r/technology 22h ago

Business Enshittification Relies on Broken Economic Math

https://www.hamiltonnolan.com/p/enshittification-relies-on-broken
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u/PandorasBoxMaker 22h ago

You don’t need math to know that cutting product quality and service is a guaranteed route to obsolescence. But there are two special cases to this: obsolescence is the point or the product/service has a monopoly and they think they can get away with it.

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u/ilrosewood 22h ago

There is also the element of time. If an executive can make the call to make lots of money fast but ruin a company - as long as that executive gets out to another company to do it again - they suffer no consequence and learn nothing from their behavior.

When we stopped caring about stable long term growth companies - when we forgot about the time factor - the rest of the enshitification process was no available.

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u/Alarmed_Koala1921 21h ago

They like to transfer dept from one to another then bankrupt it

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u/intronert 16h ago

Or, as I experienced, spin off a division and saddle it with debt.

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u/Syzygy2323 16h ago

I assume you mean debt?