Slate Money: "Don't Be Evil" (Nov 2, 2019)

Hosted by Felix Salmon, Emily Peck, Anna Szymanski

Special Guest: Rana Foroohar (Financial Times columnist and author of Don't Be Evil)

Episode Overview

The episode dives into the evolving role of Big Tech in society, drawing heavily from guest Rana Foroohar’s new book Don't Be Evil. The panel debates tech companies’ reluctance to regulate political advertising, the deeper implications of data monopolies, parallels between tech and other forms of market concentration, and pressing stories in business—from college sports to utility failures and urban policy. Expect sharp critique, lively debate, and moments of wry humor as "Slate Money" deconstructs the week’s most consequential business stories.

Key Discussion Points

1. Big Tech and the Political Advertising Firestorm

• [02:53] Emily recaps Twitter's (Jack Dorsey’s) decision to stop all political ads, placing it in contrast to Facebook’s refusal to fact-check or pull misleading political ads.

  • “They're confusing freedom of speech with freedom to sell [or buy] ads. It's not the same...”
  • Memorable quote (Emily, 03:53)

• [04:09] Anna draws parallels to outdated broadcast advertising regulations.

  • Raises the gap between regulations for traditional broadcasters and digital platforms.

• [05:02] Rana: Traditional TV networks/Broadcasters would pull provably false ads. Facebook’s defense leans on Section 230 of the Communications Decency Act—a legal shield for online platforms.

  • "This is their get out of jail free clause. They can't have their business models if they have to be liable for anything."
    (Rana, 05:42)

• [06:19] Rana explains tech’s consistent lobbying to preserve this legal carve-out, and the slippery slope they fear if regulation opens up.

2. The Evolution of Silicon Valley: From Utopia to Dystopia

• [07:27] Rana describes the arc from idealism to problematic realities, highlighting copyright issues as tech's original pivot toward self-serving practices.

  • "...build this sort of fortress around copyright data... without any of the restrictions that other people would have to follow."
  • (Rana, 07:27)

• [08:11] Jack Dorsey’s critique of "machine-learning based optimization of messaging and micro targeting" is unpacked as a critique of Big Tech’s core business model.

3. Microtargeting, Data, and Manipulation

• [09:37] Rana references a 1998 Google paper cautioning that ad-funded platforms with targeted advertising could lead to user harm, manipulation, and disinformation.

  • "They say very clearly in this paper this business model can be manipulated by... companies, by potentially by public entities."
  • (Rana, 09:37)

• [10:48] Problems with microtargeting: enabling disinformation, election meddling, and user manipulation.

• [11:21] Sheryl Sandberg, then at Google, later perfects the "monetization of that model"—laying the groundwork for Facebook’s target-driven ad empire.

4. Next Steps: Regulation, Data Banks, and Systemic Reform

• [12:13] Rana suggests splitting "platform" from "commerce" (esp. Amazon) as in financial system regulation to prevent black box abuses.

• [13:17] Suggests European-style public data banks to break up data monopolies and allow citizens more control.

  • “The city of Toronto... said, you know what Google, you cannot own every bit of that data. That data is going in a public data bank…”
    (Rana, 13:38)

• [15:39] Rana issues a challenge to top tech economists to offer real policy solutions for data concentration and negative externalities.

5. Tech’s Political Power and Social Dilemmas

• [16:38] Emily speculates whether Facebook might be tempted to use its platform to tilt political outcomes, wielding influence outside public sight.

  • “Not illegal because they can’t be seen... they really could handicap her 100%.”
    (Rana, 16:59)

• [18:27] Rana frames the Zuck-Warren standoff as a clash of economic systems: hyper-globalized neoliberalism vs. a more regulated, inclusive, localized approach.

[19:42] KEY SEGMENT — College Sports and NCAA Economics

• [20:03] Anna: Explains the NCAA’s structure and recent announcements hinting they might allow athletes to profit off their name/image soon.

• [20:59] California law is the catalyst; NCAA policy remains ambiguous and reactive.

• [22:04] Player compensation for appearances in games, sponsorship, but not all players benefit equally—star system likely to intensify.

  • “Most of the players are riding the coattails of a very small number... Most would never make anything close to this."
    (Anna, 24:27)

• [25:42] Emily: Critiques the entire premise of quasi-professional college sports, connecting it to admissions inequality and misplaced university priorities.

  • “It just seems like it goes against what academics is supposed to be... skews admissions.”
  • Memorable quote (Emily, 25:42)

[29:40] Wind Power, Blackouts, and Infrastructure Woes

• Felix/Emily: East Coast wind causes local blackouts, highlighting how American infrastructure lags behind Europe (where power lines are buried).

  • “America has not buried its power lines... every time it gets windy, the power lines blow over and then there's no power.”
    (Felix, 30:12)

• [31:08] Rana: Argues corporate short-termism (esp. at PG&E) led to deferred maintenance and the current crisis—a “financialization” and “shareholder value” syndrome.

  • "This is about corporate America and short termism... made financial decisions because they didn’t want... to upset the street." (Rana, 31:08)

• [33:03] Anna/Rana: Nuanced debate about public vs. private utilities—both have incentives not to invest in maintenance; monopoly utilities exacerbate the problem.

[34:21] What (If Anything) To Do With PG&E?

• Bankruptcy: Emily summarizes Newsom’s failed overtures to Berkshire Hathaway and San Jose’s public ownership ideas.

• Farhad Manjoo’s op-ed: The deeper problem isn’t just PG&E, but sprawl, property values, and unsustainable urban policy in California.

  • “It’s not just industrial policy. It’s very simple urban policy… There’s no density in the place where everyone wants to work…”
    (Felix, 35:34–36:28)

—

Memorable Quotes & Moments (with Timestamps)

• "What's theirs is theirs and what's yours is theirs.”
  — Rana, on tech’s approach to copyright and data (07:27)

• "They can't have their business models if they have to be liable for anything.”
  — Rana (05:42)

• "They say very clearly in this paper this business model can be manipulated..."
  — Rana, citing Brin & Page’s 1998 warning (09:37)

• "Their freedom of speech with freedom to sell ads... It's absolutely not the same thing, in my opinion."
  — Emily (03:53)

• "Not illegal because they can’t be seen. They really could handicap her 100%." — Rana, on political influence via platforms (16:59)

• "If you've never been in it, I think it is very hard to understand. If you are a college sports fan, ...it is like a religion."
  — Anna, on college sports culture (26:22)

• "This is about corporate America and short termism..." — Rana, on California utility failures (31:08)

Segment Timestamps & Topics

• [02:53] — Political ads: Twitter vs Facebook
• [05:02] — Section 230: legal shield for tech platforms
• [07:27] — Tech’s approach to copyright, data, and lobbying
• [08:11] — Micro-targeting and ad models: is the industry rethinking?
• [09:37] — Brin & Page's 1998 “Advertising and its Discontents” (Google founders’ warning)
• [12:13] — Solutions: Breaking up platforms/commerce, public data banks
• [16:38] — Tech & the 2020 election: power to sway outcomes
• [18:27] — Zuck vs Warren: philosophy of the economy
• [20:03] — NCAA, college athlete compensation
• [25:42] — Why do U.S. colleges run quasi-pro teams?
• [29:40] — Utility blackouts, wind, infrastructure
• [31:08] — Corporate short-termism and public/private investment
• [35:27] — Policy, urban inefficiency and NIMBYism in CA

Numbers Round Highlights

• [37:12] 22%: Tweens reading for pleasure at least once a month (Rana)
• [38:18] $1 Billion: Amount seized from fugitive financier Joe Lowe (Felix)
• [39:44] $913 Million: Missed debt payment by Venezuela’s PDVSA (Anna)
• [41:05] 59.3: Rotten Tomatoes average critic score—grade inflation? (Emily)

Useful For Listeners Who Haven’t Heard the Show

This summary distills the episode’s blend of sharp reporting, economic analysis, and lively repartee, giving context for each issue—Big Tech’s dilemmas, policy proposals, parallels with college sports and utilities, and critiques of U.S. infrastructure and urban policy. Highlighted quotes and timestamps offer a direct line to the panel’s most candid insights and debates.

Skipped: Ads, intros/outros, sign-up pitches

For feedback, listener mail: "SlateMoney@Slate.com"
Stay tuned for more detailed deep-dives in the Slate Plus segment on Google’s Fitbit acquisition.