A typical industry’s lifecycle culminates in the consolidation phase - that is, market participants eventually merge with other related companies to form larger conglomerates. Although these mergers typical show signs of stability and maturity, this process also consolidates wealth and exacerbates income inequality.
Left to their own devices, private enterprises would swell into monopolies that dominate the market and impact all of our lives with their political and social influence. Many fear the FAMGA tech giants – Facebook, Apple, Microsoft, Google, and Amazon – are becoming monopolies, wielding all of their massive power to improperly influence our political and economic systems. Blockchain technology, however, is a counterbalance to these mighty megaliths.
Economists have been cautioning against the consolidation of the tech industry for quite some time. Politicians on both sides of the aisle have questioned the effectiveness of antitrust enforcement based on the seemingly unstoppable growth of the FAMGA and similar conglomerates. In fact, these tech giants now dominate the S&P 500—a stark difference from just over ten years ago when ExxonMobile and General Electric topped the list. Now, many fear this concentration of wealth is stifling innovation. Moreover, with only a limited number of companies prospering, tech giants’ control of the tech market allows them to manipulate our behavior. This is a particularly critical concern now that the Obama-era net neutrality rules have been rescinded.
Decentralized, open source blockchain-based services may prove to be the very type of market disruption that the tech industry badly needs. It can be applied to mitigate the issues that tech giants’ consolidated wealth is causing to our virtual lives. Blockchain is a groundbreaking new innovation that is often compared to the emergence of the internet. Just as no one person, government, organization, or corporation owns the internet, neither does any one entity own blockchain. So, there is a relatively lower risk that a blockchain-based tech market would consolidate into a few monopolistic companies as it has under the traditional internet.
When market control is properly distributed, the system becomes safer and more private. Moreover, innovation, due to blockchain’s immutable characteristics, opens a wave a new use uses. However, the decentralized nature of blockchain is a benefit to consumers and the average citizen who has ceded control of his or her personal data to consolidated tech giants. FAMGA and other tech companies do not only store our data, but they often bundle and sell it at an enormous profit. As a result, decentralized blockchain serves to benefit the average citizen by returning privacy controls to the individual, and even opens paths for consumers to benefit from the sale of their data.
Halo Platform understands that blockchain technology is not the latest widget or gadget. It’s a totally new way to interact with people and services online. As the internet continues to play an increasingly important role in each of our daily lives, we will be relying on blockchain technology more and more. In order to make sure that nobody is left out of this next digital revolution, Halo Platform is developing an all-in-one cryptocurrency platform that everyone can use. Soon, we won’t all be subject to the economic and social pressures created by the increasingly powerful FAMGA conglomerate. Join the revolution, and check out Halo Platform today.
Join the Halo Platform