"Here is how platforms die: first, they are good to their users; then they abuse their users to make things better for their business customers; finally, they abuse those business customers to claw back all the value for themselves. Then, they die."
Andrew, you are the second person in as many days to recommend it to me. So clearly, it is something I need to read. I’m on it. 🙏 And that essay is what inspired the title - although I confess I couldn’t really give too much a shit (forgive me) about TikTok, which I watched in real time addle the brains of late teens/early twenties people in my life. The repetitive two second squawks of a TikTok scroll performed live without headphones on a busy train carriage haunts the periphery of my dreams forever.
This is also the basic plot to Oliver Stone’s Wall Street and to a lesser extent “Pretty Woman” with some background on the origins of private equity / activist investors - publicly traded companies with big balance sheets, poorly run with too heavy management and bloated expenses. These conglomerates were often mini-monopolies that flourished under the protection of high tariffs and other high costs of entry to a sector. The proof of their incompetence and bloatedness often came in the way of foreign competitions (think Toyota to GM) or new start ups (think different, I mean Apple to IBM). The original idea of private equity would be to streamline management, rationalize expenses, focus on a few related core areas. Often this meant a capital infusion upfront followed by many years of stronger profits to follow. Selling off non-core or money losing operations / assets was a typical way to do this. A lot of that restructuring in the 70s was positive long term, but in the 80s and 90s the supercharging of debt financing has killed off many of our beloved institutions (like newspapers) without creating anything of value in its place.
We need a better way of measuring value to society and optimizing for that. Money ain’t the right yardstick.
This is happening everywhere, good people need to stand up and say 'enough is enough' and do something. Like you have. Part two must be about how you are a key part of a group trying to bring our pub under community ownership, reversing this trend and breathing new life into our village!
It's important to call it, and get it out. You create a base, as others neatly observe, for parts 2 and 3, immediate pub and more broadly! The struggle versus enshittification needs naps in between
Well I can’t but agree that venture capital and private equity don’t care one bit. The sad thing is that corporations are said to be at the heart of it with fiduciary responsibility to shareholders the only metric. Corporations could easily be constituted differently as they initially were if it was desired by shareholders. But it isn’t it seems. Greed and fear appear to be primary drivers. I despair sometimes (not really in my nature either). Great piece. Thanks you.
The problem is that there is no other metric of “good” apart from “good for the shareholder”. Overhauling that would require a fundamental rewiring of how we approach business and the nature of companies. I despair too. Joel was like “it’s not a very hopeful piece” and I was like “it’s because I’m not hopeful”. I don’t have any solutions but surely it’s worse if we don’t see the problem in the first place.... thanks for reading, John. 🙏✊
It is very far from perfect! 😅 you should see the weeds and how long the grass is. But it’s perfect for us ❤️ thank you for reading, Margaret. I’m glad you enjoyed x
Oh we will, bc it’s much less effort that way and we are both time-poor 😅 Also, on the subject of creatures, in the summer we were lying in the hammock one evening and Joel grabbed me and was like “oh my god” when a creature scurried underneath it (assumed it was a rat as we’ve had them before 😣) - BUT IT WAS A HEDGEHOG! It made straight for our compost heap to gorge on worms. And dear me are they adorable and boy do they run in a silly, clunky and surprisingly fast way 🥰
Equity firms are hollowing out the privately owned forests of the Northwest United States, where I live, having bought up most of the small and midsize timber companies. Complete enshittification. Thank you for explaining the process.
I have lived in Montreal for a quarter century (and it's not all roses here either) but looking at the UK from afar these days and the things you write about ... well, enshittification just about sums it up. That and apathy - we have it here too. Good luck.
Wow, this was as fascinating and enlightening as it was depressing and infuriating. What the fuck is the titled lord up to that necessitates Guantanamo security…? I’m so sorry about your pub. The same has happened in our village, there’s two pubs holding out but I doubt they’ll last long. There’s a prevalent sense of defeat. And TDR’s website, Jesus Christ…
It’s the defeat - and apathy - that gets me most. Subject of tomorrow’s piece. Sorry to hear about your pubs too Chloe 😓 and thank you for your righteous outrage ❤️🙏 it’s terribly thin on the ground in my neck of the woods.
Yes and yes and yes many, many, many times over.
Related to your nearby Estate - have you read The Book of Trespass by Nick Hayes? (https://www.bloomsbury.com/uk/book-of-trespass-9781526604712/)
Also, the name for his post reminds me of Cory Doctorow's masterful essay on Tik Tok's enshittification. (https://pluralistic.net/2023/01/21/potemkin-ai/)
"Here is how platforms die: first, they are good to their users; then they abuse their users to make things better for their business customers; finally, they abuse those business customers to claw back all the value for themselves. Then, they die."
Andrew, you are the second person in as many days to recommend it to me. So clearly, it is something I need to read. I’m on it. 🙏 And that essay is what inspired the title - although I confess I couldn’t really give too much a shit (forgive me) about TikTok, which I watched in real time addle the brains of late teens/early twenties people in my life. The repetitive two second squawks of a TikTok scroll performed live without headphones on a busy train carriage haunts the periphery of my dreams forever.
Like your post, the book is thoughtful, well written and provocative.
Likewise, I have no interest in TikTok. Have fleetingly glimpsed it due to a friend sharing links but that is all. I do love your description of it!
This is also the basic plot to Oliver Stone’s Wall Street and to a lesser extent “Pretty Woman” with some background on the origins of private equity / activist investors - publicly traded companies with big balance sheets, poorly run with too heavy management and bloated expenses. These conglomerates were often mini-monopolies that flourished under the protection of high tariffs and other high costs of entry to a sector. The proof of their incompetence and bloatedness often came in the way of foreign competitions (think Toyota to GM) or new start ups (think different, I mean Apple to IBM). The original idea of private equity would be to streamline management, rationalize expenses, focus on a few related core areas. Often this meant a capital infusion upfront followed by many years of stronger profits to follow. Selling off non-core or money losing operations / assets was a typical way to do this. A lot of that restructuring in the 70s was positive long term, but in the 80s and 90s the supercharging of debt financing has killed off many of our beloved institutions (like newspapers) without creating anything of value in its place.
We need a better way of measuring value to society and optimizing for that. Money ain’t the right yardstick.
Preach. 🙌❤️
This is happening everywhere, good people need to stand up and say 'enough is enough' and do something. Like you have. Part two must be about how you are a key part of a group trying to bring our pub under community ownership, reversing this trend and breathing new life into our village!
❤️ Richard, that’s *exactly* what Joel said. He was like “it feels like half of a two-parter”.... 🍻🍻🍻
I hope this can happen!
Check out part 2! Eat da rich.... 🙏❤️
Cannibals who want us all to be Sharecroppers
I saw the slow death of most of the mom & pop stores.....forced out by Ridiculous rents.
I choose Etsy and local everything.
Ah. I remember when the left cared about casino capitalism. You know, stuff that actually matters and affects ordinary people. Great piece.
Also, I must employ more fucking swearwords in my fucking work. Offline, I swear like a fucking sailor.
The filter slips when I get this fucking angry. 🤝
Thank you. Formidably researched and memorable. What it feels like to be losing the "value".
It feels like a rage-scream-cry. Mostly rage. Thank you Kenneth 🙏
It's important to call it, and get it out. You create a base, as others neatly observe, for parts 2 and 3, immediate pub and more broadly! The struggle versus enshittification needs naps in between
Rip van winkle 🙋🏻♀️ wake me up in 20 years when the horror show is gone
Well I can’t but agree that venture capital and private equity don’t care one bit. The sad thing is that corporations are said to be at the heart of it with fiduciary responsibility to shareholders the only metric. Corporations could easily be constituted differently as they initially were if it was desired by shareholders. But it isn’t it seems. Greed and fear appear to be primary drivers. I despair sometimes (not really in my nature either). Great piece. Thanks you.
The problem is that there is no other metric of “good” apart from “good for the shareholder”. Overhauling that would require a fundamental rewiring of how we approach business and the nature of companies. I despair too. Joel was like “it’s not a very hopeful piece” and I was like “it’s because I’m not hopeful”. I don’t have any solutions but surely it’s worse if we don’t see the problem in the first place.... thanks for reading, John. 🙏✊
Your garden sounds perfect!
It is very far from perfect! 😅 you should see the weeds and how long the grass is. But it’s perfect for us ❤️ thank you for reading, Margaret. I’m glad you enjoyed x
Thank you for the reply- unkempt ( freed) gardens are best for all sorts of vitally necessary creatures, so keep going!
Lucky you. Just remember to never feed hedgehogs cows milk, it’s poison to them!
!
I would never. 🤝 We only put raw organic waste in the compost, nothing cooked, no meat, no dairy, etc. xx
Oh we will, bc it’s much less effort that way and we are both time-poor 😅 Also, on the subject of creatures, in the summer we were lying in the hammock one evening and Joel grabbed me and was like “oh my god” when a creature scurried underneath it (assumed it was a rat as we’ve had them before 😣) - BUT IT WAS A HEDGEHOG! It made straight for our compost heap to gorge on worms. And dear me are they adorable and boy do they run in a silly, clunky and surprisingly fast way 🥰
Equity firms are hollowing out the privately owned forests of the Northwest United States, where I live, having bought up most of the small and midsize timber companies. Complete enshittification. Thank you for explaining the process.
I’m sorry. 😔 Those motherfuckers. I’m angry with you.
Me too, on your behalf. I so want you all to have your pub back from those bastards
I loved this piece. Going to read the other one now.
Alex, thank you so much for reading. I loved (like, LOVED) your cowboy on a plane story. 🙌
Hah thank you ❤️
I have lived in Montreal for a quarter century (and it's not all roses here either) but looking at the UK from afar these days and the things you write about ... well, enshittification just about sums it up. That and apathy - we have it here too. Good luck.
Just discovered your post about the pub and private equity. You speak for me. Thanks.
✊ thanks Richard
Wow, this was as fascinating and enlightening as it was depressing and infuriating. What the fuck is the titled lord up to that necessitates Guantanamo security…? I’m so sorry about your pub. The same has happened in our village, there’s two pubs holding out but I doubt they’ll last long. There’s a prevalent sense of defeat. And TDR’s website, Jesus Christ…
It’s the defeat - and apathy - that gets me most. Subject of tomorrow’s piece. Sorry to hear about your pubs too Chloe 😓 and thank you for your righteous outrage ❤️🙏 it’s terribly thin on the ground in my neck of the woods.