\

Ask HN: Why does tech industry not have more co-ops?

27 points - yesterday at 9:26 PM


Sounds like this should be the default path if AI is really enabling everyone and setting an even field. Why is it just winner (CEO and co) takes all and losers go home?

  • GianFabien

    today at 1:25 AM

    I think it is due to the wide disparity between potential members.

    For example, consider an agricultural co-op, e.g. wheat growers. The members of the co-op have farms of differing sizes, use similar techniques, have more or less comparable conditions. They produce grain which has a commodity level set price. The main differentiator between members of the co-op is the volume of grain they produce. But on the basis of the commodity pricing it is a relatively level playing field.

    Now consider any tech company. Products have vastly different pricing - ranging from free to millions of $ (or whatever your currency) for enterprise levels. The "producers" vary in capability from newbies to rock-star programmers. Plus you need management to facilitate communications, etc. Everywhere you look, you find disparity.

    The closest you get to a tech co-op is a startup with a small group of people who respect one another's contribution and follow a shared vision. Unfortunately as soon as you introduce outside investors inequality seeps in.

    • brudgers

      today at 1:33 AM

      Co-ops primarily are a way of funding local infrastructure that serves small businesses and communities when there is not a viable ROI for commercial banks or existing businesses: for example grain elevators, rural electrical service, grocery stores etc.

      β€œTech” (whatever that is) probably tends not to have cooperatives because it does not have a similar combination of conditions.

      • slater

        yesterday at 9:38 PM

        Because unfortunately that (winner takes all) is the world we live in.

          • conqrr

            yesterday at 9:42 PM

            Can't disagree with that. Agriculture, Energy, Grocery, Credit all have co-ops, Yet tech is non-existent.

              • benoau

                yesterday at 10:49 PM

                As they say, money brings out the worst in people - they might rethink if they could scale to 3 billion consumers at relatively little cost and keep the proceeds for themselves.

        • unchainedsky90

          today at 1:19 AM

          [dead]