Yanis Varoufakis, an economist who previously worked at Valve and served in Greece Hellenic Parliamentbelieves that technology companies, including those that operate gaming platforms like Apple and Google, should be taxed for the way they operate gaming platforms and control product selection.
In an interview with Consequences Speaking about his book Technofeudalism: What Killed Capitalism, Varoufakis explained how technology platforms like Apple and Amazon have become “algorithm-based fiefdoms,” fueling the “technofeudalism” that the book he wrote is named after.
Those companies (and perhaps his former employer) have been “extracting” people from the market and replacing it with one that significantly benefits them. He refers to the value these companies extract from the market as “cloud capital.”
As he explains, the government could (and should) have these companies invest 30 percent of their shares in a Commonwealth fund, in what he calls a “cloud tax.” That fund could then be distributed equally to the public as a form of basic income.
Varoufakis doesn't call out Valve by name (it's a smaller company operating in a relatively smaller market), but his points echo those we've heard before. Its control over the PC gaming economy has previously been raised by Epic Games CEO Tim SweeneyAs with AppleSweeney believes that Valve charges unjustified platform fees that hurt smaller developers and help maintain its monopoly.
Varoufakis wouldn't go that far, but he acknowledged that Valve has become “part of the problem” with the current market. “Everyone has had a hand in creating this world.”
“There's work we have to do,” he continued. “The market is not going to solve this problem, [it’s] already usurped by cloud capital. […] It's hard work, but you know what? There's no alternative.”
Varoufakis's full discussion with Aftermath about technofeudalism, Valve, and the rise of the digital marketplace can be read Here.