Reaction: Centralization Wins
Warning: in this post, I am going to cross a little into philosophy, governance, and other odd subjects. Here there be dragons. Let me begin by setting the stage:
And the very helpful diagram which accompanies the quote—

The point Todd Hoff, the author makes, is that five years ago he believed the decentralized model would win, in terms of the way the Internet is structured. However, today he doesn’t believe this; centralization is winning. Two points worth considering before jumping into a more general discussion.
First, the decentralized model is almost always the most efficient in almost every respect. It is the model with the lowest signal-to-noise ratio, and the model with the highest gain. The simplest way to explain this is to note the primary costs in a network is the cost of connectivity, and the primary gain is the amount of support connections provide. The distributed model offers the best balance of these two.
Second, what we are generally talking about here Continue reading
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