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Friday 2 March 2018

The digital revolution and the State


William Janeway, 26 February 2018

William Janeway began his talk by claiming that the relationship between the US Government and technical innovation has reversed with the advent of digital technology. In the cold war days, and even before that, during World War II, the U.S. Department of Defense was the largest funder of scientific research and technological development. In fact it was the patronage of the US military which allowed the formation of what we would call “research universities.” In addition to funding R&D the Department of Defense was the “lead purchaser” of early computing equipment. Having the government as a customer is inherently different from producing for the wider population of consumers, as the government is interested in maximum effectiveness over the long term rather than short-term affordability.

Along with funding technological innovation, the government controlled the environment in which it would occur. Entities funded by The Department of Defense had to license any patents they produced to all competitors, and all technology being produced had to have at least two manufacturers to maintain competition and to ensure supply in case one producer went bankrupt. This weak intellectual property environment almost certainly allowed for accelerated innovation, however as digital technology progressed, it outgrew its fertile but limiting origins.