Consolidation

The fact that a few corporations dominate large parts of the Internet is not news. Today, a handful of actors play a significant role in our increasingly-connected societies. In this context, there is a growing concern about the dominance of a small number of corporations – typically Internet platforms – shaping the online world and its use. For some, the concerns relate to the lack of competition in specific markets, its impact on future investments, while also raising question if some economic actors are “too big to fail”. Other commentators and the media make use of colorful acronyms, such as the “GAFAs” (Google, Apple, Facebook, Amazon), “FANGs” (Facebook, Amazon, Netflix, Google), or “the BATs” (Baidu, Alibaba, Tencent) to describe a limited number of players dominating innovation and opportunities online.

While new entrants may appear in the future, to many people these Internet giants have become the primary means for gaining access to the Internet, for education, for news, for finding jobs, for shopping, or for staying in touch with loved ones. To some, they are an important part of making the Internet relevant to everyday life.

By using consolidation of the Internet Economy as a starting point, the 2019 Global Internet Report looks towards the future and investigate the impact of consolidation on the other “Drivers of Change” identified in 2017. It takes a closer look at its technical implications and whether the forces of consolidation are hampering or enhancing users’ ability to choose the services they want, to protect their privacy, and to share information unhindered. Through the lens of its impact on the Drivers it explores questions such as the potential consolidation of network traffic and an evolving Internet architecture, its impact on cybersecurity, and what consolidation of the Internet Economy means for regulation and a centralization of power in the next three to five years.