Mystery solved? Famous newspapers that ignored the Social Media Strike of 2019 have agreed to accept regular payments of millions of dollars from Facebook

 

peony, darkening of the light -- postgutenberg@gmail.com

The picture is darkening for those like the world wide web’s inventor, Tim Berners-Lee, who ‘remain committed to making sure the web is a free, open, creative space — for everyone.’

[ Significant sections of this post-Gutenberg.com entry were edited for clarity on 2 November 2019 ]

The question of why so many famous newspapers railing against Big Tech failed to alert their readers to the Social Media Strike of 2019 — or report on it — has been answered partially, since the last post on this site.  That answer could hardly be more depressing for anyone to whom free speech and objective, independent, media matter.  Worse, it brings us closer to a real life equivalent of a dictator or other centralised authoritarian power running amok — that is, to the fictional world of Nineteen Eighty-Four.

On Friday 25 October, Facebook announced that it will be paying millions of dollars to selected U.S. newspapers — the likes of The New York Times and Washington Post among them — for posting their stories (content) on its site.

According to an early August report in The Guardian that came up in search results for the query, ‘Facebook paying newspapers’ — following the accidental discovery of this news on the Wired site  — the company started hawking its offer of million-dollar-plus subsidies experimentally, in April. Could publishing organisations trying to decide whether they should accept one have failed to cover the Social Media Strike set for  4-5 July for that reason?

It certainly looks like a strong possibility, even if different considerations were at work for each publication. The Guardian, for instance, might not have been approached by Facebook, even though it has a U.S. website. The explanation for its dissing of the strike could have been that the call to action was led by Larry Sanger, one of the Wikipedia’s two long-estranged co-founders. The other, Jimmy Wales, has been a member of the newspaper’s parent company, Guardian Media Group, since at least 2018.

Wired has already demonstrated that taking Facebook’s cash does not necessarily — or immediately — deprive a publication of the ability to balance its reporting about that platform. Its article on the subject quoted an activist working on behalf of traditional newspapers who described the Facebook move as ‘a “conveniently timed announcement that’s clearly meant to distract from Zuckerberg getting eviscerated on the Hill this week”’ — a reference to the founder-CEO’s grilling by members of the U.S. House of Representatives financial services committee in Washington DC.

Yet, because the magazine did not spurn Facebook, Wired’s overall characterisation of the corporation’s new sugar daddy role in the lives of newspapers must be interpreted as favourable — in keeping with one quotation in its report, about the cash infusions ‘having the potential to shift parts of the news industry from “pessimism to optimism”’. [ pG’s emphasis ]

Facebook is only giving some newspapers money, in a scheme it is still unfurling, effectively playing king-maker. Is it naïve to expect that in the future, the newspapers that have until now been exposing the social media colossus’s worst business practices — and demanding that it be made accountable to the public for those actions — will start competing to win favour from it? 

How can these papers possibly cover it objectively when they are vying for larger cash handouts from it? It is hard not to imagine past leaders of newspapers proud of a tradition of reporting ‘without fear or favour’ turning in their graves.

In the U.K. and U.S., newspaper campaigns against Facebook’s data-stealing and privacy violations, among other offences, have been vital prods for MPs and legislators now investigating the need for closer government oversight, if not regulation, of Big Tech. 

If traditional media’s interests become less and less distinguishable from the social media giant’s and they can no longer act as a check on its actions and powers, what happens next? Who in the traditional Establishment could we count on to oppose a deadly merging of government and commerce — by, say, a government trying to invoke emergency powers to requisition Big Tech’s vast and ever-expanding stores of data about us? Invoke those powers illegitimately? And how could that fail to turn some of George Orwell’s nightmare visions into everyday reality? 

The progressive centralisation of media financing and power, and of data collection about ordinary citizens, raises the risk of an authoritarian central force seizing control. It could make that a cakewalk. (The newly created Big Brother would not necessarily be domestic: it could easily be a hostile foreign government.)

Newspapers that have consented to taking Facebook’s coin should reverse their decision immediately — but are unlikely to do anything of the kind. By far the most thoughtful and intelligent reaction to the novel scheme came from a writer or writers on the Techdirt website in Redwood City, in the northern half of Silicon Valley. Crisply written, and with a critical historical perspective missing from every other commentary on that subject, Techdirt‘s take on the topic is essential reading. Its conclusion is in perfect harmony with pG’s (see ‘Wanted: a brave newspaper, for an experiment in which readers become stakeholders ( updated )’:

If we want to “fix” journalism, it will require a new path forward (i.e., innovative business models).

Accepting Facebook’s Trojan horse handouts would not be the right sort of innovation or improvement on the defective business model most widely used today. Here is (Sir) Tim Berners-Lee, the father of the world wide web, lamenting the effects of that model on his brainchild’s evolution, after its open and liberating early years:

The web that many connected to years ago is not what new users will find today. What was once a rich selection of blogs and websites has been compressed under the powerful weight of a few dominant platforms. This concentration of power creates a new set of gatekeepers, allowing a handful of platforms to control which ideas and opinions are seen and shared.

These dominant platforms are able to lock in their position by creating barriers for competitors.

[…]

Two myths currently limit our collective imagination: the myth that advertising is the only possible business model for online companies, and the myth that it’s too late to change the way platforms operate. On both points, we need to be a little more creative.

A year ago, Facebook acquired a key to opening doors to high government offices everywhere when it hired Nick (Sir Nicholas) Clegg — Britain’s deputy prime minister from 2010-15 —  to serve as its head of global policy and communications. As the company’s capacious pockets are used to favour some venerable, still dominant old media powers not just with gifts of cash but — presumably — special treatment on its platform, old and new media seem well on their way to creating an even more unassailable Establishment.  This could make a U-turn towards decentralising power ever more difficult and probably, impossible. 

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Approaching the keiretsu-cooperative: Nick Clegg, Jaron Lanier, and a bold move at Ladies’ Home Journal

… Now and then, as in this week’s entry, post-gutenberg.com will spotlight signs that the keiretsu-cooperative — a structure for co-owning media — is an idea whose time has come …

Ladies' Home Journal: Art Deco cover, 1922

Media maidens venturing boldly into the future

That the Ladies’ Home Journal – an American magazine founded in 1883 – was still being published at all came as a bigger shock than reading about its plan for avoiding extinction. It is a title I have only ever seen mentioned in biographies of writers and political history, but it apparently has a circulation of over three million. A headline caught my eye:  ‘A New Ladies’ Home Journal Written Mostly by Readers’.

Aha! I thought, could that signal an evolutionary leap in the treatment of  ‘user-generated content’? Had I stumbled on the experiment in co-owned media that is long overdue, for some of us – as a first stage of true media reform?

No it is not, but that could conceivably be the next stage of the LHJ  plan. From its March issue onwards, the magazine is to be filled with articles by amateurs paid at professional rates, whose facts will be checked by the editors. The publisher, Diane Malloy, explained that

research showed the magazine’s readers wanted more of their voices reflected in the content and to feel as if they belonged to a community.

If the LHJ  were to go on to give readers a stake in the magazine, that would ensure far more passionate commitment and loyalty to their community.

Nick Clegg

A speech for the ages by Nick Clegg

Co-owned media got an indirect vote of confidence from Nick Clegg, Britain’s deputy prime minister,  in a 16 January speech more thoughtful than any set of utterances by a politician I have seen for a long time. What he proposed, addressing business leaders in the City of London– no less – is the most intelligent solution to the widening social inequality on which the Occupy movement has focused our attention. Somehow, that clear implication of what he said went largely unreported in media coverage of the event.

[W]e … need a better distribution of power within our economy.

… [I]t’s not just shareholder power that matters. Ultimately investors seek profits … Some enlightened shareholders might see the benefits of a well-rewarded workforce, but the people best placed to look after the interests of staff are staff. And that is what, so far, has been missing from this debate: ordinary people.

[W]e don’t believe our problem is too much capitalism: we think it’s that too few people have capital. We need more individuals to have a real stake in their firms. 

Readers of this blog will know how closely aligned his conclusions are with ideas expressed here – in ‘Wanted: a brave newspaper for an experiment in which readers become stakeholders’, and ‘Co-owning media is on the horizon, and press coverage of the Leveson enquiry shows why we need this.’

In a speech last July,  the P. M.’ s deputy took a stand against the unhealthy concentration of power in the media:

[D]iversity of ownership is an indelible liberal principle because a corporate media monopoly threatens a free press almost as much as a state monopoly does.

Jaron Lanier

Jaron Lanier comes to the right conclusion about paying for content — or rather, paying whom

A super-geek he may be, down to his last dreadlock, but Jaron Lanier inspects the classic positions and tenets of the geekocracy with a coolly objective eye. He advocates compensating the ‘ordinary people’ Nick Clegg mentioned, not — so far — as stakeholders, but as suppliers of ‘content’ that media moguls and their giant corporations, like Facebook, are exploiting shamelessly. He asked in the New York Times last week:

What if ordinary users routinely earned micropayments for their contributions? If all content were valued instead of only mogul content, perhaps an information economy would elevate success for all. But under the current terms of debate that idea can barely be whispered.

Obviously, the editors at the Ladies’ Home Journal – paying their readers the same fees for content as professionals – are shouting, not  whispering, their understanding of the way media reform will now proceed.

Oxford Street branch of the John Lewis Partnership, 1936

An instructive poll for the Guardian

It was astonishing to see the results of a poll on the Guardian site related to the Clegg co-ownership proposal. Eighty-seven per cent of the poll-takers voted ‘yes’ in answer to a question referring to Britain’s most famous employee-owned company: ‘Would you like to live in a John Lewis style economy?’ That surely added up to endorsing a recommendation of  such a structure for ownership of the Guardian itself, or some part of it — even if proposals made in the online paper’s comments section for experimentally co-owning bits of it with readers  were censored more than once last year.  Ahem.

Nick Clegg and his personal think tank appeared to have anticipated precisely such — erm, discouragement, when he suggested in the same speech,

… giving employees a new, universal “Right to Request” shares. Imagine: an automatic opportunity for every employee to seek to enter into a share scheme, enjoying the tax benefits that come with it, taking what for many people might seem out of their reach, and turning it into a routine decision …

In other words, no one would be censored or punished simply for asking an employer for a stake in a company… Still, well done, Gruan, for conducting that poll.  Soon, you might almost be as brave as the Ladies’ Home Journal.

Will the calls for press reform during Britain’s Hackgate lead to action — or business as usual?

[D]iversity of ownership is an indelible liberal principle because a corporate media monopoly threatens a free press almost as much as a state monopoly does.

Nick Clegg, Deputy Prime Minister, 14 July 2011

[W]hat could emerge from this [is] not a sensible attempt to redefine journalistic ethics but a cack-handed attempt to restructure an industry. 

Simon Jenkins, The Guardian, 19 July 2011

Should we let novelists govern us? I am thinking, specifically, of thriller-writers of genius with a well-developed social conscience. Not entirely laughable, if you consider that at least one writer of fiction – Benjamin Disraeli (1804-81) – was a great British prime minister.

John le Carré was splashed all over the Guardian’s home page at the weekend in connection with the new film adaptation of his Tinker, Tailor, Soldier, Spy.  The explanation for the adoring treatment he gets everywhere is not just his literary gifts but his bottomless suspicion of authority, and of unfettered capitalism. This part of his appeal overlaps with Stieg Larsson’s.

How sad that the outrage these writers tap and focus in us is so hard to convert into desperately needed social reform – if not a revolution.

Last Thursday, commenters on Dan Gillmor’s Guardian piece on the conflicts of interest in the media’s move online dismissed it with loud yawns. ‘Most of the sentient world attaches about 1% of the importance to what’s going on in the media as the media do,’ sniffed someone dressed up as @SoundMoney.

Irritation is an understandable reaction to 4th Estate preening. But the complaint by @SoundMoney – which echoed the protests of thousands of readers bored by Hackgate – missed Dan Gillmor’s point. He was arguing for the alternative to traditional media sources for news and information that the 5th Estate represents.

Unfortunately, there is no one engaging the public the way a Le Carré or Larsson story can to explain why press regulation in Britain needs to be altered. Ideally, the ownership of the media will be diversified, as Nick Clegg says it ought to be – and it would be interesting to know if he and his fellow Lib Dems would support a diversification that went as far as the partially reader-owned structure for online publishing that this site is advocating as an experiment.

A public too bored by the talk of media reform to get to grips with how much less puffed-up and untrustworthy the media could be if the changes go far and deep enough is making it easy for powerful columnists like Simon Jenkins — anxious for the 4th Estate to retain command of mass communication — to get what they want:

Has anyone been murdered? Has anyone been ruined?

[…]

That everyone knew journalists and the police were engaged in petty barter does not make it acceptable, let alone legal. Nor is it edifying to know how far politicians and editors are in and out of each other’s houses. But it is not the fall of the Berlin Wall or the Nuremberg trials.

… [T]oday’s stormcloud of hysteria is a poor prelude to what could emerge from this, not a sensible attempt to redefine journalistic ethics but a cack-handed attempt to restructure an industry. Perhaps instead the vast political and media resources currently on display might be redirected at the dire state of the nation, Europe and the world. They need it.

True enough. But doing anything about that ‘dire state’ means starting with the facts about it – from disseminators of facts we can trust.

If this sharp reader’s reaction is unjustified, Simon Jenkins has some explaining to do – not just to Britain but to the whole world, watching:

OpiumEater
19 July 2011 8:48PM

A truly pathetic analysis.

It’s not just the phone hacking; it’s the fact that the very fundamentals of our society have been undermined by undemocratic and authoritarian machinations, that we live – de facto – in a kind of hidden dictatorship in which the establishment of the police, media, and politicians have colluded and keep on colluding, beyond party lines.

Jenkins has missed the boat, or is defending something that is in his interest. Either way, he’s part of the problem.

Britain needs a period of proper ‘epuration’.