The definition of a megacorp differs a bit, work to work. They are, of course, megacorporations in the literal sense; massive, vertically integrated companies that often have monopolistic control over multiple markets. But more fundamental to the definition of the megacorp is that they typically employ their own armed forces and either enforce their own law or are at least able to ignore the law more generally. It is not enough for a company to be big, it has to generate the sort of wealth to which M. Licinius Crassus famously quipped “no one was truly rich who could not support an army at his own expense” (Plut. Cras. 2.7).
Which is to say that what really defines a megacorporation is that it trespasses into domains usually occupied by the state: military, police and judicial functions – the use of force. A megacorporation is, simply put, a corporation so large and powerful that it begins to act as a state, be that in the form of the private armies of Cyberpunk 2077, the privatized police force of the Robocop franchise, or the straight-up corporate governments of Stellaris (which in turn channel things like the Spacer’s Guild or the Ferengi Alliance) And that is core to the generally dystopian leaning of megacorporations – they are meant to reflect capitalism and corporate empire building taken to an extreme, to the point where it has swallowed the entire rest of the society.
Taking that definition to history, we can actually see a fair number of megacorporations; they are by no means common, but they do exist. Going very far back, the Roman societates (lit: “fellowships”, but “business association” or “company” is an accurate enough rendering) of the publicani (businessmen who filled public contracts) exercised close to this sort of power in some of Rome’s early provinces. During the Middle and Late Roman Republic, the job of extracting tax revenue from the provinces was too administratively complex for the limited machinery of the Republic, so instead the senate directed the censors to auction the right to collect taxes. Groups of Roman businessmen (and often silent patrician partners) would group resources together to bid for the right to collect taxes from a province – any taxes they took in excess of that figure would be their profit.
These companies could be very large indeed. For instance, parts of the lex portorii Asiae (the customs laws for the Roman province of Asia) survive and include regulations for the relevant company including a slew of customs houses and guard posts (the law is incomplete, but mentions more than 30 collection points – all major ports – to which would also need to be added posts along the land routes into the province). From other evidence we know that the staff at customs posts included armed guards along with the expected tax collectors and bookkeepers. And we know that publicani were sometimes delegated local or Roman forces to do their work (e.g. Cic. Ad Att. 114, using Shackleton Bailey’s numbering). They also maintained the closest thing the Roman Republic had to a postal service (Cic. Ad Att. 108). It’s not clear exactly how many employees one of the larger tax collection companies might have had (and those for the province of Asia – equivalent to the west coast of Anatolia – would have been some of the largest), but it was clearly considerable, as were the sums of money involved.
To the cities and towns of a province, such Roman companies must have seemed like megacorporations, especially if they were in with the governor (which they generally were) and thus could call down the forces of Rome on recalcitrant taxpayers. And we certainly know that these publicani often collected substantially far more than was due to them under the law (the reason why “tax collector” and “sinner” seem to be nearly synonymous in the New Testament, a fact that gave Ernst Badian’s study of them, Publicans and Sinners, its title). At the same time, we see the clear limitations too: such companies were clearly subservient to the governor and to the Roman state. Administrative changes beginning under Julius Caesar and brought to completion under Augustus did away with some of the largest tax contracts and the influence of the societates publicanorum with them.
Bret Devereaux, “Fireside Friday: January 1, 2021”, A Collection of Unmitigated Pedantry, 2021-01-01.
August 23, 2023
QotD: “Megacorporations” of the Roman era
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