This is a brief follow-up to yesterday‘s blog post in which I sought to explain why, I think, Trump, Musk and the other big tech oligarchs are trying to fundamentally reshape the USA and its government. My suggestion was that they are doing this so that they might not be subject to challenge over the power that they wield as a consequence of owning and controlling so much of our data.
Having written that note, the thought occurred to me that this hypothesis – that the ability to control data and to generate wealth from it is at the core of everything that is going on in the Trump administration at present - also explains why Trump and Musk so hate the European Union and are doing so much to undermine it, not least by fuelling conflict around Ukraine.
It is a matter of fact that no organisation has done more to try to constrain the power of the big US tech companies than the EU has. It has brought taxation challenges against them, as well as rulings on their monopoly power, and continues to look at whether further action is required to force them to divest themselves of some of their ever-expanding activities so that markets might retain some pretence of being competitive.
If, as I noted in my main article on this theme yesterday, the best explanations for what is going on are very often the simplest ones, and what the tech oligarchs want to do more than anything else is to retain their power and wealth, then the EU, outside the USA, is the biggest threat to their well-being. It logically follows that they will do everything that they can to undermine its stability, credibility and even survival, including by stoking conflict that might threaten the EU's existence.
I stress that what I am offering here is a hypothesis and not fact. But what I, as a political economist, look for when trying to explain what is happening in the world is how power relationships and the conflicts that they give rise to impact the allocation of resources within and between societies. If the control of data is now seen as the ultimate source of power – and there is some evidence that it is – then what is going on in the USA is the beginning of a power and data-driven war between the tech oligarchs and the states that might constrain them that they are determined to win, even if that means the destruction of the state as we have known it.
I am, of course, well aware that other hypotheses can be presented for what is happening, and it could be argued that this is all about the creation of a white male theocracy in the USA, but I find this a very difficult explanation to reconcile with the involvement of the tech oligarchs, who are very clearly driving what is happening to a much greater degree than the Heritage Foundation, or Project 2025. I am not suggesting that a white male theocracy might not be the outcome of what they are doing so long as such a structure suits their purpose, as it might well do. I do not, however, think that this is the motivation for their engagement in this turmoil. They need a much more explicit win to take the risk of such engagement, and the hypothesis that I am putting forward is, I think, the explanation as to why they think that risk is worthwhile.
If I am right, the problems for Europe are only just beginning.
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I’d leave Trump out of the explanation, he’s just the frontman for the broligarchs. They’ve subscribed to a philosophy (see Curtis Yarvin) that pits democracy against their anarchy-libertarian capitalism. And European social democracy and the EU are the biggest threat to that vision, so yes they’ll try to take it down any way they can. Trump is too stupid to be part of this, but he can see they are where his self-aggrandising instincts lead, and he’s a good cover for the bros. They’ve got Vance lined up to succeed Trump, and he’s been Thiel’s guy for many years. Whether our little North Atlantic island can navigate this is an open question.
The US Department of Defence has removed from its website stories of non male, non white service people who have contributed to the military successes of the US for example the Navajo Code Talkers.
There is a bill going through Congress that will seriously affect the right of married women who have taken their husband’s surname to vote, some 70mn voters. The proposed registration process also discriminates against these woman.
The impact of the executive orders drafted by the Heritage Foundation appears to be driving the US back to the Civil War era. For example there were strong calls at the time not to allow black slaves born in the US and following emancipation their children to have US citizenship.
As for the tech bros their craven supplication to King Donald is because they are weak. They need him threatening the EU if you control my bros, then you will be taxed out of the US market.
Today the UK is, to avoid tariffs, not going going to tax the US tech companies.
The Heritage Foundation in my view is happy t o let Trump pursue tariffs because it’s all part of the “shock and awe” to destroy the Federal Government.
Thanks for the heads up – here is a link to an article about the disenfranchisement of married women and immigrants: https://www.americanprogress.org/article/the-save-act-would-disenfranchise-millions-of-citizens/?utm_source=chatgpt.com
Thanks
This is really worrying
The weakness & strength of Europe is its diversity of languages and thought. Current views within the EU institutions are that change is needed, but so far little has been said of what exactly changes. NATO is a dead duck – but nobody has been able to describe what a European defense force would look like. What is very clear, dictators are crawling out of the woodwork with gay abandon (Fascist Spring is here!) Erdogan being but the latest. With respect to data & tech bros & oligarchs etc the EU & its institutions are pretty well the only thing sitting between citizens and………data servitude. That said, EU also has a couple of advantages: it produces the most advanced semiconductor production equipment on the planet, and down the road from where I write is the largest semicondtor research establishement on the planet. Ways need to be found to leverage these advantages. Also, although the USA pretends to be technically advanced, large tracts have very poor internet, in contrast to the EU. Again, this needs to be used, how? I’m not sure. That said, DG Competition has, as always a role to play – of all the DGs it is the one that can be regarded as a profit centre – much to the chagrain of US tech companies.
Thanks
Erdogan is scary
I genuinely hope Trump & Co will lead to the creation of a secure and powerful EU. Still some form of supran-national body but with expanded powers in the areas of security & international relations.
It’s not perfect but as long as we decrease the democratic deficit, there is a lot of unity within the EU.
Putin is on out borders and Trump is going batshit crazy.
The UK will have to decide where it wishes to position itself.
Sadly, I can see that your speculation that Europe’s problems are only just beginning is an all too probable scenario. I see it as applying to the UK too.
I also suggest that this
see above @John Fairhall “Today the UK is, to avoid tariffs, not going going to tax the US tech companies.” is grossly discriminatory, that I wonder if it can be challenged?
Is there any legal way in which we can stop US companies from buying assets in UK? I suggest we need to insulate ourselves asap from their current madness.
I have great concerns about the increasing privatisation by American healthcare of our NHS. I am sure that Starmer and Streeting would readily sacrifice this as tribute to Trump and as their financial backers and advisers would require. It may even be sold to us as a way of saving the NHS and present a (very) short term benefit to LINO self emasculating fiscal policy. The money for more US made weapons has to come from somewhere, we are repeatedly told.
Your fears may be justified
The fact that one of the first things J D Vance did as Silicon Valley’s very own Manchurian candidate was to attack the EU under the pretense of free speech lends weight to your hypothesis. The US has no consumer privacy law, the EU has GDPR, which is a problem for the tech industry. The tech bros were also angry at the Biden administration for enforcing anti-trust and anti-monopoly laws, which is why they threw in with Trump, but with Biden defeated they are now free to attack the EU. In terms of the Christian evangelists and the dismantling of the government, I’m sure it is a confluence of interests. Trump was seen as a way to meet all the aims of the different groups.
@Tom B
The US Congress had hearings in 2009 on the same issue that I have just posted about, with regard to a company called NebuAd doing just the same as Phorm did in UK (deep packet inspection, covertly intercepting communications without appropriate consent or authority, to develop behavioural advertising profiles) in partnership with the huge US cable company, Charter. They fell foul of the Wiretap Act rather than privacy legislation and the companies were seen off. The testimony of Marc Rotenberg, Executive Director, Electronic Privacy Information Centre, Adjunct Professor, Georgetown University Law Center, before the House Committee and Energy and Commerce Subcommittee on Communications, Technology and the Internet, April 24, 2009 is worth a read if you are interested. I have copies archived. There is also testimony from the various internet companies to the same committee mostly in favour of self-regulation (ie: let them do what they like). We’ve come a long way since then, mostly downhill.
NebuAd in the USA was a warning of what was to come with Phorm in the EU, and all stations east.
I understand that the former Phorm CEO, Kent Ertugrul, is still in business promoting other glamorous startups.
Snake oil remains as popular as ever, and snake oil salesmen can still make a fast buck at the expense of the rest of us.
There’s an alternate timeline out there where the powers that be who set up the internet chose for the end user to pay, rather than the advertising model. I can’t help but feel it’s the better timeline.
When I was campaigning on digital privacy 12-15 years ago, as part of NODPI (long story), primarily against BT and their crooked partners Phorm Inc. but also against other organisations using Deep Packet Inspection on entire consumer internet streams, including TalkTalk, Virgin, Google, Kindsight, Bluecoat Systems, we would have got nowhere without the EU eprivacy directive. Attempts to use UK laws about non-consensual interception of communications or non-consensual storage of information on electronic devices, failed because (City of London) police would not investigate (clear case of corporate regulatory capture) and CPS would not prosecute, and the UK data regulator the ICO, was clearly subject to regulatory capture. Even when we campaigners (including me) were subjected to harassment and illegal surveillance with planted malware, the police were not interested. But we were able to call BT, and Phorm directly to account by appealing directly to the EU for breaches of the EU eprivacy directives and action WAS taken, and Phorm were drummed out of the UK, and Romania, and non EU countries such as Turkiye, Brazil and S Korea, finally settling in China selling to the Chinese, while liquidating the UK company (which never made a penny of profit).
However, we have been losing the battle since then, with the gradual weakening of protections in the EU, and of course, the UK citizen fighting a hopeless battle under UK GDPR without the protection of the eprivacy directive.
The tech bros are winning, and they are doing so with our willing co-operation.
You are correct in identifying this issue but the public mostly have surrendered on it and happily trade their priceless privacy for material advantage/”free” goods and services, such as email. If you have a “free” email address (or Facebook page or X account, or Instagram or Whatsapp or Bluesky account) you are already a victim of this con-trick.
This was a link in Prem Sikk’s post in Left Foot Forward. Not only has Trump withdrawn from the agreement but threatened ‘retaliation’ against any country trying to tax American corporations. This is an abuse of power equal to any 19th century Imperialist.
https://bylinetimes.com/2025/02/04/keir-starmers-government-votes-to-block-un-plan-to-tackle-global-tax-avoidance/
Thanks
Entirely possible, but the worst of it might be that Trump is signalling to those in Europe already feeling frustrated by the EU’s more consumer-protection culture. That’s how you begin to loose the argument from within I’m afraid, there’s always home grown a snake or two in the grass some where nearby these days to get the unpalatable going…………………………….
I acceot they exist
This explains the EU’s relationship with the US: https://www.theatlantic.com/politics/archive/2025/03/trump-administration-accidentally-texted-me-its-war-plans/682151/
Extract 1: “The Vance account goes on to state, “3 percent of US trade runs through the suez. 40 percent of European trade does. ”
Extract 2: “Michael Waltz” account “Per the president’s request we are working with DOD and State to determine how to compile the cost associated and levy them on the Europeans.”
Extract 3: “JD Vance”to @Pete Hegseth: “if you think we should do it let’s go. I just hate bailing Europe out again.”
Extract 4: S M” joined the conversation. “ president was clear: green light, but we soon make clear to Egypt and Europe what we expect in return. We also need to figure out how to enforce such a requirement. EG, if Europe doesn’t remunerate, then what? If the US successfully restores freedom of navigation at great cost there needs to be some further economic gain extracted in return.”
There is a very simple solution to the Houthi “problem”. Europe cuts off all contact with israel ALL, land, sea air. Economic sanctions etc. At that point the Houthis would go after Israeli shipping – which is fair enough. Instead, Israel causes a reaction in the region, the USM(ango) decides to do something & bill the Europeans (which WILL include the UK). Stuff that for a game, isolate Israel, close all their embassies and let the Israelis sort their problems out with the countries that surround them.
Seriously, they actively fund a genocide and boast they’ll ethnically cleanse Gaza. The Houthis are targeting shipping as a direct reaction to what Israel is doing, with zero restraint and full funding… Houthis are fighting Americas ally the Saudis backed group.
The US is in NATO, how about coordinating a reaction instead of choosing to do something with zero talking then expect others to foot the bill… To fix a situation the US has caused.
Oh and once upon a time the Suez was owned by the UK and France for security… The CIA instigated a coup in Egypt so the new dictator would attack the Suez Canal, which was under contract. When the UK and France went to defend it then the US threatened to bankrupt the UK if it didn’t abandon the Suez, using the loans via Lend lease from WW2. “don’t be colonial UK” said the US, as it owned at the time the Panama Canal. Real reason is the US wanted to get control over the middle east and so needed to weaken Europe’s position there (even though Europe was decolonising and pulling out).
The complete lack of self awareness from these hillbilly-fascists is remarkable.
How about you remember that NATO (including Ukraine btw) came to the US aid when they declared article 5 after 9/11 without question and were stuck in Afghanistan for a decade losing lots of money, causing lots of unrest which flowed into Europe and loss of lives… Then the Orange buffoon releases 4,000 Taliban from prison says the US will pull out on x date, does not talk to the Afghan Government and leaves Biden to juggle an inept damaging withdrawal that was never going to go great. Thanks US. Maybe pay us back the multiple Trillions that cost us all?