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by ta1234567890 2578 days ago
> We keep expecting the internet to change this, and it keeps not happening.

Because the Internet has enabled clusters like Silicon Valley or Hollywood to be even more prominent. Before the Internet, if you wanted to do something in tech, you probably would have only looked for local opportunities, but now because of the Internet, you have the impression that SV is almost the only place where you can do something notable in tech.

Big names have gotten bigger and global, a lot of them becoming de facto monopolies.

The Internet makes access to information easier, but at the same time it narrows information sources enormously because it puts all of them on the same playing field, leaving only very few winners.

For example, pre-internet you might have read your local paper to be up to date with the news, now instead you probably read the news at the website of a global news company. It's almost impossible for the local paper to compete with the global company.

Basically the Internet has created a global winner-takes-all market where everyone is competing for attention, and mostly only the big players win, or at least that's what the Internet makes us believe.

3 comments

With regard to places like Hollywood and SV, they almost certainly benefit from large economies of agglomeration, particularly from having a large and very specialized local labor pool. The network effects via the internet must not be comparable (yet).
>Basically the Internet has created a global winner-takes-all market where everyone is competing for attention, and mostly only the big players win, or at least that's what the Internet makes us believe.

Numbers such as market cap, net income per employee, and median average salary clearly indicate this is true.

> Because the Internet has enabled clusters like Silicon Valley or Hollywood to be even more prominent.

And bigger cities in general. But I also think people tend to underestimate changes. Small and medium sized cities have been hit hard by the recession and rising housing markets. There are increasingly no good deals to be had anymore. Unless you go to Chiang Mai or something.