How Facebook and Google could collapse

What do Google and Facebook have in common, aside from that they are multi-billion dollar tech giants headquartered in Silicon Valley? Both companies currently experience massive internal tension.

At Google, the issue seems to be particularly related to ideological division (the whole “Google Memo” controversy last year was a clear sign of something bigger bubbling under the surface) and to moral questions about which type of projects the company should engage in or not (e.g., Should it get involved with the Pentagon for development of AI technology? Should it launch a censored search-engine in China?). In addition, many employees are protesting against how accusations and cases of sexual misbehavior and harassment are being handled inside the company.

Facebook doesn’t have the same culture of open, even public dissent as Google (at least from my perspective as an outside observer). However, based on recent media reports, internally tensions are boiling over. No surprise considering the never-ending stream of scandals and revelations of alleged or proven Facebook wrongdoing. It must be tough working at a company which increasingly is being blamed for all the world’s evils; one that evidently has a pretty significant and in parts destructive impact on politics and the public debate.

These internal conflicts might just blow over. But looking at their nature and how much they touch and are fueled by fundamental contemporary issues such as political polarization (this all is happening against the backdrop of Donald Trump, his impact on society and the debilitating strife between progressives and conservatives ), social justice, ethics, surveillance and the limits (and obligations) of capitalism, it’s more likely that things will keep escalating.

Essentially, what’s happening in many Western countries right now is happening inside Facebook and Google: Debates that in many regards are necessary but that have a tendency to polarize and to require a lot of attention.

For these companies’ business, which are built around the principle of moving forward fast (and often ruthlessly), these conflicts are a threat. They make it harder to maintain the pace and level of innovation that shareholders haven gotten accustomed to. They presumably also create internal uncertainty and confusion about what “disruptive” ideas can and should be openly discussed. One can imagine people walking on eggshells, mistrust grows, every little issue turns into a big thing because of existing tensions. Leaks are becoming more frequent, public scrutiny and pressure increases, more controversial decisions and past missteps are being revealed. The stock price is tanking. Morale plunges. Eventually people will look for jobs elsewhere.

And this how Facebook’s and Google’s dominant role could slowly deteriorate, until it collapses entirely.

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