On the morning of August 15, The New York Times published a long, investigative report on the culture at Amazon, one of the country’s (and world’s) largest technology companies. It’s late into Sunday morning the following day, and I’ve just finished the article. It took me so long to read it because I was intrigued by all the chatter and commentary on Twitter in reaction to the piece. Now, having read the original piece, here is what I take away from it:
Women – By far, the most damning part of the piece. The rest of the piece wasn’t that interesting. I can imagine many big, fast-moving companies having lots of drama and dysfunction. It doesn’t excuse unethical behavior, but there are choices parents can make, and oftentimes women (and moms) don’t have much say in the matter. An organization that doesn’t care for those it employs who are so vulnerable at a time around childbirth likely sets itself up for a rude awakening down the road. I can’t imagine a Bay Area company getting away with such ploys in today’s age.
Global Competition – What struck me most about the piece overall is how intense global pressure is on all western countries, America included. American citizens want their iPhones, but they don’t want to read about Foxconn; I want my toothpaste delivered tomorrow, but I don’t want to read about how Amazon makes it happen, right? Think of all the startups rushing to nip at the heels of Amazon. It’s a brutal game and they have big international competition (like Alibaba) and pressure from upstarts (like Wish, and potentially more).
Software vs. Software-enabled – Facebook and Google, for example, have a ton of leverage in their business model. Their software scales in a way that is so elegant, it empowers them to go over-the-top to recruit, hire, and retain employees. These are software-driven companies. By contrast, while Amazon certainly has amazing software, it is more defined by operations, logistics, and a characteristically low-margin threshold to ensures I can get my tube of toothpaste tomorrow. It doesn’t enjoy the elegance of a Facebook web and mobile ad model, and therefore is under all sorts of insane volume pressures the outside world cannot comprehend.
Ad-Homimem Attacks – I’ve noticed an uptick in this behavior, that when information comes out that is controversial and places a tech company or someone in tech in the klieg lights of the press, many (not all) will rush to discredit the source. It happens in politics, too. People don’t like to see stones being thrown at glass houses because in tech, there’s a row of glass houses that make for great fodder for the press who is hungry for more expose-type journalism and want to experiment with new types of media. The reality is that tech is driving the global economy, it is touching peoples’ lives in more and more ways, and the press will increasingly be on the lookout for targets to sink its teeth into. For instance, I can’t imagine Amazon not addressing the women/expectant-moms portion of the article, though I don’t think they’ll care about the rest of it. As I like to say, everyone in tech now plays for the Yankees and should expect scrutiny moving forward.
Power Of The New York Times – I am not sure if this piece, were it published in any other outlet (except The New Yorker) would’ve generated this much of a reaction. There’s something still about the power of the NYT brand, the fear that it will be read across not just the country, but the world; that it will itself drive other outlets and blogs (like this one) to chime in and drive derivative coverage. This piece likely did so well for them, we should expect both the NYT and other outlets to commission and look for stories like this — to examine the bigger targets like Facebook, Google, Apple, Uber, and beyond, and unearth information that wants to come out and will enrapt a mainstream audience.
We live in a new world where some elite corporations have more power than many governments, a world with much less job security, much less influence of those who aren’t fluent in some bit of technology, much more technology that is impacting operations in the real world, much more competition from global conglomerates as well as young upstarts, and many more press outlets who need to figure out a way for a global audience to refer to their work and click on their headlines. I am in favor of the NYT and others writing stories like these. The press is free, and we are all entitled to our opinions on the matters exposed. This weekend’s Amazon piece was likely a test-run for a broader strategy. The world is interested to learn more, and on many things, they have the right to have this and other similar stories aired for everyone to read.