Is the Internet Already Pay-To-Play?
Broadly speaking there are a couple conventional ways to pay for media:
- Some individual or entity purchases time outright for presence (commercial TV or “Pay to Play”)
- An individual or entity pays to receive programming from a source (Pay Per View)
Obviously cable TV is a hybrid, with elements of both systems. But that mashup has never been easy or comfortable. A decade ago terrestrial broadcasters banded together to force cable companies to pay for what had always been free, over-the-air programming. Even over-the-air HD broadcasting has strengthened the hand of cable-carriers, since a cable subscription now locks many legacy-TV viewers into a subscription (fear is a powerful motivator). Still, in many areas, the interests and business models of the broadcast and cable industries align. The problem known as “the internet” has always been one of those areas.
When it became impossible to ignore Napster and the like, content owners were in an understandable panic. They pushed for draconian rules for entertainment media on the net, in an over-reaction not unlike 9/11: Criminalizing code, ideas, and legislating uneven rates that favored the powerful, legacy industry, and punished the upstarts and innovators by design. From this mindset came the environment we’ve inherited.
So it occurs to me that the internet is already very much a pay-t0-play model. Success is punished asymmetrically by hidden hosting charges that force you to decide whether you can actually afford for your video to go viral. Up and coming artists are ensnared in a rats nest of legalities, and like modern investors, engaging in markets and deals that no one really understands. The internet was been rigged, top to bottom, to ensure the winners of the 20th Century remain players in the 21st. To a great extent uneven control of access to public dataways (switches), and favoritism in the tolls assessed (royalties) have returned us to an almost industrial circumstance.
Ironically (or symptomatically) the same forces that limited industrial power at the dawn of the 20th century are forcing contraction in infoculture in our times. Infoculture, like pre-ecology industry, appears to be a limitless game, bound solely by our ability to store and move electrons around the physical world (which is reliably always growing). Back then when companies or their leaders abuse the trust of consumers, who also happened to be workers and voters, there were great crises of confidence. The debate over the “gold standard” was roiling precisely because no one trusted bankers and politicians. Today people no longer trust bankers or politicians because our trust has been so abused.
To the extent that the stock market is a measure of how financiers view their future prospects, things must be looking up. The reality is the value of equities bear no tangible relationship to the relative confidence or cowardice of any group of geniuses. This conceit is little different from that of soviet socialism – both perspectives concentrate undue weight and power in the hands of the most successful exploiters of an inherently flawed system. When the argument that “this bad idea is better than that other bad idea” we can make some progress. The real promise of infoculture, over industry and agriculture, is the potential for win-win. Since we can manufacture (or at least modulate and amplify) wealth with data, there are transactions where growing your pile doesn’t shrink my pile. Not only is this a game changer in human culture, it renders most of our notions of value, power and economy obsolete.
So we’re catching up. And while the market is surely wrong about many companies, in the main it’s probably right about many more who will just never get it, or find their entire business model dissolved beneath them. We vainly stamp industrial patterns onto new industries that have entirely unrelated fundamentals, and are genuinely surprised when the resulting company or model fails. Internet access and infrastructure, including the machinations required to legally use any piece of media in any manner, are obvious victims of this failure. Electronic media are less than 100 years old, yet we apply laws of matter to electrons, whether logic, business costs, or even free will deems it sensible. Too often the response to new models is a Ted Steven’s ”No!” instead of experimentation. There’s enormous bottled-up potential for new products and ways to make money. When we open ourselves to the new reality and circumstances, it’s a lot less scary. We’ll be able to see that by letting go a little, and treating people fairly (as opposed to lobbying for perks or punishments) we create more value for ourselves, not less. Partnership and community are the new exclusivity.
Comments(0)

