CNBC Interview with Roger McNamee: Consumers are getting a terrible deal in exchange for their personal data
CNBC, on June 3, 2019, interviewed Roger McNamee, co-founder of Elevation Partners and early Facebook investor, on the topic of antitrust and personal information (CNBC, Adami & McNamee, 2019).
According to McNamee antitrust views are changing. He notes that historically antitrust regulation was thought not to apply to Internet companies since the services they offered to consumers are free, but given recent revelations about the value of personal data, these antitrust views are changing.
In the interview, McNamee makes note of new MIT and Yale research suggests personal data, as the currency used to buy access to Internet services, has been experiencing huge price inflation. In light of these findings, McNamee asserts that “consumers are getting a terrible deal.” He also opines that society is also getting hurt, as the business practices of [big] Internet services, like Google, Amazon, and Facebook are blocking innovation, and are harming democracy, privacy, and public health.
McNamee states that Google, Facebook, and to some extent Amazon, may soon face antitrust regulation that could change their business models, restructure what markets they can compete in, or even break them up. He points out though that antitrust regulation is not ultimately bad, that in the end, investors win as antitrust regulatory efforts open up new market opportunities.
What does this mean for everyone?
It means we all must act.
Individuals should wake up and start actively taking control of their data, their digital sovereignty. They should fight for their rights and the economic benefits of their data. Companies should prepare for the emergence of the personal data economy and get ready to take advantage of the opportunities that are coming. And, governments should help referee the action as both player-coach-referee to help find a balance within their respective societies and the aggregate global economy.
UPDATE:
Perfect timing, a few minutes after writing this article a friend of mine, Michael Ahearn, sent me a link to a wonderful McNamee (2019) opinion piece “A Brief History of How Your Privacy Was Stolen,” that was published in the New York Times. It is a VERY good and important read.
Reference
CNBC, Adami, G., & McNamee, R. (2019, June 3). Regulation will impact tech business models: McNamee. Retrieved from https://www.cnbc.com/video/2019/06/03/regulation-will-impact-tech-business-models-mcnamee.html
McNamee, R. (2019, June 3). Opinion | A Brief History of How Your Privacy Was Stolen. The New York Times. Retrieved from https://www.nytimes.com/2019/06/03/opinion/google-facebook-data-privacy.html
Michael Becker is an intentionally recognized identity & personal information management solutions strategic advisor, speaker, entrepreneur, and academic. He advises companies on personal information economy business strategy, product development, business development, and sales & marketing strategies. He also represents them at leading trade groups, including the Mobile Ecosystem Forum. Michael is an advisor to Assurant, Predii, Privowny, and Phoji. He is the co-author of Mobile Marketing for Dummies and a number of other books and articles related to mobile marketing, identity, and personal information management. He is on the faculty of marketing of the Association of National Advertisers and National University. A serial entrepreneur, Michael founded Identity Praxis, co-founded mCordis and The Connected Marketer Institute, was a founding member of the Mobile Marketing Association (MMA), and was on the MMA board of directors for ten years and was MMA’s North American Managing Director for three years. In 2004, Michael co-founded iLoop Mobile, a leading messaging solutions provider. In 2014, Michael was awarded the 2014 Marketing EDGE Edward Mayer Education Leadership Award for his commitment to marketing education.