Centralization is inevitable, but decentralization is right behind it
41–50 of 158 posts
Re: Centralization is inevitable, but decentralization is right behind it
#42Re: Centralization is inevitable, but decentralization is right behind it
#43Re: Centralization is inevitable, but decentralization is right behind it
#44Sufficiently large systems benefit more and more from specialization, the emergence of content delivery networks on top of the more generic internet is an example. As the types of content we consume are getting more and more sophisticated, bandwidth heavy and capital intensive, specialized infrastructure and distribution pays off more and more.
For that reason peertube and other alternatives are pretty much structurally doomed. They'll never compete or be as economical as services and infrastructure optimized for that task.
Re: Centralization is inevitable, but decentralization is right behind it
#45The point of open protocols is not that there will actually be many providers, but that one could switch providers easily if they do something fishy. It's about the threat, and what can happen on margin. Keeping a sword dangling over the monopolist's head is reasonable.
Plus, if these protocols are built on top of cryptographic methods, it might not be so easy for the providers to do something fishy in the first place.
Re: Centralization is inevitable, but decentralization is right behind it
#46As an example, IBM was once the dominant market force in computation. As the business grew and became increasingly byzantine, it was unable to respond to market changes or market demands in any meaningful way, and therefore the market became decentralized. This happened to Microsoft. If Apple continues on its current path it will happen to Apple. If Google continues on its current path, this will happen to Google. The entire internet was once significantly decentralized both in structure and in content providers. The content got silo'd by a few major players, and it is now swinging back the opposite direction while the structure is becoming increasingly AWS/Azure/Google. This too will eventually start going the opposite direction as those infrastructure providers ossify.
Nothing is forever.
Re: Centralization is inevitable, but decentralization is right behind it
#47The point of open protocols is not that there will actually be many providers, but that one could switch providers easily if they do something fishy. It's about the threat, and what can happen on margin. Keeping a sword dangling over the monopolist's head is reasonable.
hello@joe — greeting, editorial rule and name on the Internet
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Re: Centralization is inevitable, but decentralization is right behind it
#48Nit: Dunbar’s number is casually used in a way that doesn’t seem relevant here. It’s not true that we can only remember about 150 entities. People know many thousands of words. (It is true that there are limits on what people will remember.)
"maintaining relationship" is not the same as remembering or knowing the person's name. It is spending enough time with the person that you have an ongoing relationship, which is eased if you remember a number of details about them (job history, hobbies, birthdays, etc).
On average matters because the number is about group size, not any one individual's ability. For the group to cohere, most of the people in the group need to know most of the people in the group.
You will find people who can only manage 100 or fewer relationships, likewise, people who can maintain many more, even orders of magnitude more.
It isn't about the individual. It is about the group.
Re: Centralization is inevitable, but decentralization is right behind it
#49Earlier quoted context omitted.
Just go and get cash during a bank run. How hard can that be?
That wasn't provided as a condition. In a bank run, Visa's existence or non-existence is irrelevant. Credit is frozen.
Re: Centralization is inevitable, but decentralization is right behind it
#50It is true that power laws are seen everywhere, and that there are reason for those. I like the article, because it exposes very quickly a very powerful idea, but I disagree with the conclusion. Information networks are built by humans, they are designed, they are not necessarily bound by the rules of evolution. Which means we may yet be able to find a system that is not afflicted by the curse of perpetual destructio…
The key challenge is that that system, by design, will be less efficient than other competing systems. So if there is a surrounding meta-system that allows it to compete with others, the other systems that tend towards consolidation will drive out your system.
It's essentially the same problem we see in economics today with supply chains. Companies that optimized their supply chains to have more margin made more money and won... as long as the supply chains were all running perfectly. But once COVID happened, it became clear that those businesses had no resilience.