Google’s plan to revolutionise cities is a takeover

in all but name

Parent company Alphabet would provide services in response to data harvested

Evgeny Morozov
Sun 22 Oct 2017 00.05 BST

Last June Volume, a leading magazine on architecture and design, published an

article on the GoogleUrbanism project. Conceived at a renowned design institute
in Moscow, the project charts a plausible urban future based on cities acting as
important sites for “data extractivism” – the conversion of data harvested from
individuals into artificial intelligence technologies, allowing companies such as
Alphabet, Google’s parent company, to act as providers of sophisticated and
comprehensive services. The cities themselves, the project insisted, would get a
share of revenue from the data.

Cities surely wouldn’t mind but what about Alphabet? The company does take
cities seriously. Its executives have floated the idea of taking some struggling city
– Detroit? – and reinventing it around Alphabet services, with no annoying
regulations blocking this march of progress.

All of this might have looked counter-intuitive several decades ago, but today,
when institutions such as the World Bank preach the virtues of privately run
cities and bigwigs in Silicon Valley aspire to build sea-based micronations
liberated from conventional bureaucracy, it does not seem so far-fetched.
Alphabet already operates many urban services: city maps, real-time traffic
information, free wifi (in New York), self-driving cars. In 2015 it launched a
dedicated city unit, Sidewalk Labs, run by Daniel Doctoroff, former deputy mayor
of New York and a veteran of Wall Street.

Doctoroff’s background hints at what the actual Google Urbanism – as opposed

to its theoretical formulations – portends: using Alphabet’s data prowess to build
profitable alliances with other powerful forces behind contemporary cities, from
property developers to institutional investors.

Alphabet already operates many urban services: city maps, real-time traffic
information, free wifi (in New York), self-driving cars. In 2015 it launched a
dedicated city unit, Sidewalk Labs, run by Daniel Doctoroff, former deputy mayor
of New York and a veteran of Wall Street.

On this view, Google Urbanism is anything but revolutionary. Yes, it thrives on

data and sensors, but they only play a secondary role in determining what gets
built, why, and at what cost. One might as well call it Blackstone Urbanism – in
homage to one of the largest financial players in the property market.

Since Toronto has recently chosen Alphabet to turn Quayside, a 12-acre

undeveloped waterfront area, into a digital marvel, it wouldn’t take long to
discover whether Google Urbanism will transcend or accommodate the
predominantly financial forces shaping our cities.

Sidewalk Labs has committed $50m to the project – mostly for hosting a year-
long consultation after which either party can exit. Its 220-page winning bid
provides fascinating insights into its thinking and methodology. “High housing
costs, commute times, social inequality, climate change and even cold weather
keeping people indoors” – such is the battlefield Doctoroff described in a recent
interview.

Alphabet’s weapons are impressive. Cheap, modular buildings to be assembled

quickly; sensors monitoring air quality and building conditions; adaptive traffic
lights prioritising pedestrians and cyclists; parking systems directing cars to
available slots. Not to mention delivery robots, advanced energy grids, automated
waste sorting, and, of course, ubiquitous self-driving cars.

Alphabet essentially wants to be the default platform for other municipal

services. Cities, it says, have always been platforms; now they are simply going
digital. “The world’s great cities are all hubs of growth and innovation because
they leveraged platforms put in place by visionary leaders,” states the proposal.
“Rome had aqueducts, London the Underground, Manhattan the street grid.”

Toronto, led by its own visionary leaders, will have Alphabet. Amid all this
platformaphoria, one could easily forget that the street grid is not typically the
property of a private entity, capable of excluding some and indulging others.
Would we want Trump Inc to own it? Probably not. So why hurry to give its
digital equivalent to Alphabet?
Who determines the rules by which different companies get access to it? Would
cities be saving energy using Alphabet’s own AI systems or would the platform be
open to others? Would its self-driving cars be those of Waymo, Alphabet’s
dedicated unit, or those of Uber and any other entity that builds them? Would
Alphabet support “urban net neutrality” as actively as it supports net neutrality of
the conventional type?

In reality, there is no “digital grid”: there are just individual Alphabet products.
Its bet is to furnish cool digital services to establish complete monopoly over data
extractivism within a city. What passes for the efforts to build the “digital grid”
might, in fact, be an attempt to privatise municipal services – a staple feature of
Blackstone Urbanism, not a radical departure from it.

Alphabet’s long-term goal is to remove barriers to the accumulation and

circulation of capital in urban settings – mostly by replacing formal rules and
restrictions with softer, feedback-based floating targets. It claims that in the past
“prescriptive measures were necessary to protect human health, ensure safe
buildings, and manage negative externalities”. Today, however, everything has
changed and “cities can achieve those same goals without the inefficiency that
comes with inflexible zoning and static building codes”.

This is a remarkable statement. Even neoliberal luminaries such as Friedrich

Hayek and Wilhelm Röpke allowed for some non-market forms of social
organisation in the urban domain. They saw planning – as opposed to market
signals – as a practical necessity imposed by the physical limitations of urban
spaces: there was no other cheap way of operating infrastructure, building
streets, avoiding congestion.

For Alphabet, these constraints are no more: ubiquitous and continuous data
flows can finally replace government rules with market signals. Now, everything
is permitted – unless somebody complains. The original spirit behind Uber was
quite similar: away with the rules, tests and standards, let the sovereign
consumer rank the drivers and low-scoring ones will soon disappear on their
own. Why not do this to landlords? After all, if you are lucky to survive a house
fire, you can always exercise your consumer sovereignty and rank them down.
Here the operating logic is that of Blackstone Urbanism, even if the techniques
themselves are part of Google Urbanism.
Google Urbanism means the end of politics, as it assumes the impossibility of
wider systemic transformations, such as limits on capital mobility and foreign
ownership of land and housing. Instead it wants to mobilise the power of
technology to help residents “adjust” to seemingly immutable global trends such
as rising inequality and constantly rising housing costs (Alphabet wants us to
believe that they are driven by costs of production, not by the seemingly endless
supply of cheap credit).

Normally these trends mean that for most of us things will get worse. Alphabet’s
pitch, though, is that new technologies can help us survive, if not prosper, by
using self-tracking to magically find time in the busy schedules of overworked
parents; by making car debt obsolete as car ownership becomes unnecessary; by
deploying artificial intelligence to lower energy costs.

Google Urbanism shares the key assumption of Blackstone Urbanism: our highly
financialised economy – marked by stagnating real wages, liberalised housing
markets that drive up prices due to persistently strong global demand,
infrastructure built on an opaque but highly lucrative public-private partnership
model – is here to stay. The supposedly good news is that Alphabet has the
sensors, networks and algorithms to restore and maintain our earlier standard of
living.

The Toronto proposal is still vague on who will pay for this urban utopia. It
acknowledges that “some of [the project’s] most impactful innovations are major
capital projects that will require large volumes of reliable offtake to be
financeable”. Short of that, it might become the urban equivalent of Tesla: a
venture propelled by infinite public subsidies that derive from collective
hallucination.

Alphabet’s appeal to investors lies in the modularity and plasticity of its spaces;
there is no function permanently assigned to any of their parts. Much like in the
early cybernetic utopias of eternally flexible and reconfigurable architecture,
there is no function permanently assigned to any of its parts. Everything can be
reshuffled and rearranged, with boutiques turning into galleries only to end up as
gastropubs – as long as such digitally enabled metamorphosis yields a higher
return.
After all, Alphabet is building a city “where buildings have no static use”. For
example, the centrepiece of the proposed neighbourhood in Toronto – the Loft –
will offer a skeleton structure that “will remain flexible over the course of its
lifecycle, accommodating a radical mix of uses (such as residential, retail,
making, office, hospitality and parking) that can respond quickly to market
demand”.

Here lies the populist promise of Google Urbanism: Alphabet can democratise
space by customising it through data flows and cheap, prefabricated materials.
The problem is that Alphabet’s democratisation of function will not be matched
by the democratisation of control and ownership of urban resources. That’s why
the main “input” into Alphabet’s algorithmic democracy is “market demand”
rather than communal decision-making.

Instead of democratising ownership and control, Alphabet promises

participation, consultation and new ways to track the vox populi – measured
automatically via Alphabet’s extensive sensory network. The company even hails
Jane Jacobs, everyone’s favourite urbanist, lending some credibility to the thesis
that the kind of small-scale, highly flexible urbanism preached by Jacobs is quite
compatible with Wall Street’s growing interest in real estate and infrastructure.

In many cities, market demand is precisely what leads to the privatisation of

public space. Decisions are no longer taken in the political realm but are
delegated to asset managers, private equity groups, and investment banks that
flock to real estate and infrastructure searching for stable and decent returns.
Google Urbanism would not reverse this trend, it would accelerate it.

The utopian, almost anarchist dimensions of Google Urbanism would be

something to celebrate if most residents were in charge of their own spaces,
buildings and infrastructures. Since this is not the case and such spaces are
increasingly owned by private (and often foreign) investors, a radical departure
from the highly bureaucratic, stifling and capital-constraining system of zoning
laws or building regulations is likely to give us the paralysing horror of the
Grenfell Tower rather than the reassuring uproar of a Vermont townhall.

Aside from the institutional investors shopping for entire city blocks, Alphabet
understands the real audience for its cities: the global rich. For them, the
narratives of data-driven sustainability and algorithmically produced artisanal
lifestyles – Sidewalk Labs even promises “a next-gen bazaar” replenished by local
communities of makers – are just another way to justify rising values of their
property portfolios.

That Alphabet’s “urbanism as a service” might not appeal to the residents of

Toronto does not matter. As a real estate project, its chief goal is to impress its
future missing residents –above all, millions of Chinese millionaires flocking to
Canada’s housing markets. Doctoroff was not equivocating when he told the Globe
and Mail that Alphabet’s Canadian venture “primarily is a real-estate play”.

Alphabet’s urban turn also has a broader political significance. The courting of
Alphabet by Canada’s politicians along with the bidding war that has erupted
over Amazon’s second North American headquarters – some cities have offered it
incentives to the tune of $7bn to relocate there – suggest that, despite the
growing backlash against Silicon Valley, our political classes have few other
positive (and, as importantly, cash-positive) industries to draw upon.

This is clearly the case with Canada’s prime minister, Justin Trudeau, who has
recently pitched his country as “a “Silicon Valley, plus everything else Canada is”.
In one respect, he is certainly right: it has been Canada’s pension funds that
turned real estate and infrastructure into the lucrative alternative assets they are
today.

Let us not have any illusions about Google Urbanism. One has to be naive to
believe that the emerging urban alliance of the technology and financial
industries would produce results detrimental to the latter. Blackstone Urbanism
will still be shaping our cities even if Alphabet takes over their garbage disposal.
“Google Urbanism” is a nice way of camouflage this truth.

https://amp.theguardian.com/technology/2017/oct/21/google-urban-cities-planning-data