The Big Tech companies - epitomized by the big four of Amazon, Apple, Facebook, and Google - have grown to become some of the largest and most powerful corporations in the world. This prominent status has attracted intense public scrutiny of Big Tech's sometimes controversial business practices. Various public officials, politicians, and regulatory bodies have expressed concerns about the potentially detrimental effects of having so much power concentrated in the hands of a few mega-corporations. In particular, Amazon, Apple, Facebook, and Google have been accused of being monopolies, of anticompetitive practices, and of breaches of privacy and personal data protections. Would breaking the Big Tech companies up solve these problems? Or is there a problem at all?
No, the Big Tech companies should be left as they are.Show moreShow less
The rise of Big Tech is a free market success story, and the services they provide are indispensable to consumers.
The size and stability of the Big Tech companies enable them to pursue longer-term goals than would be feasible for smaller companies, which includes making massive investments into research and development (R&D). Amazon, Apple, Facebook, and Google's parent company Alphabet are all among the top 15 companies in the world in terms of R&D spending, with Alphabet and Amazon being the first- and second-biggest spenders on R&D respectively. Rather than stifling innovation, the research conducted and funded by the Big Tech companies represents a vast support network for forward-looking innovators and inventors. If Big Tech is broken up, private sector R&D will be diminished significantly.
[P1] The size and wealth of Big Tech companies makes them able to make huge R&D investments, encouraging innovation.