Cory Doctorow explains the dynamics well in Enshittification. First they turn against their users, then their business partners, then their employees. The layoffs you are seeing are just stage 3 enshittification. If you work at a company like this, my advice is to quit ASAP. At least then you leave on your own terms.
>Varoufakis defines capitalism as a system designed to preference profit over rent.
[snip]
>The feudal era wasn't defined by the absence of profits--rather, what made feudalism "feudal" was the triumph of rent over profits. When the interest of rentiers conflicted with the aspirations of capitalists, the rentiers won. Likewise, the defining characteristic of the capitalist era was not the abolition of rents, but rather the triumph of profits. When capitalism's philosopher-theorists lionized "free markets," they didn't mean "markets that were free from regulation," they meant "markets that were free from rents."
[snip]
>This is Varoufakiss technofeudalism exemplified. It's an economic system in which the majority of value is being captured by people who own stuff, at the expense of people who do stuff.... The fight between technofeudalism and technocapitalism is a fight over whether the landlord or the café owner takes the value that's created by the barista.
companies subsidise their products so that exploration of these products is more feasible due to lower initial costs for the end consumers. the initial consumers don't pay the full price but they are borne by the later consumers once the exploration is done and they have knowledge about that market and business.
Cory Doctorow also probably confuses democratisation and enshittifaction - its usually the case that products get cheaper by also marginally reducing the quality. we get cheap goods from China but that's not enshittification - that's just efficiency. as a consumer I'm happy I have the option of paying low prices for products.
i wouldn't take this person too seriously because it looks like they don't understand the larger picture
Apple's 30% tax for payments in apps is the ultimate rent seeking example though. Want to install your own apps, lol you can't. And if big AI companies follow in the steps of Google/Facebook it's bad for everyone. Let's recognize it and prevent it from happening this time.
Though in the particular case of the MacBook Neo, I'm not sure whether we're talking about sharper or duller. Depends on the metric you're using, I guess.
The problem with Apple comes down to the App Store, the forced 30%, and all the apps that just don't get built cause of Apple. This is rent seeking, and this is evil.
Here's a good system for evaluating technologies: https://www.ranprieur.com/tech.html
If you don't want a MacBook Neo, don't buy one and it doesn't affect your life. But the App Store affects your life whether you own an iPhone or not. It affects the direction of the world. And that's where the rent seeking problem is.
So geohot's argument is that Anthropic, for example, who want to regulate AI (presumably favorably for themselves) are such an example. I don't actually think I agree, but I agree that the behavior looks similar on the surface.
Most of the US ones are. Anthropic is the worst offender.
The Chinese AI model providers like DeepSeek are not.