Overview

The Industrial Revolution amplified muscle. The Information Revolution amplified mind. We are swimming in data.

Core Idea

Moore’s Law: The number of transistors on a chip doubles every two years. This exponential growth made computers cheap, fast, and ubiquitous.

Formal Definition (if applicable)

The Network Effect: A network becomes more valuable the more people use it (Metcalfe’s Law). One fax machine is useless. Two are okay. A billion is a revolution.

Intuition

  • Bit vs. Atom: Atoms are heavy and hard to move. Bits are weightless and move at the speed of light.
  • Zero Marginal Cost: It costs millions to make the first copy of Windows. It costs $0 to make the second.

Examples

  • The Internet (1990s): The World Wide Web (Tim Berners-Lee).
  • Smartphone (2007): The iPhone put the internet in everyone’s pocket.
  • Social Media: Facebook, Twitter. Everyone is a publisher.

Common Misconceptions

  • “Information is Knowledge.” (We have more info, but maybe less wisdom. “Infobesity”).
  • “The Digital Divide is gone.” (Billions still lack access).
  • Globalization: The world is flat (Friedman). Supply chains span the globe.
  • Gig Economy: Uber, Airbnb.
  • Surveillance Capitalism: “If the product is free, you are the product.”

Applications

  • Remote Work: Zoom.
  • E-commerce: Amazon killing malls.
  • Crypto: Digital money.

Criticism / Limitations

Mental health issues, polarization, loss of privacy, and the attention economy.

Further Reading

  • Gleick, The Information
  • Castells, The Rise of the Network Society