Quotulatiousness

July 28, 2025

QotD: The technology ecosystem

Filed under: Books, Business, Quotations, Technology, USA — Tags: , , , — Nicholas @ 01:00

A lot of thinkfluencers will describe technology as an “ecosystem” without grappling with the full implications of that term. Most often when they say it they’re referring to a cluster of consumer-facing businesses that rent space or other capabilities from a “platform” provider, like apps on an App Store. But that isn’t an ecosystem, that’s a shopping mall. Real ecosystems have energy and nutrient flow both up and down the food chain, as well as laterally; they have vast swarms of bottom feeders, fungi, and other detritivores that recycle matter through decomposition and make its constituents bioavailable once more; they also have a constant source of energy input (usually the sun) to make up for the constant entropic drag that would otherwise grind things to a halt. One of the great discoveries of modern ecology is that apex predators, macrofauna, the plants and animals we notice and admire are perched precariously atop a vast network of invisible supports. A tiger is the temporary result of too many worms gathering in one place.

Technology is also an ecosystem, not the way bluechecks talk about it, but in this more profound sense. A Boeing or a Google is like a tiger: the highly-visible culmination of a vast subterranean drama. Turn over a spade and you’ll find them — the suppliers and subcontractors, investor networks, tooling manufacturers, feeder universities, advisors, researchers, shipping and packaging experts, friendly bankers and government officials, producers of upstream technological inputs, and a vast collection of lower-tier companies in related markets that act like an economic flywheel, absorbing and releasing excess labor as the economy shudders through its fits and starts.

In nature, it’s energy and nutrients that move through the food webs. Here their analogues are capital and knowledge. It’s hard to miss the money sloshing back and forth — world-changing companies are nurtured through their awkward adolescence by sophisticated and patient pools of capital, and the high-flying champions of those companies become the next generation’s venture investors after cashing out. Harder to see but even more influential is the vast economic dark matter made up of professionals who struck it rich enough to live comfortably but not rich enough to fly private. These unobtrusive capitalists are the first to hear through professional whispernets that so-and-so has quit his job to work on such-and-such. Since they’re still in the rat-race, they can have an informed opinion on the caliber both of the idea and of the team around it, and are usually the early champions of the most unusual and speculative ventures. And finally, money sloshes around between the companies themselves through a complicated network of deals, joint ventures, and strategic investments.

The money is more visible, but the way knowledge moves is more important. Part of it is academic, propositional knowledge or technical data whose discovery is accelerated when a dozen different teams are on its scent, sometimes racing each other to the prize, sometimes egging each other on and celebrating each others’ victories. But the bulk of what makes this ecosystem hum, the true currency that drives nearly every barter or exchange, is practical, process knowledge of the sort that 莊子 first described and Michael Oakeshott later re-popularized for our benighted and ignorant age. What makes process knowledge unusual is that by its very nature it cannot be separated from people, cannot be digitized or divorced or attached to an email. It is at once the nous of a technological ecosystem and the thing that makes it fundamentally illegible — an immaterial, intangible essence that inheres only in individuals, like a mind or a soul.

John Psmith, “REVIEW: Flying Blind by Peter Robison”, Mr. and Mrs. Psmith’s Bookshelf, 2023-02-06.

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