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The hacker ethic 421Giddens, 1992). Most importantly, it has been pointed out that there is nonecessary historical relationship between the Protestant religion and moderncapitalism. The modern spirit of capitalism also emerged in non-Protestantenvironments like Venice. However, for the purposes of this chapter, the exacthistorical relationship between Weber’s two distinct concepts of the“Protestant ethic” and the “spirit of capitalism” is not central because Weberemphasized the above three elements in both. In fact, in the common use oflanguage, the “Protestant ethic” is used as a synonym for the “spirit of capitalism.”The expression “Protestant ethic” has become somewhat similar to theexpression “Platonic love”: when we say that people have a Platonic relationshipwe do not mean that they are Platonists (holding Plato’s views on metaphysics,epistemology, and so on) and even less that Platonism is the reasonfor their love! The same goes for the “Protestantism” in the Protestant ethic.In this chapter, the expression “Protestant ethic” will be used in a way thatdoes not include any historical claims about the relationship betweenProtestantism and capitalism. There are additional advantages in thisapproach. It makes sense also to talk about the “Protestant ethic” in the economyof non-Christian cultures. For example, the above three elements havebeen very strongly present in Japan’s rise as a powerful industrial economy. Inthis context, the expression “Protestant ethic” means the culture of industrialcapitalism, which had the three key elements listed above in otherwise differentcultural and political environments.In the same sense, this chapter intends to formulate the key characteristicsof the culture of the new informational economy. Again, the analysis willexpress elements that are shared in otherwise different cultural and politicalsettings wherever there is an informational economy. I called this culture the“hacker ethic” in my book The Hacker Ethic and the Spirit of the InformationAge (Himanen, 2001). The reasons for the choice of this expression arepresented below.To be sure, the current form of the informational economy is still capitalist.Manuel Castells has presented the theory of the informational economy in histrilogy The Information Age: Economy, Society and Culture (Castells,2000a,b, 2004). In this context, informational refers to a trend in which operationsbecome (1) based on the use of information technology, (2) organized(globally) like computer networks, and (3) focused on information (symbol)processing. The resultant informational capitalism is one in which the dominantoperations are – with the help of information technology – organized(globally) as networks and based on information (symbol) processing. (I usethese concepts here along the lines of Castells and Himanen, 2002.)It should not be necessary to add that this development is very differentfrom the hype of the “dot-com economy” or the “new economy.” But, as thereis so much hype surrounding it, it is useful to emphasize that the emergence of
422 Pekka Himanenthe informational economy is not about the Internet but about the basic structuresof companies and labor markets, and production – developments thathave been happening for a couple of decades now. For the present analysis,there are three especially important features in the development of the informationaleconomy.First, enterprises are developing into informational enterprises (for empiricalbackground to the “network enterprise” in both the West as well as Asia,see Imai, 1990; Castells 1996, 2000a, 2001). That is, companies are organizingthemselves as networks that increasingly create products based on information(symbol) processing. All of this is done with the help of informationtechnology. Internally, the companies are decentralized into relativelyautonomous units that network together for projects. Externally, the companiescoordinate a changing network of suppliers. They also network with theircompetitors on an ad hoc basis for certain large projects. In general, projectsthat consist of a varying network of actors become an important organizingunit for companies. The growing importance of information (symbol) processingproducts means that research and development, as well as other forms ofsymbol creation (such as marketing), become increasingly important functionsin companies.Second, labor markets are becoming informational. This means thatnetwork enterprises organize their labor as ever-changing networks of workersin which the role of information (symbol) processing work grows. Basic ITskills are required in almost all jobs. The emergence of “flexible workmarkets” has been documented both in the West and in Asia (Castells, 1996,2000a, 2002; Carnoy, 2000). In a sense, work becomes more and more projectbased,whether it is information creation work defined by deadlines or routinework available for temporary periods. This is reflected in the rise of “nontraditional”jobs: more and more workers belong to the categories of the selfemployed,temporary, and part-time workers.Third, growth is based on innovation. This is a critical difference betweenthe concept of the informational economy and ideas about the “dot-com economy”or the “new economy.” The informational economy is about growthbased on innovation. It is not just about the Internet. And it is not just aboutgrowth in market value but, more importantly, about productivity growthbased on innovation. This growth derives from innovation in technology,process (the network form of organization), and products, as Castells andothers have shown (Castells, 1996, 2000a, 2002; for empirical data, seeBrynjolfsson and Hitt, 2000). The role of organizational change should beemphasized here because empirical studies show that the mere introduction ofinformation technology does not increase productivity if it is not combinedwith re-organization (ibid.).The central role of innovation as the foundation of economic growth is also
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- Page 404: PART VIIThe culture of the network
- Page 407 and 408: 386 Imma Tubellacultural and sociol
- Page 409 and 410: 388 Imma Tubellaand through symboli
- Page 411 and 412: 390 Imma TubellaStates. During the
- Page 413 and 414: 392 Imma TubellaIn Galicia, autonom
- Page 415 and 416: 394 Imma Tubellarooms, including fi
- Page 417 and 418: 396 Imma Tubellaunderstand the choi
- Page 419 and 420: 398 Imma Tubellainteraction which i
- Page 421 and 422: 400 Imma TubellaFerguson, M. (1995)
- Page 423 and 424: 18. Globalization, identity, and te
- Page 425 and 426: 404 Anshu ChatterjeeIndian entrepre
- Page 427 and 428: 406 Anshu ChatterjeeThese enterpris
- Page 429 and 430: 408 Anshu Chatterjeerestricted area
- Page 431 and 432: 410 Anshu Chatterjeepenetration rat
- Page 433 and 434: 412 Anshu Chatterjeeproduced instit
- Page 435 and 436: 414 Anshu ChatterjeePunjabi TV face
- Page 437 and 438: 416 Anshu Chatterjeedecisions. The
- Page 439 and 440: 418 Anshu ChatterjeeNOTES1. For mor
- Page 441: 19. The hacker ethic as the culture
- Page 445 and 446: 424 Pekka Himanenone of the founder
- Page 447 and 448: 426 Pekka Himanena work culture in
- Page 449 and 450: 428 Pekka Himanenhype in which the
- Page 451 and 452: 430 Pekka HimanenWithout renewing t
- Page 453 and 454: Afterword: an historian’s view on
- Page 455 and 456: 434 Rosalind Williamsdoes it mean t
- Page 457 and 458: 436 Rosalind Williamsindustrial soc
- Page 459 and 460: 438 Rosalind Williamsgovernance str
- Page 461 and 462: 440 Rosalind Williamsspeech deliver
- Page 463 and 464: 442 Rosalind Williamsincarnates as
- Page 465 and 466: 444 Rosalind Williamsexponentially
- Page 467 and 468: 446 Rosalind Williamsmultiplicity o
- Page 469 and 470: 448 Rosalind WilliamsArendt, Hannah
- Page 471 and 472: 450 IndexCalifornia, University of:
- Page 473 and 474: 452 IndexDetroit Area Study 249, 25
- Page 475 and 476: 454 IndexGore, Al 99Gould, Stephen
- Page 477 and 478: 456 Indexencryption 71, 76gender ga
- Page 479 and 480: 458 IndexMTV 403, 415MTV India 406M
- Page 481 and 482: 460 IndexRambler 95Raymond, Eric 35
- Page 483 and 484: 462 Indexstatism 15, 17-18, 22, 84,
- Page 485: 464 IndexYahoo! 55, 59, 61Yang, Jer
The hacker ethic 421Giddens, 1992). Most importantly, it has been pointed out that there is nonecessary historical relationship between the Protestant religion and moderncapitalism. The modern spirit of capitalism also emer<strong>ge</strong>d in non-Protestantenvironments like Venice. However, for the purposes of this chapter, the exacthistorical relationship between Weber’s two distinct concepts of the“Protestant ethic” and the “spirit of capitalism” is not central because Weberemphasized the above three elements in both. In fact, in the common use oflangua<strong>ge</strong>, the “Protestant ethic” is used as a synonym for the “spirit of capitalism.”The expression “Protestant ethic” has become somewhat similar to theexpression “Platonic love”: when we say that people have a Platonic relationshipwe do not mean that they are Platonists (holding Plato’s views on metaphysics,epistemology, and so on) and even less that Platonism is the reasonfor their love! The same goes for the “Protestantism” in the Protestant ethic.In this chapter, the expression “Protestant ethic” will be used in a way thatdoes not include any historical claims about the relationship betweenProtestantism and capitalism. There are additional advanta<strong>ge</strong>s in thisapproach. It makes sense also to talk about the “Protestant ethic” in the economyof non-Christian cultures. For example, the above three elements havebeen very strongly present in Japan’s rise as a powerful industrial economy. Inthis context, the expression “Protestant ethic” means the culture of industrialcapitalism, which had the three key elements listed above in otherwise differentcultural and political environments.In the same sense, this chapter intends to formulate the key characteristicsof the culture of the new informational economy. Again, the analysis willexpress elements that are shared in otherwise different cultural and politicalsettings wherever there is an informational economy. I called this culture the“hacker ethic” in my book The Hacker Ethic and the Spirit of the InformationA<strong>ge</strong> (Himanen, 2001). The reasons for the choice of this expression arepresented below.To be sure, the current form of the informational economy is still capitalist.Manuel Castells has presented the theory of the informational economy in histrilogy The Information A<strong>ge</strong>: Economy, Society and Culture (Castells,2000a,b, 2004). In this context, informational refers to a trend in which operationsbecome (1) based on the use of information technology, (2) organized(globally) like computer networks, and (3) focused on information (symbol)processing. The resultant informational capitalism is one in which the dominantoperations are – with the help of information technology – organized(globally) as networks and based on information (symbol) processing. (I usethese concepts here along the lines of Castells and Himanen, 2002.)It should not be necessary to add that this development is very differentfrom the hype of the “dot-com economy” or the “new economy.” But, as thereis so much hype surrounding it, it is useful to emphasize that the emer<strong>ge</strong>nce of