SI244-Chap8-Schiller PDF

Chapter 8: Schiller Socio-Informatics 244 Christiaan Maasdorp Background: Information Explosion Herbert Schiller highlights the massive growth in information technologies and its differences from previous communication systems....

Chapter 8: Schiller Socio-Informatics 244 Christiaan Maasdorp Background: Information Explosion Herbert Schiller highlights the massive growth in information technologies and its differences from previous communication systems. Unprecedented Growth: Rapid increase in information technologies since the 1990s. Global Networks: Real-time, high-volume information flow. Internet Penetration: Majority access in Europe and the U.S. by 2012. BUT Capitalism priorities remain the same despite this technological change! Key Concepts Marxist vs Marxian: Political program vs analytic apparatus. Schiller’s three pillars: – Structural features behind information/media. – Political economy approach: analysis of the Capitalist system. – Historical evidence: analysis of macro trends. Key Questions Power, Control, and Interest Central questions about IT implementations: – for whose benefit? – under whose control? QUOTE: “For instance, typically Schillerish questions are: who initiates, develops and applies innovative information technologies? What opportunities do particular people have— and have not—to access and apply them? For what reasons and with what interests are changes advocated? To what end and with what consequences for others is the information domain expanding?” 1 Marxist Views on Information and Capitalism Marxian analysis of the role of information Techno-Capitalist production Continuity of capitalist development Class inequality and access NOTES: Schiller and other Marxist scholars argue that the information revolution is not a break from the past but a continuation of capitalist development. They contend that the system remains fundamentally intact. Information is critical to maintaining capitalism’s structure. Techno-Capitalism concept captures that information/knowledge and associated tech- nologies are central to modern capitalist production. The rise of ICTs does not signal a new system that supercedes capitalism, but strength- ens it. Access to information is unequal and shaped by capitalist class structures. Political Economy of Information Ownership, profit motives, and corporate interests drive commodification of information. Ownership Matters Systemic Analysis Commodification Historical Perspective NOTES: Schiller emphasizes a systemic approach to understanding how information is con- trolled and commodified in a capitalist system. He focuses on ownership, profit motives, and the influence of corporate interests. Content is shaped by who owns media platforms. Information must be viewed within the context of capitalist systems. Information is bought, sold, and valued like any other commodity. ICTs evolve in line with the needs of different phases of capitalism. Commodification of Information Information as Commodity Market-Driven Production Class Inequalities Private Interests NOTES: A central theme in Schiller’s work is the transformation of information into a commodity, dictated by market forces. 2  Information is treated like other products (he uses the examples of cars and tooth- paste). Information and associated channels are created only if it can potentially generate profit. Access to information is influenced by socioeconomic status. Corporate control ensures information primarily serves profit motives rather than public interests. Key Elements of Argument Market criteria in development of information services Commodification of information Class inequalities (distribution, access, and generation of information) Corporate capitalism and media oligopolies NOTES: “The capitalist system’s long-established features (market criteria and class inequality), its structural constituents and the imperatives on which it operates, are the defining elements of the so-called Information Society. … how can one expect the very forces that have generated information and ICTs to be superseded by what they have created? Far more likely to anticipate that the ‘information revolution’ does what its designers intended—consolidates and extends capitalist relations” (p.154). “the Information Society reflects capitalist imperatives (i.e. corporate, class concerns and market priorities are the decisive influences on the new computer communications facilities) and, simultaneously, these informational developments sustain and support capitalism” (p.154). Corporate Capitalism and Information Networks Corporate control over information flows. Global networks coordinating corporate activities. Profit-oriented systems: IT development to meet corporate needs. Media oligopolies control much of global media. NOTES: Schiller argues that transnational corporations are key players in shaping global in- formation networks, ensuring they align with corporate interests rather than public good. Large corporations dominate global information flows. Information is vital for coordinating corporate activities worldwide. Information technologies are developed to meet corporate, not public, needs. A small number of corporations, like News Corp, control much of global media. 3 Transnational Empire Corporate capitalism grew into a ‘transnational empire’ – This growth requires IT: business financial services. – Infrastructure for a world market. Could it be a coincidence that the IT revolution happened to suit corporate interests? Schiller thinks ‘no’, because: – type of info flows overwhelmingly expresses corporate interests – development of IT infrastructure historically prioritized private over public inter- ests. Transnational interests TNCs pushed very hard for a conservative political agenda: liberalization, privatization, and deregulation policy result: unfettered business-oriented information systems TNCs commercial interests: Design of channels for advertising Content aimed at commercial criteria. Global marketing/brands depend on informational support of the media system. NOTES: - South African version of deregulation and privatization is very different from the neo-liberal version. - Viability of channels depends on ability to unlock advertizing, cf. Wikipedia’s struggle to stay afloat without advertising. - US Media function to “open up markets” – infotainment aims to sell or assist selling, cf. targeted advertising (especially online) Lauderdale Paradox “when certain resources are made available strictly on market terms some sec- tions of society are excluded because they cannot afford the product and thereby collective efficiency is eroded.” some people will be excluded from adopting the internet if it is left to commerce. the excluded minority present obstacles to a smooth-running society that relies on information networks to do work, banking, education and even democratic participa- tion. NOTES: See how Schiller’s position is different from Bell’s forecast. Bell thought that information society will mean that education, research, etc will be public goods, but Schiller shows that historically the opposite happened and information networks are developed in line with private interests at the cost of eroding the public good. 4 The Role of Media in Corporate Capitalism Media platforms for marketing. Sensationalist content (clickbaiting). Global reach of American media and values. Ideological control and consumerism. NOTES: Schiller discusses how media content is shaped by the priorities of corporate capi- talism, emphasizing profit and market expansion. Media platforms exist to market goods and services. Content designed to attract the largest audiences and maximize advertising revenue. American media dominance extends capitalist values worldwide. Media reinforces capitalist ideologies and promotes consumerism. Media Corporations Information industry = integral part of corporate capitalism Corporate capitalism and global media corporations work hand-in-hand to perpetuate market principles. Google, Meta, Amazon, Apple. UPI, AP, Reuters, AFP NOTES: Note how profit and ideology work in tandem. Conservative political agenda supports the deregulation and liberalization therefore profits. Deregulation = less state controls and red tape; liberalization = reduction of public financial support to media groups. Compare the difference between News Corp and ANN7. Compare with Castells’ naive view of interactive media the examples of political in- terference on pages 164-166. Ideological effects informational trends reflect the priorities of Capitalism & support its perpetuation. a vehicle for the ideological expression of Capitalist values and worldview drives consumerism through ‘cultural imperialism’ free services leverage information about their users to sell more accurately (the user is the product) 5 Media Corporations & the Future of Information Focus on corporate media power and their market-driven information practices: Media oligopolies Profit over public good Surveillance and control over information and data for marketing. Critical reassessment of media systems is needed to address growing inequalities. NOTES: Schiller’s final argument focuses on how corporate media power ensures the con- tinuation of market-driven information practices, emphasizing the need to question this trend. A few large corporations dominate global media landscapes. Media systems prioritize corporate profits over public access and welfare. Corporations increasingly control information flows and data for market purposes. Schiller argues for a critical reassessment of media systems to address growing inequal- ities. The Information Revolution & Capitalist Stability Information revolution did NOT create a new society Instead it reinforces capitalist stability and market values. Techno-Capitalism: Capitalist control relies on information. Market-centric development: profitability vs social good. Schiller critiques the notion that the information revolution has created a new society, in- stead arguing that it reinforces capitalist stability by embedding market values deeper into the information landscape. Capitalist Continuities: ICTs enhance existing capitalist structures rather than disrupt them. Market-Driven ICTs: Technologies are developed based on their profitability, not social good. Techno-Capitalism: Information plays a central role in maintaining capitalist control. Market-Centric Development: ICTs are increasingly developed for private profit, ex- cluding the public good. The Spread of Corporate Power Transnational empire of corporations. Information for corporate needs. Deregulation to shape media and information systems for corporate benefit. Privatization of IT infrastructure serves corporate goals. 6 Schiller focuses on the growing power of transnational corporations and their ability to influence not only markets but also the very structures of information systems. Corporations span across nations, leveraging information networks. Information flows are designed to support corporate activities. Corporations push for deregulation to shape media and information systems to their benefit. Privately owned information technologies and infrastructure serve corporate goals, not public welfare. Market principles Informatization of society bears the imprint of capitalist principles. The market decides what info is produced, for whom, under what conditions. According to Schiller technology is not neutral; its artefacts bear the impress of market values. Critical question: “what were the priorities of the corporate suppliers at the R&D stage?” Busines information services What kind of information today is being produced at incredible levels of sophis- tication? Stock market prices, commodity prices, currency informa-tion. You have big private data producers, all kinds of brokers... who have their video monitors and are plugged into information systems which give them incredible arrays of highly specific information, but this is all related to how you can make more money in the stock market... how you can shift funds in and out of the country... that’s where most of this information is going and who is receiving it. (Schiller, 1990b, p. 3) NOTES: Masses = infotainment; elites = financial services Military industrial complex Schiller thinks that it is the military’s responsibility to protect and preserve the capitalist system and its market ethos. The military’s preoccupation with communication and computers and satel-lites... is not some generalized interest in advanced technology. The mission of the USA’s Armed Forces is to serve and protect a world system of economic or- ganisation, directed by and of benefit to powerful private aggregations of capital. (Schiller, 1984b, p. 382) 7 NOTES: At the time, Schiller’s argument was not considered to be radical at all, in fact it was a standard mainstream argument about the relationship between R&D, big cor- porations, and the Pentagon. In a book called The New Industrial State (1967), John Kenneth Galbraith argued that the ‘military-industrial complex’ creates a mutually ben- eficial relationship between the government, large corporations, and the defense industry. This alliance drives excessive military spending (using tax money), not for security, but to maintain corporate stability and profits, which distorts economic priorities and weakens democratic oversight. These sorts of arguments were repeated by critics of the first Gulf War pointing to how defense contractors and oil companies benefited greatly. They suggested that corporate and economic interests, particularly in oil, drove U.S. involvement more than national security concerns after the Iraqi invasion of Kuwait. Capital’s commitment to commercialism What is called the ‘Information Society’ is, in fact, the production, processing, and transmission of a very large amount of data about all sorts of matters— individual and national, social and commercial, economic and military. Most of the data are produced to meet very specific needs of super-corporations, national government bureaucracies, and the military establishments of the advanced in- dustrial state. (Schiller, 1981, p. 25) NOTES: Three main phases of the United States’ science policy. 1. military and nuclear power (1950s) 2. health and environmental concerns (1960s/70s) 3. meeting economic and military requirements (1980/90s). A contemporary example is the ‘chip war’ sparked by the US Government’s export restric- tions on Nvidia’s advanced GPUs to prevent China’s access to high-performance chips for AI and supercomputing due to security concerns. Nvidia then created modified/stunted versions of these chips to comply with regulations while still serving the Chinese market (something US lawmakers argue is going by the letter, but not the spirit of their law). Government and regulatory control “Political programmes that have sought the privatization of once publicly owned utilities and the deregulation of one-time state-directed organizations have had a marked effect on the information domain.” “Across Europe, the United States and the Far East … strategies for making the informational realm responsive to, and dependent on, market criteria were put in place between the early 1980s and mid-1990s” See: British Telecom case study. 8