Shervin Pishevar says competition for Amazon HQ illustrates toxic levels of power for tech giants
Shervin Pishevar is one of the most respected figures in the world of tech finance. He has also emerged over the last few years as one of the most outspoken critics of tech monopolies in the United States. Shervin Pishevar has repeatedly warned that the U.S. tech monopolies are rapidly approaching the point where they are eclipsing the power of any monopolies that have come before them. Pishevar says that when companies such as Standard Oil, U.S. Steel and Ma Bell threatened the stability of the nation’s economy through their iron grip over critical infrastructure, they were broken up by the government. Now, Shervin Pishevar warns that the government itself may be so thoroughly captured by the monopolies that it may be losing its power to act. This, he says, could ultimately lead to economic disaster.
Amazon: private profits and public costs
Shervin Pishevar points out that anyone who still harbors doubts as to the extreme power that some of the tech monopolies currently wield over the nation should turn to the example of Amazon. As its recent competition to see where it would locate its second headquarters has roundly illustrated, local and state governments from coast to coast are willing to write into law deep and special exemptions just for the opportunity to have the tech giant grace their landscapes.
But it isn’t just the company’s ability to effectively dodge taxes by simply telling states that they have to pay to play with the firm. Amazon’s entire business model, says Shervin Pishevar, has been built around its ability to use the highly subsidized U.S postal system. Pishevar says that the U.S. Post Office, from a business perspective, is an intractable disaster. The Post Office loses billions upon billions of dollars each year. That is how it’s able to deliver packages and letters so cheaply. But without that ability to have taxpayer-subsidized cheap and effective delivery methods, Amazon probably wouldn’t even exist.
Shervin Pishevar says that Amazon not only doesn’t have to reimburse the post office, it is now dodging the majority of its taxes through antics like its corporate HQ bidding competition.