19 – #LOOP

Charles pulls up to the curb in a brand-new Lincoln Towncar, black and sleek, radiating wealth and privilege, and stops before me. His car is mine, and Charles is my driver — temporarily. I have magicked him up from my mobile, firing off a text message with my address to a service called Uber. I receive confirmation of receipt of my request, then, just a few seconds later, confirmation that Charles would be with me in three minutes.

If I had been using a smartphone, the process would have been slicker and more visual. I would have launched an app that would locate me – using GPS – then place me on a map, showing all of the nearby available limousines. After I my pickup request had been received and accepted, all of those limousines would disappear from the map, except the one coming to fulfil my request. As the car drew closer to me, I’d see it approach, allowing me to meet it precisely as it arrived. Seamless coordination, courtesy of the mobile.

Even though it costs a fair bit more than a taxi, with this kind of convenience Uber has been blessed with raging success. People like the feeling of control – real or perceived – that comes from watching their driver approach. While they stare down into the screen, Uber gives its users a sense of ominpresence. They know, if not everything, much more than ever before. That knowledge allows them to do more, giving them a small taste of the freedoms enjoyed by the very wealthiest.

Limousine drivers like Charles love Uber, too. Before the service launched, those drivers would spend half their time doing nothing, idling their hours while waiting for the next pickup call to come in. Drivers now add Uber jobs to their regularly scheduled pickups, nearly doubling their earning power within the same eight-hour shift. Mobiles have given limousine drivers the same economic acceleration that mobiles gave the fishermen of Kerala fifteen years ago – creating a highly efficient market which satisfies an increased demand, dramatically improving the earning potential of everyone connected.

Economists recognize that when a sudden change in market dynamics produces a burst of new wealth it encourages people to enter the marketplace. A ‘gold rush’ begins, as everyone looks for a way to vacuum up some of the new-found fortune. Most markets have ‘barriers to entry’ – to be a fisherman, you need a boat and rigging and nets and a crew; to be a driver you need a rather pricey limousine. These barriers make it difficult for the market to become immediately overcrowded, but the lack of competition increases the incentive for everyone already participating in the market to maximize their productive behavior. The more productive you can be within a closed but growing market, the more you will earn.

For Uber drivers, this means putting their limousines where they’re most needed. But they’re not alone in this, so the busiest parts of the city are also those with the greatest supply of drivers, which means drivers still have to wait for jobs. Even closed markets can be locally oversupplied – particularly where participants within a market can smell all the money to be made.

Uber drivers run a companion version of the smartphone app that Uber customers use. This app allows them to bid on pickups, but does not reveal the location of any of the limousines around them, competing for the same business. Uber’s drivers have less information than Uber’s customers. As a consequence, limousines tend to cluster, because drivers don’t know that they’re all converging on the same small – and presumably lucrative – area.

My driver Charles has a solution for this dilemma: he owns two mobiles, and runs both Uber apps. The driver app delivers pickup requests, while the customer app reveals the locations of any limousines nearby. “One evening I came into the city,” Charles reports, “and there were four limousines within a block.” Knowing this, Charles moved on, finding another, under-served area of the city, and got plenty of work.

Uber may not want its drivers to know about the location of other drivers, but it wants to reveal that information to its customers, so drivers simply poke holes in the wall that separate the two sides, peering through, and learning where to position themselves for greatest profit. The drivers use all information on offer – from every source – to give themselves the greatest advantage.

Charles says he’s one of the few Uber drivers using his smartphone to give him the inside track with a degree of omnipresence. It’s a technique new to him, and he doesn’t say whether he thought it up himself, or if he copied it from another driver. Either way, as Charles’ success becomes more visible, his peers, watching what he does, will copy his keys to success. What he knows will be replicated throughout the fleet of drivers until this exceptional behavior becomes pervasive and normal.

Soon, Uber will either need to provide drivers with all of the information drivers provide to Uber, or every Uber driver will use two mobiles, one for orders, and another for omnipresence. As drivers learn more about one another, they learn how to avoid economically damaging behaviors, such as clusters. The drivers self-organize, spacing themselves throughout an area in a way which generates the greatest economic advantage for each individual. They will act as a unit – as if they all answered to a common mind – although they have no central command, accept no controlling influence, and simply work to maximize their own financial interests. This emergent behavior – seen first along the Kerala coast – is the inevitable consequence of connectivity.

The information flows of connectivity move back and forth, never just in one direction, looping through us, out into the world, and back again. At every step, this information, transformed by the individuals it passes through, also transforms those individuals. “All knowing is doing, and all doing, knowing.” To connect is to know, to know is to do, and doing carries with it the opportunity to connect.

This never stops, nor ever slows.