SME Industry Has Been Developing Continuously From A New Pro

Sme Industry Has Been Continuously Developing From A New Proto Industr

SME industry has been continuously developing from a new proto-industry to a globalized industry. There are new industrial currents that potentially signal a further change in the history of SME. The first one can be social media platforms are under public policy and regulations which may adversely creators using them, like platformization causing the asymmetry relationship between platforms and creators. Google and Facebook are provoking increased regulatory concern and oversight which focuses on children and SME commercialization. They act like media companies to make sure that social media platforms and digital content curators fit well.

Additionally, live streaming can drive changes that lead to a new phase of SME. Live technology provides platforms, advertisers, users and creators with new communicative and commercial affordances. In this week's readings, the authors talk about how social media is getting more and more powerful in different areas, such as culture, politics, and economy. As we know, the social media entertainment industry is mostly controlled by a few big companies, such as Facebook and Google. However, it is talked about in one of the articles that these companies insist that they are not media companies, instead, they are technology companies because they do not create content.

In spite of the poor monetization and support for creators, these platforms are pushing content every day and they are, essentially, advertising agencies. The question of what are they matters because it can have significant legal and policy implications. Meanwhile, these companies could have the power to control public opinions over culture, politics, and economy. Therefore, there should be more regulation and policy that supervise these companies. The readings this week mainly spoke on the evolving nature of the “tech companies” that form the platforms that many of us interact with on a daily basis.

While they call themselves tech, and though of course technology went into the creation/maintenance of these platforms, that is not all that these companies do. Social media platforms have become hubs for news, culture-sharing, and content. And with that, they help push what the users will deem as important. This ties into the other readings that spoke on how creators are governed on these platforms. Through algorithms, trends, and what will make the most profit, platforms can have a really firm hand in who does or does not succeed on their platforms.

This is where creator governance, whether through platform reform, advocacy or unionization comes into play as a way to strengthen the rights of current and future creators. This week’s readings touch on the evolution of SME, the current state of the industry and where SME is projected to go. SME is an emerging industry that has created opportunities for influencers and creators to achieve success online and offline, and earn substantial revenue. As SME continues to grow, the landscape is also constantly changing. For example, Napoli and Caplan argue that companies such as Google, Facebook and other social media platforms are more so media companies rather than technology companies.

Many SME platforms, most notably Facebook have evolved past their original purpose and turned into the primary medium for people to receive and share news. These platforms adamantly reject the idea that their platforms are media companies and fail to acknowledge the impact these platforms have made on society by intersecting with other areas such as politics and economics. Just like media publications, these platforms create content in some instances and can set the agenda through its algorithms.

Paper For Above instruction

The evolution of Small and Medium Enterprises (SMEs), particularly within the digital and social media landscape, exemplifies a dynamic industry responding to technological advancements, regulatory pressures, and shifting societal expectations. This paper explores the developmental trajectory of SME industries, emphasizing the influence of social media platforms, emerging regulatory frameworks, technological innovations like live streaming, and the governance challenges faced by content creators. It critically analyzes how these factors collectively shape the current and future landscape of SME, highlighting the opportunities and complexities faced by industry stakeholders.

Initially, SMEs emerged as proto-industries characterized by localized operations with limited global outreach. Over time, however, the proliferation of digital technologies and social media platforms has transformed SMEs into globalized entities with expansive markets. Central to this transformation is the rise of platforms like Facebook, Google, and YouTube, which have evolved beyond their original purposes into powerful mediators of information, culture, and commerce. Napoli and Caplan (2018) argue that these firms increasingly function as media companies, shaping public discourse and cultural trends through algorithmically driven content dissemination. Their role in agenda-setting challenges traditional distinctions between media outlets and tech firms, prompting regulatory debates on content control, platform liability, and the influence of algorithms on public opinion.

Furthermore, social media platforms are now subject to heightened public policy scrutiny aimed at safeguarding consumer rights, especially vulnerable populations such as children. Governments worldwide are contemplating or implementing regulations to curb unhealthy commercialization practices and ensure transparency in algorithmic operations. For example, regulations concerning data privacy, misinformation, and content moderation are being enforced to limit the undue influence of social media giants. The platformization process has created asymmetrical power relations between platform owners and content creators, often leaving creators with limited monetization options and minimal control over their content. This imbalance raises questions about fairness, copyright, and the rights of creators to governance and revenue sharing.

The advent of live streaming technology exemplifies a new phase in SME development, offering interactive, real-time engagement opportunities. Platforms like Twitch and Instagram Live have enabled creators to monetize content directly through audience donations, subscriptions, and sponsored collaborations. This paradigm shift enhances creator autonomy and facilitates innovative business models within SME. However, it also introduces new challenges related to content regulation, copyright enforcement, and platform responsibility. As live streaming grows in popularity, industries are exploring new ways to leverage these tools for marketing and community building, which further integrates SME into mainstream economic and cultural systems.

Despite these technical and industry developments, major social media platforms often deny being traditional media companies, insisting instead on their identity as technology providers. This distinction bears significant legal and policy implications, affecting how content moderation, liability, and copyright are managed. Napoli and Caplan (2018) stress that platforms' roles in content creation and curation effectively make them media entities that influence societal narratives. Their algorithms prioritize trending topics, political content, and commercial interests, thus swaying public opinion and cultural norms.

The governance of creators on these platforms is another critical dimension, warranting reforms through advocacy, unionization, and platform reforms that empower creators with fairer rights and revenue share. Current governance mechanisms are often opaque, driven primarily by algorithmic logic designed to maximize platform profits. This results in creators being dependent on platform algorithms for visibility, with limited control over their content’s reach and monetization opportunities. To counteract this, policies advocating for creator rights and transparent governance models are gaining traction. These initiatives aim to establish more equitable power dynamics, ensuring creators can sustain their livelihoods and influence within the SME ecosystem.

Looking forward, the SME industry is poised for continued expansion and transformation. Innovations in artificial intelligence, augmented reality, and virtual reality will further redefine content creation and consumption. The integration of emerging technologies will likely lead to more personalized and immersive experiences, fostering new revenue streams and business models. Simultaneously, regulatory frameworks will need to evolve to balance innovation with accountability, ensuring that the industry remains fair and inclusive. As Napoli and Caplan (2018) suggest, the future of SME hinges on the interplay between technological innovation, regulatory oversight, and the empowerment of creators.

In conclusion, the SME industry’s development reflects a complex interplay of technological innovation, regulatory challenges, and socio-economic factors. From its origins as a proto-industry, it has transformed into a multifaceted sector heavily influenced by social media platforms that straddle roles as media companies and technology providers. The ongoing evolution necessitates adaptive governance structures that protect creators' rights and promote sustainable growth. As the industry advances, stakeholders must collaborate to craft policies that foster innovation while safeguarding societal interests, ensuring that SME continues to contribute positively to cultural, political, and economic landscapes.

References

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