How digital devices challenge the nature of ownership

And threaten property rights in the digital age


  • by
  • 09 30, 2017
  • in Leaders

OWNERSHIP used to be about as straightforward as writing a cheque. If you bought something, you owned it. If it broke, you fixed it. If you no longer wanted it, you sold it or chucked it away. Some firms found tricks to muscle in on the aftermarket, using warranties, authorised repair shops, and strategies such as selling cheap printers and expensive ink. But these ways of squeezing out more profit did not challenge the nature of what it means to be an owner.In the digital age ownership has become more slippery. Just ask Tesla drivers, who have learned that Elon Musk forbids them from using their electric vehicles to work for ride-hailing firms, such as Uber. Or owners of John Deere tractors, who are “recommended” not to tinker with the software that controls them (see ). Since the advent of smartphones, consumers have been forced to accept that they do not control the software in their devices; they are only licensed to use it. But as a digital leash is wrapped ever more tightly around more devices, such as cars, thermostats and even sex toys, who owns and who controls which objects is becoming a problem. Buyers should be aware that some of their most basic property rights are under threat.

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