> Thiel seems to genuinely believe the USA, and the west in general, is in an existential struggle with forces intent on destroying it.
As much as I dislike Thiel, he does have a point there: Russia is actively funding misinformation campaigns with the aim of splintering Europe (e.g. by funding far-right political parties like the AfD in Germany or the Brexiteers in the UK), and China is a threat on a geo-political level (New Belt Road) as well as a military threat (e.g. Taiwan), not to mention their Third Reich-inspired genocide against the Uyghurs and Tibetans.
The world is in a "war of cultures" indeed - the remnants of the Western democracies versus strong authoritarian governments. And we haven't found a way to counter Russian or Chinese political ambitions yet.
> That’s especially true if you have good confidence in the checks and balances in the free west to prevent the worst abuses of such tools, and that the threats are truly dire.
Under normal circumstances, that confidence would be valid. Unfortunately, we have our own actors who have an interest in tearing down these "checks and balances" for their own gains (e.g. the Republicans systematically destroying trust in public institutions, from elections to the integrity of the FBI, or Poland and Hungary where the rulers want to stay in power and enrich themselves and their friends)... which means we as Western nations are in a "lose-lose" situation. We can't combat propaganda effectively for a variety of reasons, and as a result of that the propaganda tears down our societies.