From the Industrial Revolution to the Digital World: How Big Techs Shape the Global Economy
The Industrial Revolution and Technology: A Connection Between Past and Present Professions
The Industrial Revolution was a landmark event that deeply transformed work, society, and the economy. The advent of steam engines and factories created a new organization of labor and new social relations. For Karl Marx, this moment was crucial to understanding the dynamics between capital and labor. Marx observed that “the development of capital fixes workers in subordinate positions,” highlighting how workers were tied to the control of machines and the division of labor.
Today, when we look at the digital revolution, we see a similar phenomenon. Digitization and technological advancements create new professions, but also reinforce divisions between those with access to technical knowledge and those without it. Mastering skills like programming and artificial intelligence has become as essential as mastering steam engines was in the 19th century. In this sense, technology redefines work and the power dynamic, creating a new form of division between those who control technological tools and those who are left behind by this progress.
Inequality and the Role of the State in the Digital Divide
It was economist John Maynard Keynes who warned about the need for an active role for the state during times of great economic transformation. While Keynes was optimistic about the potential of automation and technology to increase productivity, he also recognized that these changes could lead to higher unemployment and inequality if not adequately addressed.
In his famous essay "Economic Possibilities for Our Grandchildren," Keynes suggested that automation could reduce the burden of work, but his concern was not just with reducing working hours; he was worried about the consequences of increased productivity, which could create economic and social imbalances. For him, the increase in productivity should be accompanied by public policies that ensure full employment, fair wealth distribution, and equal access to the benefits of economic progress.
In the modern context, we see that the “digital divide” – the gap between those with access to technological education and those without it – is a significant concern. As technology shapes work and the economy, it is essential for governments and society to engage in building policies that ensure a more equitable distribution of the benefits of this digital revolution.
Big Techs: Parallel States in a Globalized World
The power of large technology companies – the so-called big techs – has become a central theme in the debate about the future of democracies. With immense financial resources and global influence, these companies often operate independently of any national jurisdiction, creating a kind of "parallel state." They have the power to influence elections, shape public opinion, and even challenge the authority of governments in critical areas like regulation and law.
Examples of this power can be seen in actions such as Google’s interference in Brazil, where it used its homepage to publish an advertisement against a bill aimed at limiting the power of big techs and increasing regulation on them 1. This move highlighted the extent of the influence these companies have, with their enormous communication capacity directly challenging the sovereignty of a nation. Similarly, Twitter became embroiled in controversy when it refused to remove content promoting attacks on schools and far-right extremist ideologies, despite requests from Brazil's Ministry of Justice 2. This type of behavior reflects the growing trend of big techs acting as entities with power comparable to that of governments, often operating without accountability or oversight.
These examples force us to rethink the balance of power in contemporary society. Big techs are no longer just providing services or products, but they exert significant control over essential aspects of daily life, such as information, communication, and even freedom of expression. The cases of Google in Brazil and Twitter are just some of the many examples of how these corporations can position themselves above local laws and, in certain cases, operate without restrictions, challenging the sovereignty of states.
Social Sciences and the Role of Technology in Inclusion
The social sciences play a crucial role in helping us understand the impact of technology on society. Ulrich Beck, for example, introduced the idea of the "risk society," where technological innovations bring both opportunities and challenges. Technology is not neutral, and its social and economic impact goes far beyond simply improving business efficiency. Innovations can reinforce inequalities or create new forms of exclusion.
It is here that the role of the social sciences and ethical reflection on technology becomes essential. We must question how technologies can be used to include more people, democratize access to knowledge, and ensure that their social implications are considered. Just as Keynes advocated for state intervention to mitigate the negative effects of economic progress, public policies must be an integral part of the digital revolution to ensure that technological innovations do not deepen social inequalities.
Lessons from the Past for the Future
When reflecting on the lessons from the Industrial Revolution and the theories of Marx and Keynes, we understand that technological progress must be accompanied by social and economic reflection. Marx teaches us about the inequalities that arise from the control of the means of production, and Keynes reminds us of the need for public policies to ensure that the increase in productivity and automation does not result in greater inequality or unemployment.
As technology professionals, our role goes beyond creating new solutions and platforms. We must be aware of the social impact of our work and strive to ensure that technology is an inclusive force, contributing to a more just and balanced society.