Tag: policy

Will AI Ever Become a True Platform? Not Without Us….

Yesterday Microsoft CEO Satya Nadella published a fascinating essay that reads as both a rebuke to frontier AI model companies like Anthropic and OpenAI, as well as a call to arms to the entire business community.

Nadella is worried that OpenAI and Anthropic are about to eat everyone’s lunch – Microsoft included. “I’ve been thinking a lot about the future of the firm in an AI-driven economy,” he opines. “The last thing any of us want is a world where every company across every sector is ceding value to a few models that eat everything they see.”

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Battle Lines Are Drawn (Predictions 2026, #2)

The 1960s ain’t got nothing on today.

I concluded my post “Magic and Mayhem” with a bit of a tease about the impact of AI on our society:

There will be lots of magic this year. But there will also be plenty of carnage as previously unbreachable moats start to crumble, not only in business, but also in society at large. For more on that, stay tuned for prediction #2. 

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Magic and Mayhem (Predictions 2026, #3)

Magic maker

Do you remember the last time you felt the magic? When you encountered something truly novel, something that was both surprising and at the same time deeply familiar, because you had imagined such a thing, but until that very moment, believed it impossible?

I’ve had only a handful of such moments in my long relationship with digital technology. The first was in 1981, when I programmed a game of tic-tac-toe on an underpowered IBM PC. I compiled the crude lines of code I’d been assigned to write, issued the command “RUN” at the C: prompt, and damned if the thing didn’t actually work.

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Grading My 2025 Predictions

Nostradamus, so predictable.

All year long I monitor my annual predictions, taking note when events either make me a fool or a sage. 2025 marked perhaps the most unpredictable and frustrating year of them all – and that’s not nothing, given I started prognosticating in 2003. But then again, I did expect an odd one – from my 2025 post: “This isn’t going to be a normal year. 2025 will be strange, frenetic, and full of surprises.”

I titled my post “Tech Takes the Power Position.” While I didn’t make that sentiment one of my specifically numbered predictions, it did provide the context for how I was thinking about the year ahead. “We’re not accustomed to the tech industry having this much raw power. The finance industry? Sure…But this year, for the first time ever, Big Tech has leap-frogged finance in the pantheon of political influence…the subset of Big Tech bros who’ve bought their way into the Oval are evangelists for an untested and downright strange brand of magical thinking best summed up as “techno optimism.”  …for better or for worse, 2025 is going to be the year when the loudest voices in the room are all adherents of the Great Man Theory, and they all happen to have direct access to the Oval Office.”

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Algorithms and Capitalism: Cleaning Up The Waze Parade

Where are we all going?!

Do you feel it? A simmering discontent with the state of capitalism in American life? I certainly do. My kids engage with social media only if they have to – never because they wish to. They believe their feeds are  manipulated by corporate interests, and they are distrustful of anyone who believes otherwise. My wife is convinced that anything she buys online – particularly the bigger ticket items like flights or hotels – is priced based on what algorithms calculate she can afford to pay – not what might be fair or offered to others. Parents in my friend group are terrified that their kids are using ChatGPT as a confidante and therapist whose motivations are unfathomable. The stock market keeps pushing ever upwards, but my colleagues are increasingly convinced a crash is around the corner.

Something just feels….off. The complex socio-economic system that we’re all a part of seems rigged. And we feel powerless to do anything about it.

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Tech And Society’s Faustian Bargain

Capture.

I led my predictions for 2025 with the dog-bites-man observation that technology has eclipsed finance as the most powerful industry in the world. More than six months into the year, I’d like to emend my conclusion. Tech hasn’t eclipsed finance. It has captured it. 

Finance has always leveraged technology – at Wired in the early 1990s, we were fond of saying that technology’s twin engines of innovation were money and sex – but the most interesting story was always money. Care to understand the future of internet infrastructure? Bone up on how hedge funds optimize network latency. Want to peer into the future of online consumer services back when the Web was a glint in Marc Andreessen’s eye? Start with online banking. 

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If You Trust AI, You’re Asleep. (At Least You’re Not “Woke”)

Today brought so many stories worth “notes and observations” that I thought I’d try something new – a flash newsletter of sorts, with commentary on stories that pushed my eyebrows up a bit more than usual. Each of these items is worth a full-fledged long-form piece, but it’s Friday, so let’s be brief:

Do You Trust OpenAI? Over the past two years I’ve been warning that when it comes to long promised “user agents” that work on our behalf, AI companies would inevitably adopt the big tech playbook of providing centralized services that they control, ensuring that consumers are dependent on their platforms and by extension, locked into their services. This architecture is anathema to true innovation in a modern data economy, but inevitable given the capital constraints of current AI models. Well, this morning brought news of OpenAI’s “Agent,” which purports to “take over” our computers and take action on our behalf. As I’ve asked, over and over, is this the way we want the future to unfold? Who exactly do we think OpenAI’s agent really works for? Hint: It’s not us, anymore than Facebook, Amazon, or Google ended up working for us.

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CloudFlare To The AI Industry: Pay Up!

Cloudflare founders Matthew Prince and Michelle Zatlyn from a 2015 SXSW presentation (image)

There are precious few companies in the tech world that are willing to stick their necks out and “do the right thing,” and even fewer who both operate at Internet scale and enjoy Wall Street’s unabashed fandom.

In fact, I can only think of one: Cloudflare. And today, the $65 billion public company* announced a new policy that has the potential to tilt the balance of the Internet back toward the little guys. Starting this morning, Cloudflare will automatically block AI crawlers from copying the content of every website the company protects. And it’s doing it for free.

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Is AI the “Big Bang” or Merely a “Turning Point”? Much Depends on the Answer

According to scholar Carlota Perez, one of tech’s most revered theorists, society regularly goes through technology-driven “revolutions.” These structural cycles can take fifty years or more, and are defined by core technologies which shape life as we know it. Her list of previous cycles include the Industrial Revolution; The Age of Steam and Railways; The Age of Steel, Electricity and Heavy Engineering; and The Age of Oil, the Automobile, and Mass Production.*

Back in the early 2000s, Perez has identified the Internet (more formally, ICT, or “information communications technologies”) as the dominant technological force driving our current age. Perez’s framing has been a favorite of pundits ever since – and has played a central role in the debate as to whether a much-hyped “Next Big Thing” – crypto, the metaverse, quantum computing – is merely a feature of an ongoing revolution, or the starting gun to an entirely new age.

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How Google Can Win the Future

[Second in a series, first post here]

This past week, Wall Street caught up with the rest of us and realized that Google has lost its monopoly grip on search. The trigger wasn’t Google losing an anti-trust case – that happened last summer. Nor was it the first ten days of Google’s ongoing search remedies trial. Instead, it was a statement just two days ago by an Apple executive, Eddie Cue, which led to an almost instantaneous panic amongst investors.

Cue told the court that consumers’ preference for using AI agents had led to a decline in search traffic inside Apple’s Safari browser (Google pays Apple more than $20 billion a year to secure that traffic – a major focal point of the government’s case).

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