Technology

The Curse of Bigness: 8 key ideas

by Tim Wu

The core ideas of The Curse of Bigness, each in under a minute, written in our own words. Want the full depth? Get the book.

1. IDEA 1 OF 8

   Giant companies threaten democracy

   Wu argues that extreme concentration of economic power is dangerous not only for markets but for democracy.

   He calls for a return to strong antitrust laws to limit corporate size.

2. IDEA 2 OF 8

   Brandeis warned about bigness

   Wu draws on Louis Brandeis, an American judge who argued that huge companies threaten liberty.

   Brandeis believed small businesses kept society free. He feared that great wealth in a few hands could crush both competition and citizens' voices.

3. IDEA 3 OF 8

   Trust-busters broke monopolies

   Wu describes the early twentieth century, when governments broke up giant companies like Standard Oil.

   This was seen as protecting democracy. Leaders of the time believed that breaking up giants kept power spread among the people.

4. IDEA 4 OF 8

   Antitrust became narrow

   Wu describes how, from the 1970s, ideas associated with Robert Bork made antitrust focus only on consumer prices.

   This allowed companies to grow huge. Other harms of size, such as political influence and the squeezing of workers, were left out of view.

5. IDEA 5 OF 8

   Monopoly links to extremism

   Wu argues that economic concentration contributed to the rise of fascism in the twentieth century.

   Concentrated power fed political danger. He believes that when a few firms control much of the economy, ordinary people lose their say.

6. IDEA 6 OF 8

   Tech giants dominate

   Wu argues that companies such as Google, Facebook and Amazon have become too powerful.

   They buy competitors before they become threats. In his view, this reduces the chance for newcomers to grow and challenge them.

7. IDEA 7 OF 8

   Breakups can work

   Wu argues that breaking up companies, as with AT&T, can encourage innovation.

   The telephone breakup of 1984 opened room for new products and services that the old giant had little reason to create. Wu uses it as a hopeful example.

8. IDEA 8 OF 8

   A new movement rises

   Wu describes a new antitrust movement inspired by Brandeis.

   He sees it as essential for the future. Wu argues that this revival could return antitrust to its older aim of limiting concentrated power.