07-26-2005
08-29-2003

Nick Dyer-Witheford

Today's headlines, "NASDAQ Drop Leads Global Market Fall," promises a definitive answer to the question as to whether "digital cultural objects" are "assimilable within the capitalist commodity form": "no." note1note Or perhaps just "not as easily as was thought." Raymond Williams once complained that bourgeois theorists always construed short-term fluctuations as long-term trends. None of us would want to be guilty of that. But even exercising due prudence, it seems fair to say the recent misadventures of a dot.com sector heavily involved in "digital cultural objects" have revealed cybercapitalism as more problematic than it appeared in the halcyon days of the new economy. I approach these issues through three large concepts, all mutated marginalia of Marx - "the world market," "general intellect," and "species being" - applied to an examination of one digital cultural object, the video game.

Some definitions may be useful. The "world market" is simply planetary capitalism, a.k.a. "globalization," a system of generalized commodity exchange now operating with unprecedented geographical reach, speed, dominion, and nomadism. note2note "General intellect" is introduced by Marx in Grundrisse, where he prophecies that at a certain moment in capitalism's development of productive forces the direct expenditure of labor power will cease to be the most important factor in the creation of use-values. note3note Wealth will instead depend on the forces of social knowledge - the "development of the general powers of the human head." This will manifest in techno-scientific innovation and the increasing importance of machinery - "fixed capital." Marx points to two technological systems in particular as signs of the activation of general intellect. One is automation, the other the network of transport and communication devices that achieve the famous "annihilation of space by time."

Read sympathetically, "general intellect" can be seen as a prescient glimpse of today's knowledge economy, with production teams, innovation milieux and university-corporate research partnerships yielding the "fixed capital" of robotic factories and global computer networks. The dialectical prediction of "classical" Marxism was that "general intellect," though generated by the world market, would destroy and supersede it. Technologies of automation and communication, by reducing direct labor-time and thoroughly socializing production, would render wage labor and private ownership obsolete, so that "capital...works towards its own dissolution." note4note The assertion of neoliberalism, although phrased in very different terms, is that the world market is completely compatible with general intellect. The concept of "the new economy" is a marriage made in heaven between high-technology systems and the commodity form, a perfect union of Net and Market: "friction free capitalism."

In contrast to both positions, the proposal of this paper is that the congruence of general intellect and world market, or of the information society and global capital, is partial, incomplete and contested. It follows a line of argument developed by Antonio Negri, Paolo Virno, Michael Hardt, Maurizio Lazaratto, and others who suggest that, in the consideration of "general intellect," the crucial issue is not just the accumulation of "fixed capital" with advanced machines. note5note Rather, it is the variable potential of human subjectivity that continues to be critical for the creation and operation of this high technology apparatus - although often as indirect and heavily mediated, rather than direct, hands-on, labor. This subjective element they variously term "mass intellect" or "immaterial labor." note6note It is the human "know-how" - technical, cultural, linguistic, and ethical - that supports the operation of the high-tech economy, especially evident in the communicational and aesthetic aspects of high-tech commodity production. The question is how far capital can contain what Jean-Marie Vincent calls "this plural, multiform constantly mutating intelligence" in the structures of the world market. note7note

What is at stake in the development of "general intellect" is nothing less than the trajectory of species being. "Species being" is the term Marx uses refers to humanity's self-recognition as a natural species with the capacity to transform itself through conscious social activity. note8note In the era of general intellect the application of social knowledge to production make this issue urgent and concrete; e.g. the Human Genome Project. Given this context, the recent revival of the concept of species being by authors such as David Harvey and Gayatri Spivak, rather than constituting a reversion to a much-reviled "Marxist humanism," marks a crucial consideration about the collective control and direction of a techno-scientific apparatus capable of operationalizing a whole series of post-human or sub-human conditions. note9note Alienation takes on a whole new dimension when it reaches up to the creation of "alien" - non-naturally occurring - life forms, and when the cut and paste biology of gene splicing and xenotransplants makes the body itself tend toward the status of "digital cultural object."

The specific example on which I bring these large concepts to bear, the video game (more properly, video and computer games, which together make up the "interactive play" business) may seem too slender to bear their weight. But the interactive game is a - perhaps even the - exemplary "digital cultural object" of cybercapitalism. Three decades have seen its transformation from whimsical invention of bored Pentagon researchers into the fastest expanding sector of the entertainment industry. The US interactive-game business is now larger than the Hollywood box-office. note10note Counting both console and computers, over half of North American households, and some 80% of those with children, have a game playing system. Over one-third of consumer software sales in the US are games. Business analysts scan the virtual communities coalescing around online games such as Quake, Ultima and Everquest for e-commerce models. In many ways, interactive game industries have been the poster boys of information capitalism's "new economy," for, as Nicholas Garnham notes, they "are in fact the first companies... to have created a successful and global multimedia product market." note11note

The interactive game reveals two sides of the world market/general intellect interface. It displays the dazzling success of cybercapitalism in integrating general intellect into the structures of the world market. It simultaneously demonstrates the traumas and limits of this process. These ambivalences, though in some respects particular to the game industry, also disclose more general dynamics of the "dot.com" meltdown. In the last section, I ask whether interactive gaming offers us a glimpse at ways of organizing the activities of general intellect other than through the world-market. This question assumes a particular cogency when we see how video games mirror contemporary dilemmas about issues of species being.

The Ideal Commodity

If we look first at the success of capital in enclosing general intellect, one entry point is through the Regulation School's account of Fordist and post-Fordist regimes of accumulation. In their account, Fordism is the mass production, mass consumption, Keynesian constellation of capital's post-war Golden Years that fell apart in the 1970s; post-Fordism an emergent synchronization of digitized production systems, segmented and transnationalized markets, and neoliberal economic policies. The literature on post-Fordism can be seen as an analysis of capitalism's galvanization and enclosure of the new work forms and technologies of "general intellect." But while Regulation School theorists tend to assume this project will succeed, those who talk of "general intellect" see the outcome as less certain.

Martin Lee suggests that that each regime of accumulation has an " ideal-type commodity form" - one that reflects "the whole social organization of capitalism at any historical and geographical point in its development." note12note Thus, for Fordism, the ideal-type commodities were "standardized housing and the car," note13note Cars and houses were imprinted with the stamp of mechanical, industrial production processes; sustained core industrial sectors of the Fordist economy; and arrayed around themselves a whole set of social practices and values vital to the regime. They incarnated the "sense of fixity, permanence and sheer physical presence" characteristic of Fordist consumer culture. note14note If post-Fordism is a major shift in capitalism, we should, Lee says, expect to see this reflected in a different ideal-type commodity-form. note15note Without specifying particular products, he cites "high-tech commodities" and services such as "information, data, and access to means of communication." note16note

I nominate the video game as an "ideal-type commodity" for post-Fordism, embodying its most powerful economic, social, and cultural tendencies. To make this case, I schematically unfold the commodification of interactive games along the length of an expanded model of the circuit of capital. This includes the moments of production (where commodities are made, and surplus value created); consumption (where commodities are purchased, and surplus value realized); circulation (where the passage between production and consumption is enabled by operations of marketing, retailing and distribution); social reproduction (where subjects are prepared and trained for their positions as workers and consumers); the reproduction - or non-reproduction - of nature (where raw materials are extracted from the environment and wastes returned to it); and spatial expansion (whereby the scope of all the preceding operations is territorially enlarged). note17note

In production, interactive gaming is a paradigmatic information age sunrise industry. It demonstrates both the new technological paradigm of post-Fordism - digital objects constructed with digital tools - and its mobilization of immaterial labor in new, collectively organized forms of knowledge work. Here, the lab/studio teamwork conditions of software development appear to confirm some of the more optimistic prophecies about post-Fordism as a site of an emergent digital artisanship.

This new industry was a child not of the free market but in the Keynesian welfare/warfare state. Interactive gaming - like the Internet - is a spin-off of the military-industrial complex, a derivative of nuclear war preparations; the most generally accepted candidate for first digital game is "Spacewar," a military simulation "hacked" into being by defense-related workers at MIT. note18note The digital game was thus born out of a state-led social mobilization of collective resources that could (in however distorted, destructive or inadequate a form) be seen as a rudimentary model of "general intellect." note19note We are dealing here with more than the originating military influence at the root of so many media technologies: interactive gaming has a far more organic, persistent relation with the weapons complex; not just "spin-offs" from the military to civilian applications but "spin-backs" and "spin-ons." Pentagon simulation-makers constantly transfer to commercial game-making, while the military frequently contracts services from, adapts products of, or enters into co-development partnerships with, the civilian industry - making interactive gaming the most persuasive instance of a "military-entertainment-complex." note20note

It is, however, in the realm of consumption that interactive games have had their greatest influence. Here they exemplify what many authors see as a characteristic of post-Fordism - a switch in emphasis from material to experiential commodities. Digital games build on and extended foundations lain by older generations of broadcast media; console games depended on physical connection to the ubiquitous television set for their entry into the home. But interactive games altered the economics and dynamics of this penetration of domestic time and space. They directly commodify in home entertainment, rather like broadcast TV's reliance on the indirect commodification of advertising. They also dramatically intensify and fluidify the consumption experience, since they can be played anytime, almost anywhere. The escalation of this process runs from Nintendo's introduction of the hand-held Game Boy to the edicts issued by North American office-managers against the playing of Doom on LAN, to the development of game capable cell phones and PDA's; the most recent is Electronic Art's Majesty, an X-Files type conspiracy game in which players will be supplied with clues through their "real life" email, fax or cell-phone, so that they may be contacted by game characters during a work meeting, over dinner, or in bed.

Crucial to this intensified absorption of cultural commodities has been a smoothing and speeding of circulation. Though video game companies first relied on the novelty of the new technology to attract interest, they rapidly realized high-intensity marketing was critical to growth. In the early 1990s, competition between Nintendo and Sega made video games test commodities for aggressive, ironic, "in your face," MTV-style television advertising. Nintendo and Sega were among the first companies to "brand" on the electronic frontier, creating an enveloping ambience of games-tips, phone lines, magazines, films, merchandising tie-ins, virtual tournaments, sponsorships, websites, game rentals and trials, and a host of other marketing and public relations strategies. Such an apparatus not only transmits advertising, but also simultaneously gathers transactionally generated information about customer preferences and habits to be resinscribed into the production and marketing process. Video gaming thus became one of the first industries to perfect a post-Fordist "cybernetic cycle" between production and consumption. note21note

The cycle reaches new heights with digital gaming's e-commerce experiments. Networked play became widely available with the popular explosion of the Net in the early 1990s. Online game sites have been test beds for a variety of e-revenue models: subscriptions, pay per play, advertisements, sponsorships for tournaments and other gaming events, and numerous hybrids. Equally importantly, online players are guinea pigs for experiments in yet more effectively "closing the loop" between capital and consumer: culling online information, practicing forms of "viral" marketing, getting players to add value to games by distributing their own levels and scenarios; and creating worlds of sociality - virtual communities - predicated on renewed commodity consumption.

The degree of controversy attending interactive gaming may be explained by the ways it impinges on the sphere of social reproduction. One aspect of post-Fordism's search for new markets has been an explosion of selling aimed at youth and children, a process that really ignited in the 1980s. Early video games were part of this moment. They were sold as toys - targeted primarily to boys, aiming to enlist their sense of rebellion and mobilize their "pester-power" to open parental wallets. For the industry, this early implantation yields opportunities to expand by continually "up aging" its products--so that games are now marketed heavily to young adults familiarized with them a decade ago. For cybercapital as a whole, however, the juvenile targeting of interactive toys has a wider significance. Gaming familiarizes children - especially boys - with digital skills (while contributing to a plague of obesity amongst youthful "mouse potatoes"). It thus constitutes a sort of an extra-curricular training ground for immaterial labor, and e-consumers.

All these developments are occurring on an increasingly international scale, in the process hyperbolically represented by popular accounts of globalization - where digital games often figure prominently. Ken Ohmae, business theorist of a "borderless world" speaks of "the Nintendo kids" as a cosmopolitan echelon of youth who are "forging links to global economy, turning their backs on older generations and traditional values, and using new technologies, such as the Internet, to circumvent government restrictions." note22note Such accounts point for substantiation to the mixed genealogy of video gaming, which began as a US industry, annihilated itself in the Atari crash of 1984, and was revived by a triad of Japanese companies - Nintendo, Sega, and Sony, to subsequently evolve a series of trans-Pacific and trans-Atlantic enterprise webs. These economic forces underpin a cultural hybridization of Japanese anime cartoon styles, American super-heroes, British neo-colonial nostalgia, and German military precision, in a demonstration of post-Fordist "time-space compression" where "the cultural streams of East and West swirl into the Tastee-Freeze of global entertainment." note23note The head of Nintendo's game development says, "We don't find any difference in kid's feelings nation-wide or world-wide. Our development R&D is thinking about the world as a target for each of their products."

In all of this, we are dealing not just with a "world market," ceaselessly expanding its spatial dimensions, but also with a "worlds market," generating increasingly persuasive virtual realities. Writing of electronic financial markets, McKenzie Wark refers to post-Fordism's creation of Third Nature, a sphere of communication and information flows called into being by advanced capital to control and coordinates the industrial structures of Second Nature, and the biosphere of First Nature. Video gaming is the domestic version of this domain. As such, it is a quintessential part of the postmodern ethos often seen as the cultural correlative of post-Fordist production. "Hyper-reality" is precisely what the industry promises. Fredric Jameson's famous description of simulacrum culture as one where "the world...momentarily loses its depth and threatens to become a glossy skin, a stereoscopic illusion, a rush of filmic images without density" - an experience "terrifying" and/or exhilarating" - could well be an account of playing a level of Unreal Tournament.

In an "ideal" post-Fordist capitalism, computerized production, digital media, e-business, global expansion, and postmodern culture would connect in a smoothly integrated circuit. The digital game embodies the virtuous cycle of this virtual economy: it gives us virtual consumer goods constructed with virtual tools to meet virtualized needs in virtual environments, "all hermetically sealed by the institutionalized forces organized around the technology": Sim Capital. note24note

The Nightmare Non-Commodity

But interactive games also embody the contradictions between the world market and general intellect. They display the forces that make immaterial labor, informational technologies, and digital cultural products resistant to commodification. Interactive games constantly threaten to flip from ideal commodity to nightmare non-commodity. Once again, this process can be schematically followed around capital's circuit.

In production, interactive gaming is an example of what Tessa Morris Suzuki characterizes as information capitalism's "perpetual innovation economy," in which business seeks to maintain continual expansion by generating and marketing a ceaseless stream of new commodities with ever-shortening product cycles and life spans. note25note This speed of innovation comes from the systematic mobilization of immaterial labor, and the accelerated cycles of information flowing from producers to consumers and back. Such velocity of change - Schumpterian "creative destruction" not just as episodic convulsion but daily modus operandi - promises information capital a higher rate of profit than the slower cycles of traditional manufacturing.

But it also brings greater risk, "as the investment needed for innovation is high and the window of opportunity to realize the investment is ever smaller." note26note The danger is that the blistering pace of change will immolate vast expenditures of research and development before they can be translated into profit. note27note Such an upgrade economy places a premium on renewing and expanding consumer capacities to absorb digital commodities. But the conditions of "general intellect" simultaneously undermine consumption power, in a variety of ways that track back to the system's requirements - and lack of requirements - for human labor.

The most dramatic of these drains on consumption is piracy. Digital gaming, with its origin in the unauthorized play of MIT programmers, is a child of hacking. And while information does not want to be free anymore than it wants to be paid, there are plenty of people who want free information and free games, and know how to get them. This is a result of what Peter Lunenfeld refers to as the "commerce of tools." note28note The software commodities that are amongst the most attractive offerings of digital capitalism are not only consumer goods, but also "the tool commodities of technoculture," which enable "new commodities and new work." So the relationship between producers and consumers is no longer simply "a case of sellers and buyers" but of "a relationship between hyphenates: between manufacturer-producers and consumer-producers."

Lunenfeld notes how this process pushes what Marx termed "the social character of private labor" to an unprecedented intensity, so that "although the commodity still retains its awesome power, the "made" character of the technocultural commodity is consistently foregrounded for the consumer-producer." note29note But this informal takeover of the means, not just of production, but also of near-instantaneous and costless reproduction by immaterial labor, constitutes a major dilemma of the world market in the era of general intellect. note30note In the game business, two pirating technologies have recently attracted special attention - "emus" (software "emulators" that enable software for one platform to be played on another), and "modding" (modification that enables people to copy and play game CDs). But these are only the latest manifestations of an endemic problem.

According to the Interactive Digital Software Association, game pirates released approximately $3.2 billion worth of packaged goods last year: this figure is only for packaged software, and excludes Internet traffic in games, for which, according to Douglas Lownstein, president of IDSA, "there are no hard figures." Since worldwide sales of legal games are approximately $17 billion, this would mean that pirated games are equivalent to just fewer than 20% of total business. Such figures should be viewed with skepticism, since they rest on the improbable assumption that all these games would have been bought at the normal market price. Game makers' associations have an interest in overstating the problem in order to persuade government action against pirates. note31note But even allowing for hyperbole, illicit, free software is clearly having a major impact: according to Lowenstein "Piracy in all its forms represents the biggest threat to the continued growth of the industry." note32note

This problem is inseparable from the intensified speed and scope of cybercapitalism's preferred means of circulation - the Net. A highly sophisticated, competitively organized system of online game "warz" has flourished for years, using private FTP servers, Internet Relay Chat (IRC) and, to a lesser extent, short-lived Web sites to distribute "cracked" titles. note33note The peer-to-peer explosion will multiply this problem. Although the music giants have been the first in the firing line, interactive games companies will be next, as video-capable P2P networks such as Swapoo emerge. note34note "I think Napster and Gnutella are pretty serious threats to the games industry," Lowenstein says: "As you get to more broadband, I think they become even more dangerous." note35note

The hazards of perpetual innovation and the hemorrhage of piracy place a premium on expanding digital markets. Gaming participates in the "80:20" - actually more like "90:10" - formulae common to many cultural industries. A small minority of "hits" supplies the vast majority of profits. Making money depends on selling these hits very fast, very widely, before the obsolescence of perpetual innovation and the bleeding of piracy take effect. But here too, the industry faces a problem of its own success - that of extreme market segmentation.

We have already noted as digital gaming colonization of youthful minds that can be cultivated on a life-long basis. But the particular line along which this youth market has been developed creates its own limits. For most of their brief history, digital games have been "toys for boys." The version of "general intellect" cultivated by the military entertainment complex is actually not general, but partial: a masculine collective mind dominated by the most reactionary element of a quite traditionally gendered social brain. The complex grooves worn between the weapons complex and the gaming industry have suffused game content with the narratives and the subject positions of "militarized masculinity." This has made it a target of criticism from educators, parents and psychologists concerned about the effects of media violence - and about a gendering of digital play that deprives girls of an informal high-tech head-start program. The industry has an interest in responding to such criticism - and not just to avoid political heat and preempt regulatory legislation and civil actions. Expanding beyond the male niche offers the