Tag Archives: Galloway

Who’s Talking?

I finally got around to reading an article about Facebook by a Professor Scott Galloway, sent to me by a reader. In it, Galloway was considering the various “fixes” that have been suggested in the wake of continuing revelations about the degree to which Facebook and other social media platforms have facilitated America’s divisions.

There have been a number of similar articles, but what Galloway did better than most was explain the origin of Section 230 of the Communications Act in language we non-techie people can understand.

In most industries, the most robust regulator is not a government agency, but a plaintiff’s attorney. If your factory dumps toxic chemicals in the river, you get sued. If the tires you make explode at highway speed, you get sued. Yes, it’s inefficient, but ultimately the threat of lawsuits reduces regulation; it’s a cop that covers a broad beat. Liability encourages businesses to make risk/reward calculations in ways that one-size-fits-all regulations don’t. It creates an algebra of deterrence.

Social media, however, is largely immunized from such suits. A 1996 law, known as “Section 230,” erects a fence around content that is online and provided by someone else. It means I’m not liable for the content of comments on the No Mercy website, Yelp isn’t liable for the content of its user reviews, and Facebook, well, Facebook can pretty much do whatever it wants.

There are increasing calls to repeal or reform 230. It’s instructive to understand this law, and why it remains valuable. When Congress passed it — again, in 1996 — it reasoned online companies were like bookstores or old-fashioned bulletin boards. They were mere distribution channels for other people’s content and shouldn’t be liable for it.

Seems reasonable. So–why the calls for its repeal? Galloway points to the multiple ways in which the information and communication environments have changed since 1996.

In 1996, 16% of Americans had access to the Internet, via a computer tethered to a phone cord. There was no Wi-Fi. No Google, Facebook, Twitter, Reddit, or YouTube — not even Friendster or MySpace had been birthed. Amazon sold only books. Section 230 was a fence protecting a garden plot of green shoots and untilled soil.

Today, as he points out, some 3 billion individuals use Facebook, and fifty-seven percent of the world population uses some sort of social media. Those are truly astonishing numbers.

I have previously posted about externalities–the ability of manufacturers and other providers to compete more successfully in the market by “offloading” certain of their costs to society at large. When it comes to social media, Galloway tells us that its externalities have grown as fast as the platforms’ revenues–and thanks to Section 230, society has borne the costs.

In sum, behind the law’s liability shield, tech platforms have morphed from Model UN members to Syria and North Korea. Only these Hermit Kingdoms have more warheads and submarines than all other nations combined.

As he points out, today’s social media has the resources to play by the same rules as other powerful media. Bottom line: We need a new fence. We need to redraw Section 230 so that it that protects society from the harms of social media companies without destroying  their  usefulness or economic vitality.

What we have learned since 1996 is that Facebook and other social media companies are not neutral platforms.  They aren’t bulletin boards. They are rigorously managed– personalized for each user, and actively boosting or suppressing certain content. Galloway calls that “algorithmic amplification” and it didn’t exist in 1996.

There are evidently several bills pending in Congress that purport to address the problem–aiming at the ways in which social media platforms weaponize these algorithms. Such approaches should avoid raising credible concerns about chilling free expression.

Reading the essay gave me some hope that we can deal–eventually–with the social damage being inflicted by social media. It didn’t, however, suggest a way to counter the propaganda spewed daily by Fox News or Sinclair or their clones…