EP 33: Content Moderation, information Industrial Complex

Summary:

In this episode we examine the rapid growth of the content moderation industry, comparing it to the military industrial complex. We highlight the high profit margins generated by content moderation services, which have minimal production costs. We speculate on the potential geopolitical impacts of this industry's expansion, particularly in relation to information control, globalization, and international relations.

Questions to consider as you read/listen:

1. What is the driving force behind the growth of the information/censorship industrial complex?
2. How does the rise of the information/censorship industrial complex impact geopolitical dynamics?
3. What are the potential long-term consequences of a global expansion of content moderation efforts?

Long format:

Content Moderation, information Industrial Complex

I am increasing becoming aware of the information/censorship industrial complex. Not so much from the censorship or restrictions on free speech and “what, if anything, we should ‘do’ about the spread of misinformation and other active measures types of campaigns”. I’m focusing more on the money and its growth.

The global content moderation services market size was estimated at USD 9.67 billion in 2023 and is expected to grow at a CAGR of 13.4% from 2024 to 2030. USD 13 billion in 2024 to USD 40.37 billion by 2032.

This is just math and facts. I’m placing no judgement on it’s necessity or usefulness.

It is big big big money.

And the beautiful thing about it is that it is very very very high margin. Unlike the military industrial complex (MIC) where in the MIC it actually makes bullets and rifles and artillery shells and missiles and planes that have hard costs, content moderation has no hard costs.

If Brazil-like efforts spread to the EU, the projections above in terms of the information/censorship industrial complex will easily double.

It is big big money. The military industrial complex is old money. The information industrial complex is new money and much much more powerful.

From a demographic and geopolitical point of view, what are we seeing now with the dawning of the information/censorship industrial complex. If it continues to grow and if Brazil-like efforts against X continue to be the norm, what can we expect the impact on geopolitics to be? How does this shape or impact our unprecedented re-shoring of manufacturing? How does accelerate or decelerate the fall of China? How does this accelerate or decelerate de-globalization? How does it impact traditional alliances such as NATO? How does it impact Ukraine? Just what are the ripples?