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The New Power Triangle: Government, Big Tech, and the Future of Control

Global · · tobyderoche.substack.com

The formation of a technology advisory panel featuring prominent tech leaders like Mark Zuckerberg, Larry Ellison, and Jensen Huang signals a fundamental shift in the relationship between government and Big Tech. This integration moves beyond traditional oversight to direct alignment, creating a 'power triangle' that consolidates influence over information, infrastructure, and intelligence. For internal audit and assurance professionals, this development necessitates a re-evaluation of how compliance, systemic risk, and technological dependencies are assessed, as regulatory frameworks may increasingly reflect negotiated realities rather than independent standards.


The Blurring Lines of Power

The proposed technology advisory panel, comprising figures such as Mark Zuckerberg, Larry Ellison, and Jensen Huang, marks a significant departure from the historical dynamic between government and the technology sector. Rather than an adversarial or reactive regulatory approach, this initiative suggests a move towards direct integration and alignment. This 'power triangle' effectively consolidates control over critical digital components: Zuckerberg's social platforms for public discourse, Ellison's enterprise data and cloud infrastructure, and Huang's dominance in AI semiconductors. This concentration of influence across communication, data, and computation fundamentally alters the landscape of digital governance.

AI as a Geopolitical Imperative and the Risk of Regulatory Capture

Artificial intelligence is no longer merely a commercial pursuit but a critical geopolitical asset. The inclusion of leaders like Jensen Huang underscores a national priority to secure AI dominance, treating semiconductors, cloud infrastructure, and large-scale data as strategic resources akin to oil or nuclear capabilities. This shift implies that policy decisions will increasingly favor domestic AI development, supply chain control, and strategic advantage over global collaboration or open innovation. However, this close alignment also introduces a substantial risk of regulatory capture. When the very entities being advised are also shaping the advisory process, the independence and effectiveness of regulation can be compromised, potentially leading to frameworks that prioritize operational feasibility and existing business models over broader societal impact or public risk.

Implications for Audit, Cybersecurity, and Global Fragmentation

For internal auditors and risk professionals, this evolving power dynamic presents both opportunities and significant challenges. While closer alignment could foster faster adoption of cybersecurity standards and improved incident coordination, it also risks overreliance on a limited number of vendors and increased systemic risk concentration across shared technologies. If the same companies underpin critical infrastructure, AI models, and national defense, a single point of failure becomes a more plausible threat. This necessitates an evolution in governance, moving beyond assumptions that market competition alone will diversify risk. Furthermore, this model could lead to global fragmentation, with competing AI standards and diverging data governance regimes emerging as other nations adopt similar state-aligned tech ecosystems, potentially ushering in a 'digital cold war' where corporate influence intertwines with national strategy.

Rethinking Risk and Compliance in a New Era

The advisory panel signals that technology leadership is now inseparable from national strategy, with corporate executives becoming de facto policy architects. Governance frameworks will increasingly be shaped from within the system rather than imposed externally. For organizations, this demands a fundamental shift in how risk is perceived and managed. Compliance can no longer be viewed as a neutral benchmark but must be understood within the context of how regulation itself is formed and whose interests it serves. Internal auditors must therefore expand their inquiry to assess whether they are auditing against independent or negotiated standards, evaluating systemic risk beyond organizational exposure, and preparing for a future where technological dependencies are inextricably linked to geopolitical ones. The consolidation of power between government and Big Tech means that separating innovation from influence, or governance from strategy, will become increasingly difficult.


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