A technological monopoly occurs when one company exclusively controls the right to sell a service or product. A company that holds a technological monopoly is free to set prices as high or as low as they want, due to the lack of competition in the given field. This debate is centered on the role of the government in the economy and whether tech companies have an incentive to self-regulate their innovative capabilities.
Tech monopolies have a financial incentive to innovate.Show moreShow less
Tech monopolies must constantly innovate to develop products that the public will want to use.
Data is an extremely useful tool when it comes to innovation. The problem a lot of smaller tech companies run into when it comes to data is not having enough of it. Tech giants like Facebook and Apple are able to gather immense amounts of data as a direct result of their size and customer base. With this data, these companies now have a more complete understanding of a given person's habits, helping them innovate based on consumer patterns.
The act of gathering data by tech giants illustrates the innovative capacity of monopoly-esque companies. That is, if these "monopolies" can engineer a way to record consumer activity and (relatively) accurately predict future activity, that action in itself demonstrates ingenuity and innovation.
The tech giants Apple, Amazon, Google, and Facebook have been found to not be monopolies, though there are multiple probes still ongoing. Thus, they can not be used as examples of tech monopolies.
[P1] For the purposes of this argument, Google, Apple, Facebook, and Amazon are similar enough to monopolies to be used as examples of monopolies.
Rejecting the premises
[Rejecting P1] These companies are not really monopolies.