The Digital Economy. Tim Jordan

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Burt Reynolds version of the film The Longest Yard, whereas those from a younger age group might be looking for the Adam Sandler remake with the same name, and those of a different nationality may be interested in the Vinnie Jones-led soccer version called The Mean Machine (Feuz et al. 2011; Hillis et al. 2012).

      Personalisation achieved by building correlations between categories, or profiling as it is sometimes known, is a second way to mine social relations to create Google search (Elmer 2004). The results delivered to individuals are partially based on correlations which are meant to mathematically capture what social and cultural life means. This is not a totalising analysis which posits one set of internally consistent social dynamics, but a tracing or mapping of whatever social relations can be found from analysing the data Google collects. In this way, Google’s practices of delivering search results and generating data on which ads can be based include various ways algorithms can read the relations between people.

      Starting with the social relations that can be read from the structure of the WWW, Google search then progresses through various means of manipulating and extending that reading. Once enough data has been collected, it can progress to reading the kinds of correlations that measure social relations, which may then be used to personalise search results. Google search practices intertwine different kinds of people, algorithms, datasets and constant updating and storing processes to deliver an answer to a question. These algorithmic logics, that are interweaving different kinds of actors in people, software, data, hardware and so on, must continue to deliver a successful search engine, but they must also conform to the corporate logics Google has embraced as a for-profit company.

      The corporate logics of revenue and profit have to be implemented after the practices of search as value, but these logics also find that the practices of creating search can themselves be translated into and reused as practices of revenue and profit. In particular, the processes of personalisation can develop closely with those of profits derived from advertising, because in both the issue is one of using datasets to generate ways of grouping users together. The same clues that allow personalisation can be moulded to deliver targeted advertising. These Google practices consist of translating both advertiser trust and dollars through the prism of profiling users, similar to personalisation. This is not to say that personalisation and targeted advertising are exactly the same processes, only that they draw on the same idea that correlations and profiling can be generated from Google’s vast datasets of its users’ behaviour (Hillis et al. 2012). In this way, Google’s algorithmic and corporate logics intertwine.

      The obfuscation of algorithms and networks will be a repeated issue when analysing digital economic practices, but it should not be over-emphasised. As demonstrated above, while we cannot follow the details, we can follow the nature of the practices that create search, partly because we know what users, in this case searchers or advertisers, are doing, and because we know the nature of what the company is doing. Closer work would have value, but in defining digital economic practices generally, or Google’s practices specifically, the level of detail that is available is more than adequate.

      With this analysis of Google’s economic practices, we have thoroughly examined a leading example of digital economic practice in which the searcher, the advertiser, the advertising site and Google itself each have different practices that intersect to create the overall practice. At its core, we see that while the money comes from advertising, this revenue is dependent on prior search processes. Advertising is then second both temporally – the search engine has to first be established to attract users, whom the company can then use to attract advertisers – and existentially, in the sense that without a successful search engine advertising is irrelevant since no company will survive for very long. Once Google had learned how to read the community of the WWW and ally this to the data flow derived from its searchers, it could then make the profitable leap to advertising, while still offering its core ‘value’ of search as a free service. At Google, the addition of monetisation is materialised in new practices of analysing users, as well as in auctions, money transfers and bookkeeping. Fundamentally, Google’s digital economic practice is based on its ability to read a community and then pass that reading through recursions that both identify better search results and deliver targeted advertising.

      If Google is not the only search company, and not the only digital economy company, then is this understanding of its economic practices being dependent on and deriving their primary value from communities, groups or collectives specific to Google or to search companies? In relation to digital economic practices generally, subsequent chapters will examine cases other than search in order to both complicate and confirm how far Google is an exemplar of more general practices. But here it will be worth looking briefly at a number of other search engines.

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