The wild power of aggregation theory

How did Google, Amazon, and Facebook get so big so fast? The best answer we have is an idea called Aggregation Theory. This is how it works.
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Comments

  1. The Verge

    The Verge4 months ago

    Are big tech companies too big?

  2. ChrisWEEZ

    ChrisWEEZ3 months ago

    @Mike Anthony this guy gets it.

  3. Blueman Campaign

    Blueman Campaign3 months ago

    @impendio depends who you ask;)

  4. Umberto Fournier

    Umberto Fournier3 months ago

    Yes

  5. P S

    P S4 months ago

    No.

  6. Adam Cox

    Adam Cox4 months ago

    Nope, if you don't like amazon then just drive to your local brick and mortar. If you don't like Google then libraries are still a thing. Theres plenty of worse options to chose from. These companies won because they are the best at what they do.

  7. Douglas Faria

    Douglas FariaMonth ago

    Disintermediation = Removing the middle man

  8. Matthew Boyd

    Matthew Boyd2 months ago

    I think they ironic thing about it is that startup companies are hard to make because they need capital but these big companies can make their own startup companies because they can afford to lose money because they have so much capital. I once saw that as a good thing, but after watching this it's making me question that.

  9. Fajar Setiawan

    Fajar Setiawan2 months ago

    I know the solution, DEMOCRACY!!!!

  10. mac berry

    mac berry2 months ago

    Google, facebook and Netflix have lots of things in common but one major thing is they all tried to sale their company and got turned down. It's like they're more friendly than the last set of gatekeepers because they integrate young companies into their business and help them grow but these young companies could have been great without any help. Other than Snapchat their isn't a well known company that has turned down merging with the major silicon valley companies

  11. Lucas Minato

    Lucas Minato3 months ago

    This is why Costco will eventually fail.

  12. Uche Oji

    Uche Oji3 months ago

    What is a facebook?

  13. Leonardo Torres

    Leonardo Torres3 months ago

    in fact, the "solution" is quite simple. Each individual does what he wants, buys where he wants, and does what he wants if the conditions are met. The problem is that we hold others responsible for the decisions we make, stating that if something seems to be wrong, it is not our fault, but because they manipulated us into doing that ...

  14. wstudiolive

    wstudiolive3 months ago

    It’s called a monopoly

  15. Sage Bias

    Sage Bias3 months ago

    So if you provide a better service to the customers, then the customers will want to use your service. Sherlock Holmes over here.

  16. Sage Bias

    Sage Bias3 months ago

    Amazon is "capturing" sales. As if they aren't providing a service that people want to use.

  17. AverageDrafter

    AverageDrafter3 months ago

    Existing anti-trust laws and theories cannot handle the concept of a large, voluntary, and active userbase being the single most valuable asset in human history.

  18. stachowi

    stachowi3 months ago

    Network Effects (e.g. Metcalfe's law)

  19. Jannick Danielsen

    Jannick Danielsen3 months ago

    This is such great timing, considering the latest anti-trust lawsuits against Google and Facebook.

  20. p d bowman

    p d bowman4 months ago

    Put your money where your mouth is, Verge.

  21. kk84 kk84

    kk84 kk844 months ago

    Please, someone show this video to congress. They don’t get it.

  22. blue sky

    blue sky4 months ago

    FUXK YOU!!!!! USlikes!!!!!!!! CCP MACHINE!!!!!!!!!!

  23. P S

    P S4 months ago

    Aggregate them all together? Redundancy thrives as does deplorable grammar on USlikes.

  24. pradeep balachandran

    pradeep balachandran4 months ago

    Is amazon is going to be divided like Facebook

  25. pradeep balachandran

    pradeep balachandran4 months ago

    Loved it

  26. Arlen Williams

    Arlen Williams4 months ago

    This is nice, but it ignores the tyranny of chosen companies getting massive capital investment with very favorable pay-back, for the very purpose of capturing a market. See John D. Rockefeller, British Petroleum, and Royal Dutch Shell for the classic example. That is instrumental in how the globalist shadow government operates.

  27. Timothy McSwain

    Timothy McSwain4 months ago

    One of the ways I can think of to topple these companies is for customers to stop putting up with them even though their services are so useful. Be it Facebook, Google, or Amazon, they all are terrible companies. They all sell user data and ignore user privacy. Facebook profits off negatively impacting the developing minds of young people and feeding the egos and other negative character traits of older people. Google is an information company that has way more on you than it should. Amazon is problematic because using it feeds their CEO way more money than he needs - I joke frequently about not using Amazon because I don’t want to contribute to Bezos’ twenty-fourth yacht, which is hyperbole but I’m trying to bring attention to how disgustingly rich that man is and how much he’s a symptom of a problem in our economical systems. I use services by all three. Facebook, Google, and Amazon. But I’m working on reducing my dependency on all three: I rarely use Facebook anymore; I’ve switched to Bing for search and am working on switching to Outlook instead of Gmail; I try to buy from other places besides Amazon whenever possible. That’s difficult because part of my job involves Facebook and it’s a convenient way to stay connected with people; Google’s services are more developed and supported than Microsoft’s; I’m not rich, so avoiding Amazon would cost me a lot more money over time. But if everyone took steps to reduce dependencies on these companies, we could make a huge difference.

  28. Adam Neveu

    Adam Neveu4 months ago

    As I watch this on USlikes lol...

  29. garv gupta

    garv gupta4 months ago

    am I the only one who thinks that he talked about a pretty simple concept but for a very long time?

  30. Ayodele Cuffy

    Ayodele Cuffy4 months ago

    Is Verge a university? I just l learned so much.

  31. Oscar Lee

    Oscar Lee4 months ago

    I don't see a problem with this, if prices are low and I can get what I want.

  32. Rd Rz

    Rd Rz4 months ago

    which browser aggregate bigger

  33. Rd Rz

    Rd Rz4 months ago

    can uber existing on Malaysia

  34. Atom Ant

    Atom Ant4 months ago

    I worry for the mean intelligence of the verge's target audience if this is supposed to be an informative video. Who doesn't know and understand this already?

  35. Rd Rz

    Rd Rz4 months ago

    i think the verge hate Google

  36. Danny

    Danny4 months ago

    So the name for this is being a wealthy person born into a wealthy family with wealthy friends who hire wealthy people to do investing with wealthy peoples money at the expense of poor people.

  37. Suseel Chandrabalan

    Suseel Chandrabalan4 months ago

    The best example is arguably "Google Photos" Remember when they said "Free unlimited storage", all they were doing was bringing in customers... and after locking them in their platform, they won't go looking for another service

  38. F K

    F K4 months ago

    You get free express quality backups still even after the high quality uses your storage

  39. Ahmad Sohail Wahab

    Ahmad Sohail Wahab4 months ago

    What are the names of the people on the thumbnail of this video?

  40. Nicolas Petras

    Nicolas Petras4 months ago

    Not a fan of the conclusion, but a really good video otherwise!

  41. Vamsi Bethapudy

    Vamsi Bethapudy4 months ago

    Finally a theory that explains the confusion about how these companies can be monopolistic and consumer-oriented at the same time. Not just in the case of Facebook, even for Google and Amazon, the consumers are the product!

  42. Reza Ebrahimi

    Reza Ebrahimi4 months ago

    yup and as the customers here we are talking about whats the water quality when they own the pipes

  43. Rishabh Sheth

    Rishabh Sheth4 months ago

    Agree

  44. Emily Allstot

    Emily Allstot4 months ago

    controlling the supply of consumers leads to too many people doing weird stuff and dire consequences for an everyday consumer's life, health and well-being and destroys normal communities

  45. Emily Allstot

    Emily Allstot4 months ago

    it's worse than gangstalking and isolating at the same time if you're the only real consumer around (as in, someone buying stuff who isn't a part of something bigger already)

  46. Emily Allstot

    Emily Allstot4 months ago

    e.g. it's like they watch everything you do in person and see what you buy and infer what you can afford and make judgments and then they want to give you cancer and treat you while you buy designer clothes and they all have jobs providing those. so creepy

  47. Prashul Shrestha

    Prashul Shrestha4 months ago

    "Most founders and tech investors don't wanna solve problems". They buy out new start-up that are going to solve those problem and this way they become the Infinite Walmart.

  48. Deepak Gupta

    Deepak Gupta4 months ago

    its hard and smart work

  49. RamSeS Rameez

    RamSeS Rameez4 months ago

    Yes all theory of creating new buisness era is totally based on A.i and coding decoding. This really becoming popular in world

  50. RamSeS Rameez

    RamSeS Rameez4 months ago

    Sound strange and crazy

  51. RamSeS Rameez

    RamSeS Rameez4 months ago

    Amazon have biggest super trick to sale online business all over the world

  52. Basket Rise

    Basket Rise4 months ago

    Great video, we need more of this

  53. David

    David4 months ago

    No offense, but you will learn this stuff in the first hour of business school

  54. Edward Snowden

    Edward Snowden4 months ago

    3:28 I was more interested in the "Among Us" apps than the GrubHub

  55. Ehsan Kia

    Ehsan Kia4 months ago

    The one issue here is that anti trust generally tries to show a monopoly harms users, but in these cases, the aggregation gives an objectively better user experience than if you were to split up Facebook into let's say 5 different networks. So to end their reign, you have it make users lives actually worse, which goes against what anti trust is about.

  56. Gc Vi

    Gc Vi4 months ago

    Where is the gae?

  57. Fon Nkwenti

    Fon Nkwenti4 months ago

    Aggregation Theory = Platform economy = Two-sided market = Multisided platform etc. I'm sure many brilliant people will continue to coin other original terms to describe the same thing

  58. SmileTOBY

    SmileTOBY4 months ago

    Wait you was black

  59. Mariachee Bandidos

    Mariachee Bandidos4 months ago

    just remember in a functioning democracy it is better for the government to have the power / your personal information. the government is more accountable to the people and less likely to abuse it.

  60. Denstont Jackson

    Denstont Jackson4 months ago

    Very informative video I thank you for sharing this information as it relates to how the internet trends are going

  61. Erick Espinosa

    Erick Espinosa4 months ago

    well just like Ben says: we need NEW laws for this reality, not bend the old ones to fit because that just won't work

  62. Felipe Guaragna Schorn

    Felipe Guaragna Schorn4 months ago

    that's the end of free market

  63. Heber Boerr

    Heber Boerr4 months ago

    8:00 are we gonna ignore that this is absolutely horrible for the consumer?

  64. Heber Boerr

    Heber Boerr4 months ago

    8:20 it's almost as if they're competing!

  65. Armando Oliveira

    Armando Oliveira4 months ago

    does this guy just discovered the internet?..he literally just discribed why the internet exists...

  66. JaneDoe

    JaneDoe4 months ago

    aggregation tax please

  67. ประสิทธิ์ หุ่นบรรจง

    ประสิทธิ์ หุ่นบรรจง4 months ago

    ผมความหัวไปแล้ว

  68. Adel Maher

    Adel Maher4 months ago

    Thumbnail: *exist Bill Gates: Im I a joke to you

  69. Unicornul Sarvy

    Unicornul Sarvy3 months ago

    You should be more afraid of facebook amazon apple google twitter and mainstream media as they are all friends instead of fearing Bill Gates

  70. goyangi

    goyangi4 months ago

    But the scary thing is that arent they actually also solving problems for better service hence more users?

  71. Jebusankel

    Jebusankel4 months ago

    So how to fix the Amazon problem? My ideas: 1. Have USPS create fulfillment centers 2. Merchants run their own FOSS based stores ala Shopify 3. Shopping around happens via search that aggregates across stores 4. Credit card companies offer insurance against store misbehavior, bake it into upfront cost.

  72. trevor da veiga

    trevor da veiga4 months ago

    It starts from u. Dont blame business if u can start a business u can stop it too. So its important to teach people how to choose and not get stuck to just one thing.

  73. Anmol

    Anmol4 months ago

    i haven't seen this anchor in a long time hmm

  74. C H

    C H4 months ago

    I do see the dangers in this, especially with search engines where Google could censor whatever information they like and consumers wouldn't really be able to know, but do I really want to go to 50 different boutiques to buy things when I can use one infinite big box store? Yes, it's scary that a few tech companies can control everything, but convenience is always going to win out again and again no matter who is "in charge" of it all. Regulating what can happen inside of the infinite big box stores seems like a better solution than breaking them down so another giant can come back.

  75. Daniel Evans

    Daniel Evans4 months ago

    Not entirely true. A taxi company owns it's trust with its customers in the same way as Uber does. The ONLY difference is scale.

  76. larpo05

    larpo054 months ago

    You are so wrong on your last statement. You said the bosses of those infinite walmarts dont want to solve problems and just make themselves boss. By being so big and scaling, big tech has solved tons of problems at very minimal cost to consumers. Also those big bosses like jeff bezos and zuckerberg invests outside of their companies to solve other big problems, like bezos blue origin.

  77. JJV

    JJV4 months ago

    anyway, why do we have to care what the bosses want. As long as they provide something useful. If they are fleecing us, a better option will come.

  78. Nabii

    Nabii4 months ago

    ...What if someone figures out how to package any combination of streaming services at a reduced rate? Boom. Infinite Walmart.

  79. Nabii

    Nabii4 months ago

    Wildly underrated video, flawless explanation and logic.

  80. gnperdue

    gnperdue4 months ago

    Ben is a genius and his podcast “Exponent” is brilliant.

  81. Utkarsh Chourasia

    Utkarsh Chourasia4 months ago

    Man, this was heck of a ride. We do need more video like this. ❤️

  82. 中原マリ

    中原マリ4 months ago

    I prefer aggression theory.

  83. Arnab Mukherjee

    Arnab Mukherjee4 months ago

    What an amazingly insightful video. Learned something new. 👍🏿👍🏿

  84. Alex

    Alex4 months ago

    Russell is the cutest explainer on youtube! ☺️

  85. Satoshi Amari

    Satoshi Amari4 months ago

    They have become too powerful that they are controlling what you can see and the way you think, by censoring the ideas that they don't like.

  86. Sudarshan

    Sudarshan4 months ago

    Is one infinite bigger than other infinite

  87. Gary Mu

    Gary Mu4 months ago

    "The tech founders don't want to figure out better way to do things" everything made sense until this conclusion, which is not only a big leap but also very disconnected from the entire video content. How does verge arrive at this conclusion? What is the evidence and data to support this thesis?

  88. Salvattore Macedo

    Salvattore Macedo3 months ago

    x2

  89. Pranav Choudhary

    Pranav Choudhary4 months ago

    That is why I never buy any thing from any ad from any 4 of these companies

  90. Geoff Richards

    Geoff Richards4 months ago

    Mad respect to Grayson Blackmon for the cool graphics (I enjoyed the "infinite Wallmart" vs the Candle shop, but the mini Pharmacy, Music store and Sports store also have very cool little details)

  91. Hervé Maas

    Hervé Maas4 months ago

    Eye opening video. Thank you!

  92. Lewis Moore

    Lewis Moore4 months ago

    It just sounds like monopoly... Am I missing something? These companies are cornering markets using to their size. The term "Aggregation Theory" seems like it's trying to mystify what's going on, monopolization...

  93. lopah elision

    lopah elision4 months ago

    Great video. Learnt two new terms, aggregation theory and infinite walmart. Thank you

  94. LONcreeps

    LONcreeps4 months ago

    That's four words.

  95. swng

    swng4 months ago

    Interesting explanation. Not sure I was able to follow all of it, though

  96. Pot Kaas

    Pot Kaas4 months ago

    Today I learnt what a Strip Mall really is...

  97. Desmond Hawkins

    Desmond Hawkins4 months ago

    Interesting video! I would suggest the host learn the difference between the web and the Internet though.

  98. mark li

    mark li4 months ago

    the infinite supermarket is based on code. The big firms are also able to fire those who type codes after the digital services are well-developed.

  99. The Concerned Indian

    The Concerned Indian4 months ago

    Man this guy's way of speaking is weirdly similar to Edward Snowden

  100. Abhijit Meti

    Abhijit Meti4 months ago

    Why be a King? when you can be God..

  101. Rahul Ravindran

    Rahul Ravindran4 months ago

    The scary thing is they do it so well and every market they get into there's innovation

  102. Zhi Z.

    Zhi Z.4 months ago

    This guy talks so forcefully.

  103. Walter Girao

    Walter Girao4 months ago

    And that comment at the end is just mean spirited. You don't know these men and their motivations. They are actually shockingly different from each other

  104. Allan Song

    Allan Song4 months ago

    @Walter Girao they generate data and business for each other.

  105. Walter Girao

    Walter Girao4 months ago

    @Voulltapher both. Remember that their companies all have very different effects on the world. I can't think of two companies more different than google and amazon, for example

  106. Voulltapher

    Voulltapher4 months ago

    While I agree with your sentiment, should we judge them by their assumed intentions, or the real world effects, the companies they are the face of, have?

  107. Sean Gelarden

    Sean Gelarden4 months ago

    So all we are is ones and zeros? Time to reclaim anonymity

  108. Daniel Bernal

    Daniel Bernal4 months ago

    Easy to connect the dots looking back but can you connect them looking forward?

  109. Hyo Choi

    Hyo Choi4 months ago

    Big brothers are watching. And they are not your governments.

  110. Dylan Digby

    Dylan Digby4 months ago

    Zero mention of Silicon Valley being a military/state project in the first place. And Marx already figured tendency to monopoly over 100 years ago. Dogshit video

  111. Nathan

    Nathan4 months ago

    Facebook?? I thought it died long ago. Second best is the first place to last.

  112. Ben L

    Ben L4 months ago

    8:11 You heard it here first folks, "most founders and tech investors don't want to solve problems or figure out better ways to do things, they just want to use the internet... to be the boss" What an idiotic, over simplified, and stupendous argument to pool all tech CEO's into

  113. Tbagstealer

    Tbagstealer4 months ago

    That's what big tech capital is being used for. Sacrificing everything for total market expansion. The goal is to take over everything. Most large tech companies are striving towards this goal and being the boss is a by product of expanding everywhere

  114. Rousseau

    Rousseau4 months ago

    That conclusion is absolute BS. Are you seriously going to sit there, with Google Search at your fingers tips, Amazon packages arriving (which you order merely 2 days ago, or even same-day), planning get togethers (virtual now) or keeping yourself updated on your friends and family through Facebook apps, and then say these goal of these companies isn't to make your life easier? I guarantee you, the moment we have to decentralize by law, people will cry at the relative inconvenience that will bring them.

  115. Jofo

    Jofo4 months ago

    Incredible piece

  116. Hobbes

    Hobbes4 months ago

    I've been thinking about this a lot lately. And with how global everything is now, I'm not sure that the US government would ever even try to break apart these big companies. If Google or Apple or Microsoft or Amazon were broken apart to increase competition again, it could potentially allow a company from another country to take up the top dog spot. I don't think the US would want that to happen, so we might all be stuck with these large companies that never stop expanding. What are your thoughts on that?

  117. TheDV1Zone

    TheDV1Zone4 months ago

    This is what Andrew Yang was saying and still is saying.