of a co-produced series, or branded content, or some other “native” approach, but at the end of the day, it’ll be advertising dollars that fuel the programming.” What I didn’t realize when I made this prediction was that Netflix was already deep into product placement deals for its Netflix Originals, and that it had already made sure the money changed hands somewhere else (such as between a production company and a brand).  There is no doubt that marketing money positively benefits Netflix’s bottom line – and the  practice absolutely accelerated in 2020, as did everything streaming-related during COVID. But there was not a significant shift in Netflix policy related to marketing that I can find, so I’m going to say I whiffed on this one.
  3. CDA 230 will get seriously challenged, but in the end, nothing gets done, again. This is exactly what happened. In fact, it’s happening as I type this – Trump just vetoed a veto-proof defense funding bill because it doesn’t repeal 230, and Biden has already indicated he plans to rethink 230 next year. But even though tens of millions of American citizens became familiar with Section 230 this year, nothing came of all that noise. Nailed it.
  4. Adversarial interoperability will get a moment in the sun, but also fail to make it into law. OK I have GOT to stop writing predictions about obscure academic terminology. I mean, what the actual f*ck? What I was trying to say was this: In 2020, there would be a robust debate about the best ways to regulate Big Tech, and the ideas behind “adversarial interoperability” would get a rigorous airing. This did not happen, and just like Jeffrey Katzenberg, I blame COVID. Exactly no one wanted to debate tech policy in the middle of a global pandemic. Making things worse, toward the end of this year multiple governmental agencies decided it was time to go after Big Tech, and they went batshit with proactive lawsuits – the DOJ and a majority of states sued Google (three times, no less), the FTC sued Facebook, and I’d put money more suits are coming (looking at you, Apple and Amazon). The suits revolve around antitrust law, so the debate will now be dominated by whether or not the government can prove its case in court.  This effectively postpones intelligent debate about remedies for years. I find this state of affairs deeply annoying. But a grade must be given, and that grade is a whiff, unfortunately.
  5. 2020 will also be the year “data provenance” becomes a thing. Literally stop me from ever writing predictions after hitting the flash evaporator, OK?! This was another policy-related prediction, and if I was going to miss #4 above, I’m certainly going to whiff here as well. In the very rare case you want to know what I was on about, this is how I described the concept: “The concept of data provenance started in academia, migrated to adtech, and is about to break into the broader world of marketing, which is struggling to get its arms around a data-driven future. The ability to trace the origin, ownership, permissions, and uses of data is a fundamental requirement of an advanced digital economy, and in 2020, we’ll realize we have a ton of work left to do to get this right.” Well, in fact, if you believe Google Trends, “data provenance” did have a marked lift in 2020. Does that qualify it for “becoming a thing”? I have no f*cking idea. And again, thanks to COVID, marketers were not exactly focused on public ledgers and blockchain in 2020. Note to self: Stop predicting that something will “become a thing.” Inane. Whiff.
  6. Google zags. Oh man, oh man, I feel so close on this one. I mean, there are still a few days left in 2020, right? I honestly think this is about to happen. Here’s how I explained it one year ago: “Saddled with increasingly negative public opinion and driven in large part by concerns over retaining its workforce, Google will make a deeply surprising and game changing move in 2020.” Google’s problems with both public perception (hello, three government lawsuits!) and an unhappy workforce only deepened this year – the Timnit disaster was just the most public of its struggles. But so far the company hasn’t produced a dramatic “game changing” move. Sure, the FitBit acquisition finally closed, but if that proves material, I’ll … start using a FitBit again. I firmly believe that Google must make a game changing move, and soon, if it’s going to keep its mojo. But….it certainly hasn’t happened yet. So…sigh…Whiff.
  7. At least one major “on demand” player will capitulate. Just weeks into 2020, I was well on my way to a “Nailed It” here. The tide was turning on the entire category: Uber was in trouble and badly below its IPO price, GrubHub was a falling knife looking for a buyer, PostMates had shelved its IPO dreams. And then…COVID reordered the universe, making on demand everything an essential part of quarantine life.  The entire category was supercharged – I mean, DoorDash at 19 times sales?!?! – and yet another of my predictions bit the dust. F U, COVID. Whiff.
  8. Influencer marketing will fall out of favor. Well, if ever there was a year to be sick of influencer marketing, it’d be this one. But no, with sports and entertainment programming suspended for the majority of the year, all that marketing budget had to go somewhere, and lord knows it wasn’t going to support news (despite that being the most engaged and highest growth category of all). So…brands threw in even more with influencers.  In my explanation I predicted that influencer fraud would be a huge problem – and by most accounts it is (the last figure I could find was 1.3 billion in 2019 – which was roughly 20 percent of the overall market!). But…influencer marketing did not fall out of favor, Charlie D’Amelio is making $50K per post, and damnit, I whiffed again.
  9. Information warfare becomes a national bogeyman. Finally, a slam dunk. Man, I was starting to question myself here. “Deep fakes, sophisticated state-sponsored information operations, and good old fashioned political info ops will dominate the headlines in 2020,” I wrote. Yep, and true to form, 2020 saved the scariest example for the end of the year. Nailed it.
  10. Purpose takes center stage in business. Here’s one prediction where COVID actually accelerated my take toward a passing grade. The year began with BlackRock’s stunning declaration that it would make investment decisions based on climate impact. Once COVID and the George Floyd murder came, nearly the entire Fortune 500 began recalibrating their communication strategies around racial, gender, and climate equity issues. Last year I wrote “I expect plenty of CEOs will feel emboldened to take the kind of socially minded actions that would have gotten them fired in previous eras.” Whether it was P&G on climate and race,  Nike saying “Don’t Do It,” or nearly every major sports league standing with the Black Lives Matter movement, companies have taken previously unimaginable stands this year. Nailed It.
  11. Apple and/or Amazon stumble. Sure, Apple did pay up to half a billion to bury its “batterygate” scandal but let’s be honest, you  forgot about that, right? Even the publication of a terrifying expose of worker conditions in iPhone manufacturing plants failed to dent the company in 2020. But what you likely will remember is the Epic Fortnite story – and to me, that’s the stumble that tips my prediction to a “Nailed It.” Apple’s response to Epic was ham fisted and short sighted. The company  misread regulators’ appetite for antitrust, deeply injured its reputation amongst developers, and exposed the iOS App Store – the source of its most important growth revenues – as a pristine monopoly just begging for a Federal compliant. Meanwhile, while Amazon profited handsomely from COVID, the company’s reputation has only worsened in 2020. A drumbeat of negative press about unsafe working conditions, union busting, and anticompetitive practices culminated in a broadside from one of its own – Tim Bray, a respected technologist (and early reader of Searchblog) who penned a damning Dear John letter to his former employer  in May. Despite the strength of both companies’ stock prices, I think it’s safe to say that both Apple and Amazon stumbled in 2020. Nailed It.

Next week I’ll be writing Predictions 2021 — let’s hope this is the start of an upward trend…


Previous predictions:

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Why Politics, Why Now?

Last week an email hit my inbox with a simple and powerful sentiment. “I miss your writing,” it said. The person who sent it was a longtime reader of this site.

I miss writing too. But there’s a reason I’ve been quiet here and on other platforms – I wrote a very short post about that earlier this summer. To summarize, last year I decided to take the leap, for the seventh time, and start a company with my dear friend and frequent co-conspirator John Heilemann. John and I have worked on projects for the better part of three decades, but we’d never started a company together. Now we have: Recount Media is an entirely new approach to video about politics. And the truth is, Recount Media not only requires all of my time, it’s also in fields that seem pretty orthogonal to my previous career trajectory.

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Mapping Data Flows: Help Us Ask the Right Questions

I’ve been quiet here on Searchblog these past few months, not because I’ve nothing to say, but because two major projects have consumed my time. The first, a media platform in development, is still operating mostly under the radar. I’ll have plenty to say about that, but at a later date. It’s the second where I could use your help now, a project we’re calling Mapping Data Flows. This is the research effort I’m spearheading with graduate students from Columbia’s School for International Public Affairs (SIPA) and Graduate School of Journalism. This is the project examining what I call our “Shadow Internet Constitution” driven by corporate Terms of Service.

Our project goal is simple: To visualize the Terms of Service and Data/Privacy Policies of the four largest companies in US consumer tech: Amazon, Apple, Facebook, and Google. We want this visualization to be interactive and compelling – when you approach it (it’ll be on the web), we hope it will help you really “see” what data, rights, and obligations both you and these companies have reserved. To do that, we’re busy turning unintelligible lines of text (hundreds of thousands of words, in aggregate) into code that can be queried, compared, and visualized. When I first imagined the project, I thought that wouldn’t be too difficult. I was wrong – but we’re making serious progress, and learning a lot along the way.

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With Privacy as Its Shield, Facebook Hopes To Conquer the Entire Internet.

Never mind that man behind the privacy curtain.

I’ll never forget a meal I had with a senior executive at Facebook many years ago, back when I was just starting to question the motives of the burgeoning startup’s ambition. I asked whether the company would ever support publishers across the “rest of the web” – perhaps through an advertising system competitive with Google’s AdSense. The executive’s response was startling and immediate. Everything anyone ever needs to do – including publishing – can and should be done on Facebook. The rest of the Internet was a sideshow. It’s just easier if everything is on one platform, I was told. And Facebook’s goal was to be that platform.

Those words still ring in my ears as we celebrate the 30th anniversary of the web today. And they certainly should inform our perspective as we continue to digest Facebook’s latest self-involved epiphany.

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Our Data Governance Is Broken. Let’s Reinvent It.

This is an edited version of a series of talks I first gave in New York over the past week, outlining my work at Columbia. Many thanks to Reinvent, Pete Leyden, Cap Gemini, Columbia University, Cossette/Vision7, and the New York Times for hosting and helping me.

Prelude. 

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It’s Not Facebook’s Fault: Our Shadow Internet Constitution

Those of us fortunate enough to have lived through the birth of the web have a habit of stewing in our own nostalgia. We’ll recall some cool site from ten or more years back, then think to ourselves (or sometimes out loud on Twitter): “Well damn, things were way better back then.”

Then we shut up. After all, we’re likely out of touch, given most of us have never hung out on Twitch. But I’m seeing more and more of this kind of oldster wistfulness, what with Facebook’s current unraveling and the overall implosion of the tech-as-savior narrative in our society.

Hence the chuckle many of us had when we saw this trending piece suggesting that perhaps it was time for us to finally unhook from Facebook and – wait for it – get our own personal webpage, one we updated for any and all to peruse. You know, like a blog, only for now. I don’t know the author – the editor of the tech-site Motherboard – but it’s kind of fun to watch someone join the Old Timers Web Club in real time. Hey Facebook, get off my lawn!!!

That Golden Age

So as to not bury the lead, let me state something upfront: Of course the architecture of our current Internet is borked. It’s dumb. It’s a goddamn desert. It’s soil where seed don’t sprout. Innovation? On the web, that dog stopped hunting years ago.

And who or what’s to blame? No, no. It’s not Facebook. Facebook is merely a symptom. A convenient and easy stand in  – an artifact of a larger failure of our cultural commons. Somewhere in the past decade we got something wrong, we lost our narrative – we allowed Facebook and its kin to run away with our culture.

Instead of focusing on Facebook, which is structurally borked and hurtling toward Yahoo-like irrelevance, it’s time to focus on that mistake we made, and how we might address it.

Just 10-15 years ago, things weren’t heading toward the our currently crippled version of the Internet. Back in the heady days of 2004 to 2010 – not very long ago – a riot of innovation had overtaken the technology and Internet world. We called this era “Web 2.0” – the Internet was becoming an open, distributed platform, in every meaning of the word. It was generative, it was Gates Line-compliant, and its increasingly muscular technical infrastructure promised wonder and magic and endless buckets of new. Bandwidth, responsive design, data storage, processing on demand, generously instrumented APIs; it was all coming together. Thousands of new projects and companies and ideas and hacks and services bloomed.

Sure, back then the giants were still giants – but they seemed genuinely friendly and aligned with an open, distributed philosophy. Google united the Internet, codifying (and sharing) a data structure that everyone could build upon. Amazon Web Services launched in 2006, and with the problem of storage and processing solved, tens of thousands of new services were launched in a matter of just a few years. Hell, even Facebook launched an open platform, though it quickly realized it had no business doing so. AJAX broke out, allowing for multi-state data-driven user interfaces, and just like that, the web broke out of flatland. Anyone with passable scripting skills could make interesting shit! The promise of Internet 1.0 – that open, connected, intelligence-at-the-node vision we all bought into back before any of it was really possible – by 2008 or so, that promise was damn near realized. Remember LivePlasma? Yeah, that was an amazing mashup. Too bad it’s been dormant for over a decade.

After 2010 or so, things went sideways. And then they got worse. I think in the end, our failure wasn’t that we let Facebook, Google, Apple and Amazon get too big, or too powerful. No, I think instead we failed to consider the impact of the technologies and the companies we were building. We failed to play our hand forward, we failed to realize that these nascent technologies were fragile and ungoverned and liable to be exploited by people less idealistic than we were.

Our Shadow Constitution

Our lack of consideration deliberately aided and abetted the creation of a unratified shadow Constitution for the Internet – a governance architecture built on assumptions we have accepted, but are actively ignoring. All those Terms of Service that we clicked past, the EULAs we mocked but failed to challenge, those policies have built walls around our data and how it may be used. Massive platform companies have used those walls to create impenetrable business models. Their IPO filings explain in full how the monopolization and exploitation of data were central to their success – but we bought the stock  anyway.

We failed to imagine that these new companies – these Facebooks, Ubers, Amazons and Googles – might one day become exactly what they were destined to become, should we leave them ungoverned and in the thrall of unbridled capitalism.  We never imagined that should they win, the vision we had of a democratic Internet would end up losing.

It’s not that, at the very start at least, that tech companies were run by evil people in any larger sense. These were smart kids, almost always male, testing the limits of adolescence in their first years after high school or college. Timing mattered most: In the mid to late oughts, with the winds of Web 2 at their back, these companies had the right ideas at the right time, with an eager nexus of opportunistic capital urging them forward.

They built extraordinary companies. But again, they built a new architecture of governance over our economy and our culture – a brutalist ecosystem that repels innovation. Not on purpose – not at first. But protected by the walls of the Internet’s newly established shadow constitution and in the thrall of a new kind of technology-fused capitalism, they certainly got good at exploiting their data-driven leverage.

So here we are, at the end of 2018, with all our darlings, the leaders not only of the tech sector, but of our entire economy, bloodied by doubt, staggering from the weight of unconsidered externalities. What comes next?

2019: The Year of Internet Policy

Whether we like it or not, Policy with a capital P is coming to the Internet world next year. Our newly emboldened Congress is scrambling to introduce multiple pieces of legislation, from an Internet Bill of Rights  to a federal privacy law modeled on – shudder – the EU’s GDPR. In the past month, I’ve read draft policy papers suggesting we tax the Internet’s advertising model, that we break up Google, Facebook, and Amazon, or that we back off and just let the market “do its work.”

And that’s a good thing, to my mind – it seems we’re finally coming to terms with the power of the companies we’ve created, and we’re ready to have a national dialog about a path forward. To that end, a spot of personal news: I’ve joined the School of International and Public Affairs at Columbia University, and I’m working on a research project studying how data flows in US markets, with an emphasis on the major tech platforms. I’m also teaching a course on Internet business models and policy. In short, I’m leaning into this conversation, and you’ll likely be seeing a lot more writing on these topics here over the course of the next year or so.

Oh, and yeah, I’m also working on a new project, which remains in stealth for the time being. Yep, has to do with media and tech, but with a new focus: Our political dialog. More on that later in the year.

I know I’ve been a bit quiet this past month, but starting up new things requires a lot of work, and my writing has suffered as a result. But I’ve got quite a few pieces in the queue, starting with my annual roundup of how I did in my predictions for the year, and then of course my predictions for 2019. But I’ll spoil at least one of them now and just summarize the point of this post from the start: It’s time we figure out how to build a better Internet, and 2019 will be the year policymakers get deeply  involved in this overdue and essential conversation.

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The Internet Big Five Is Now The World’s Big Five

Back in December of 2011, I wrote a piece I called “The Internet Big Five,” in which I noted what seemed a significant trend: Apple, Microsoft, Google, Amazon, and Facebook were becoming the most important companies not only in the technology world, but in the world at large. At that point, Facebook had not yet gone public, but I thought it would be interesting to compare each of them by various metrics, including market cap (Facebook’s was private at the time, but widely reported). Here’s the original chart:

I called it “Draft 1” because I had a sense there was a franchise of sorts brewing. I had no idea. I started to chart out the various strengths and relative weaknesses of the Big Five, but work on NewCo shifted my focus for a spell.

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Predictions 2017: A Chain Reaction

Nostradamus_prophecies

This is my 14th annual predictions post. And as I look back on the previous 13 and consider what to write, I’m flooded with uncertainty. That’s not like me. Writing these predictions is something I’ve always looked forward to – I don’t prepare in any demonstrable way, but I do gather crumbs over time, filing them away for the day when I sit down and free associate for however long it takes me to complete this post.

But this time, well, for the first time ever I have very little idea what’s about to come out of the keyboard. Honestly, when I consider the coming 12 months, so much feels up for grabs that I wonder whether it’s wise to prognosticate. Then I remember, it’s all of you reading these words who keep me writing in the first place – your encouragement, your wise (and sometimes cutting) commentary, and your willingness to spend a little time with me and my thoughts. One of my New Year’s resolutions is to write more – it’s always been how I make sense of the world, and this year, the world feels like it needs a lot more sense making. So I’ll be writing at least a few times a week going forward, starting with this uncertain post.

Let’s see what happens….

1. The bloom comes off the tech industry rose. Two years ago, I predicted that the tech industry would wake up to the power it had accrued and start giving a shit both about its impact on the world, and about the world’s largest problems, with climate change being the most pressing of them. That didn’t really happen, despite truly commendable philanthropic, social, and climate change work done by all of the “Big 5” tech companies (Microsoft, Amazon, Google, Apple, Facebook). As of this writing, the technology industry is now the undisputed leader of the business world. Its power has concentrated into demonstrable oligarchy – beyond the Big 5, Uber and Airbnb are now being called to question because of their potential monopolistic, rent extracting behavior. But the industry’s philosophical outlook remains rooted in its days as a challenger brand. This can’t stand. 2017 will be the year the industry is cast as a villain – for its ravenous and largely opaque data collection practices, its closed and self-serving approach to its own platforms, and its refusal to acknowledge or address the very real externalities, particularly in employment, created by its products and services. Some of this backlash will be unfair – but that’s not my point. Society vilifies those in power who appear to be unfairly profiting from that power. And in 2017, tech will be that villain.

2. The conversation economy breaks out. This is certainly related to #1, if oddly oppositional. The Big Five will be in an all out battle to engage us through conversational interfaces this year. If you’ve been reading me for over a decade, you might remember my predictions around the “conversation economy.” I was a bit early (OK, a decade too early), but the technology and the consumer behavior/expectations are now aligned to allow for a breakout year in user experience to finally occur. This began in earnest last year with the hype around chatbots, and the ascendance of Alexa and Google Home, all of which followed on the heels of Google Voice Search and Siri. But what will really shift the experience will be the explosion of smart chatbots that actually get shit done – I’m with Kik CEO Ted Livingston, chat is the new browser. Combine smart chat with voice, and … well, we’ll start to see a new UX for the web. What’s the economic model for this new UX? Good question! But the key will be meaningful interaction between all these services, instead of attempts to create a vertically integrated, locked-down walled garden. But that will only happen if…

3. Open starts to win again. It’s dangerous to link two predictions, because if one doesn’t work out, the other is likely to fail as well. It’s even worse to link your first three… but what the hell. Tech’s hegemony is so great at this point, that the only way I can see it breaking down is through a return to the open standards which bequeathed us the Internet in the first place. 2017 will be the year that open starts to win again as a business model and an approach to creating a developer (and hence consumer) ecosystem. Google can and should be the leader here, given its core DNA, but I’m not sure that will be the case. Now, what do I mean by open? Well, interoperability, for one. It’s great that anyone can create a chatbot on Messenger, or Kik, or WhatsApp, but true innovation will come when anyone can create a chatbot that works with all of them, sharing data and user profiles across platforms. The same goes for the marketing industry – publishers and marketers alike should be able to consolidate and leverage data across all meaningful platforms, instead of cultivating different patches in every service’s walled gardens. The same goes for consumers, of course – I want to know what data is being used to mold the choices being laid out in front of me (including the ads, and yes, my f*cking newsfeed!). There will be meaningful demand from “users” to have more fluid and intuitive controls of their experience. And if my #2 holds true, then voice becomes a literal lingua franca, rendering platform lock in long-term meaningless, because jumping from service to service will be as easy as saying “Alexa, WhatsApp my pal Chris with the results of my Google search on open platforms.” This year won’t be a turning point in this battle, but it will show meaningful progress, in large part because…

4. Privacy will become a strong product category. These linked predictions are  certainly becoming a theme. But last year saw strong growth for a number of stand alone privacy products like Signal and Confide, and the inclusion of strong crypto into massive platforms like iOS (remember the FBI fracas?), WhatsApp and Google (via its new Allo and Duo products). Influencers like Fred and many others are predicting a boon in this field, and I agree. But it’s one thing to encrypt your messaging. It’s another to secure your entire online life. That kind of security is hard to do, mainly because it obviates much of the value of the data harvesting which drives convenience in the consumer tech world. But fear of cyber warfare, fraud, and over-reaching marketers and government will create huge openings for consumer friendly versions of currently opaque products like PGP, password managers, and the like. And it’ll also drive political and consumer pressure for more robust consumer control around algorithmically driven consumer experiences. Smart companies won’t resist this trend, they’ll encourage it.

5. Adtech has a ripper of a year. Wait, I just predicted consumers will pivot to caring about privacy, but I’m saying the adtech business is going to have a great year?! Well…yes. Embrace the contradictions, because adtech is ready for its second act. It’s really sucked to be a leader in the advertising technology industry – half of the media industry openly hates your guts, and the other half is convinced your days are numbered because of the Google/Facebook oligarchy. But they’re all wrong. Advertising technology is, at its simplest, the ability to apply data to a decision at scale. And the more open and free flowing that data economy becomes, the better and more valuable the companies which enable it become. If my predictions 1-4 come true, then this one will as well: Independent, high-integrity companies in ad/martech are going to have a banner (no pun intended) year, because they’ll tack into the resistance the large platform players have to the trends I’ve outlined above. Watch: Sovrn Holdings*, AppNexus, Acxiom*, Trade Desk, and OpenX.

6. Apple releases a truly bad hardware product. OK, this one isn’t really tied to the others, but I think Apple’s poised to not just have a boring year (as I predicted it would last year,) but to really lay an egg for the first time in a very long time. It may be their answer to Amazon Echo/Alexa, or Google Home/Assistant, or it may be a follow on to the watch, or perhaps something the company has had up its sleeve for a few years that it feels obliged to roll out given its essentially uninspiring last few years of product releases. But in 2017, the press and the public will find a tangible reason to turn on Apple, and the company will likely respond by reorganizing, repatriating its cash (to curry favor with the current administration), and keep buying its way into the markets where it has repeatedly failed (IE, software as a service, entertainment (NetFlix?!!), and possibly social media).

7. A Fortune 100 company will announce its intention to become a B Corp. Large companies are increasingly under pressure from employees, customers, and society to create value for more than just their shareholders. For decades, business was allowed to tax environmental, social, and societal resources in pursuit of profit. A new generation of consumers and employees are demanding that business ladder to more than simple profit, but rather, have a core purpose—one that makes the world a little (or a lot) better place. Of course, there’s already a corporate governance structure that encourages this approach to running a company—the Public Benefit Corporation, or B Corp. (I wrote about B Corps last year here). My money is on Unilever, which has already been publicly discussing such a move. Two dark horses: Walmart and GE.

8. President Trump leaves Twitter. Ever since Twitter launched, I’ve usually included a Twitter prediction. This one sounds crazy, but it strikes me there are a few ways this might plausibly happen. Perhaps Trump will come to his senses and stop trying to run the country through a series of tweets. OK, that’s not very plausible. More likely is Trump will end up in some kind of a feud with Twitter over something utterly ridiculous, claim he’s the only reason the service is viable anymore, and decamp for Facebook, Snapchat, or who knows, maybe VK (that’s the largest Russian social media network, FWIW). Or maybe someone slips a cure for narcissism into his evening flute of Trump Champagne….

9. Snap soars – then sours. I’m increasingly of the opinion that this company is going to force a total rethink of our online culture. In fact, I think most of us have no idea how over our skis we are when it comes to the power that Snapchat has aggregated. I’m not talking about typical tech power, like number of active users or advertising revenue. I mean the power of the platform to engage and exploit our pleistocene-era social brains. I’m not entirely sure Snap Inc. has fully grokked that power. But Snapchat feels like a step function beyond anything that has come before it. I watch my own children use it, and I’ve watched them fall in love with Facebook, YouTube, Twitter, and countless pretenders (though I’m keeping my eye on Houseparty). Nothing compares to what happens when a group of kids connect on Snapchat. It literally becomes their social geography, and that fact will be widely recognized by the business community when Snap goes public. But almost hand in hand with that will come the Snapchat backlash, as scholars, alarmists, parents and school administrators speak out about the impact the app is having on the structure of society. Spectacles? By the end of 2017, those will seem quaint. Side note: There’ll be an amazing science fiction novel that comes out in early 2017 whose main protagonist will be compared to Snap. And yeah, that’s a fix, because I’ve already read it…

10. Human connection commands a premium in the workforce. OK, OK, this has certainly been the case for all of history, at least – ahem –  for a certain kind of connectivity. But in an age where it seems every job can be replaced by AI or a robot (or both), we’ll see a shift in how society values previously under-appreciated jobs that cannot be automated away (or if they can, the automated version fails to deliver human connection). Think about jobs that are socially valuable, require direct human contact, but are currently very poorly remunerated: Teacher, nurse/home care aide, waiter, small business owner, musician/artist come to mind. In 2017, we’ll come to realize that we’re valuing the wrong things, and start a conversation about paying people to connect with each other – because if we can automate the other stuff, why the heck wouldn’t we value each other more?! Related: The conversation around Universal Basic Income (or my preferred term, the Citizens’ Dividend) will become white hot (it’s white hot in the Valley at present, but it’ll move into broader circles in 2017).

Well that’s ten predictions, which seems like a nice round number. As I review them, I realize there’s a pretty high chance I could seriously whiff this year. What do you think?!

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Related:

Predictions 2016 

2016: How I Did

Predictions 2015

2015: How I Did

Predictions 2014

2014: How I Did

Predictions 2013

2013: How I Did

Predictions 2012

2012: How I Did

 

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