Storyfuel
Problems with content creation and distribution
Problems with content creation and distribution
The digital age has revolutionized content creation, offering a vast digital space where creators can share their work with the world. However, the rise of centralized content platforms has introduced a series of challenges, most of which stem from the inherent nature of centralized systems. Here we delve deeper into the intricate problems of centralized content creation, substantiated with mathematical models and references from prior research.
Revenue Sharing Discrepancies: One of the foremost concerns for creators is the significant portion of their earnings taken as a fee by centralized platforms. If RR represents the total revenue generated by a content creator and PP the percentage taken by the platform, the creator's earnings (EE) can be described by the equation:
E=R−(P×R)
For a platform taking a 30% cut, P=0.3. This model may seem simple, but over a large number of transactions, the cumulative revenue loss for creators is substantial1.
Algorithmic Opacity: Centralized platforms utilize proprietary algorithms to rank and recommend content to users. These algorithms, often shrouded in secrecy, prioritize platform profitability over creator visibility2. Mathematically, if V represents content visibility and A the algorithm's bias, a decrease in A can lead to a significant decrease in V for many creators.
Censorship and Bias: Centralized entities wield the power to suppress or demonetize content based on various criteria, potentially driven by external pressures or internal biases. The centralization coefficient (CC), which measures the degree to which decision-making is centralized, often approaches 1 in these platforms, leading to a high potential for biased actions3.
Audience Reach Limitation: Despite amassing large follower counts, creators may find that only a fraction of their audience views their content due to platform-imposed limitations. If F represents followers and L the platform's limiting factor, actual reach (R) can be described as:
R=F−(L×F)
For creators, this equation often results in a frustratingly low R value4.
Lack of Direct Monetization: Centralized platforms often restrict direct monetization opportunities, like fan donations or merchandise sales, forcing creators to rely on ad revenues or platform-specific monetization schemes, which can be less lucrative5.
Data Privacy Concerns: Centralized platforms control user data, raising concerns about privacy and data misuse. The user trust factor (T) inversely correlates with the number of data breaches (B), with T decreasing significantly with each incremental increase in B6.
Platform Lock-in: Creators often find themselves tethered to a single platform due to audience lock-in, making it challenging to migrate to alternative platforms or diversify their content distribution7.
Inequitable Value Distribution: The value generated by creators and users often disproportionately benefits the centralized platform rather than the community. If Vc is the value retained by the community and Vp the value captured by the platform, in most centralized systems, Vp>>Vc8.