Has the Silicon Valley Become a Media Hub?

(The Conversation)

When we think of the Silicon Valley, we immediately think technology. Companies like Google, Apple, and Facebook were are all once considered strictly technology companies. Even Facebook which is a social media platform was identified as a technology brand. But today, these companies control and distribute the majority of the media we consume. So this begs the question, are companies like Google and Facebook purely tech companies, or are they media companies? Or are they both?

There was a time not too long ago when you logged on to Facebook and only saw status updates and vacation pictures from your family and friends. It was a way to keep in touch with old friends, look good for your current friends, and even make new friends. And while Facebook is still used for those purposes, much of the content users see on Facebook today is news and branded media. Interspersed between photos of your aunt's dog and your friend's engagement status is likely an article about the upcoming midterms. According to Business Insider in 2016, 66% of Facebook's users rely on the platform as a news source.

(The Verge)

Facebook users are also more likely to see news that reinforces their own values and beliefs than by say watching CBS News. Fortune reports that many Facebook users are in a filter bubble that exposes them to news that is similar to their own values. On the other end of the spectrum, we have all felt stressed out when seeing a relative post news on social media that completely goes against our own values.

The change in how we consume media didn't happen organically. Facebook and Google purposefully designed their platforms to "customize user's news feeds" (Business Insider). Almost all of the "tech companies" have also invested in entertainment media. They are producing original content and distributing it directly on their platforms. While this hasn't taken off yet, it is still cause for concern for traditional entertainment firms. After all, Blockbuster may have been able to stay competitive if it had recognized Netflix as a threat even before it became popular. Ironically now streaming services like Netflix must also be wary of Facebook and Google's entertainment initiatives.

(Google Chrome)

 However, with great power comes great responsibility. Traditional media companies, from news to entertainment, have strict rules to abide by regarding fact checking and distributing. But tech companies aren't subject to these same regulations and therefore fake news can easily make its way onto these platforms. While both Facebook and Google's CEO's have admitted to fake news distribution and have committed to resolving the issue, little has actually been done to combat this problem (Business Insider).

I do believe tech companies are increasingly becoming not just media companies but media giants. However, the issue is not so black and white. It is extremely difficult for social media brands to control what users post on their platforms. The argument can be made that since Facebook doesn't write the news, it doesn't have a responsibility to control its distribution. However, this argument become fuzzy when you learn that Facebook is designing its platform to make money off of news distribution. And then going even further by selling this data to third parties who often can't be trusted to use it responsibly.

(Fortune)

Right now companies like Google, Apple, and Facebook don't have the incentive to take accountability for their actions because they haven't faced any real repercussions yet. They will get serious about their role in distributing media if either a) the government tries to regulate them or b) consumers start walking away. I believe in the end consumers will be the force to motivate these companies to better control how they spread content. If these platforms start losing users, advertisers will be quick to notice and then spend their money elsewhere - perhaps even back in traditional media.

Additionally, I think social media platforms are the ones who have the most to lose as Google has dominated the market on search and email. Right now even with data hacks and fake news distribution, users are reluctant to leave social media because of the connectivity they provide. However if these issues keep occurring it is likely that users will put pressure on social media brands to shape up, and maybe then they will finally listen .