Monday, June 01, 2026

1968–73: Humanity’s lost opportunity

Boris Kagarlitsky graphic spichka

First published in Russian at /spichka. Translated by Dmitry Pozhidaev for LINKS International Journal of Socialist Renewal. Boris Kagarlitsky wrote this article from a Russian penal colony, where he is currently serving a five-year sentence for his opposition to Russia’s war on Ukraine.

In 2017, British cultural theorist Mark Fisher began teaching a lecture course at Goldsmiths, University of London, titled Postcapitalist Desire. After delivering five lectures, he assigned students work in preparation for the sixth session, returned home and hanged himself.

I admit that joking about such matters is inappropriate, but it strikes me as entirely unacceptable to suicide without finishing a university course. More importantly, however, what remained undelivered was, in my view, the most interesting lecture of all, entitled “The Destruction of Democratic Socialism and the Origins of Neoliberalism: The Case of Chile.”

One can gain some sense of what Fisher intended to say from remarks he made during the introductory session and throughout the course, which have since been published in Russian. These ideas struck me as both profoundly important and deeply resonant, and I feel compelled to develop and carry them through to their conclusion. That is what I will attempt to do in this article. Though, naturally, I will do so from the standpoint of my own perspective and experience — not only political but emotional as well.

The 1973 coup in Chile, when the military under General Augusto Pinochet overthrew the left-wing government of Salvador Allende and unleashed a wave of bloody reprisals against the defeated, was an event of more than merely Latin American significance. It marked the end of an entire period, brief but brilliant, of attempts at radical transformation in very different corners of the world: from Czechoslovakia to Peru, and from France to the United States. The forms and scale of these developments varied considerably, but they were united by a common aspiration to overcome the conservative equilibrium of the existing world order and break through toward a new developmental horizon: democratic socialism.

Naturally, all these efforts had a longer prehistory, rooted above all in the fact that the models of development prevailing both in East and West had, by the late 1960s, clearly exhausted their positive potential. It would be entirely mistaken to assume that the revolutions of 1968–73 emerged out of the failures of preceding development. Quite the opposite.

Competition between the two systems initially had a beneficial impact on the social position of working people, in advanced capitalist countries and in states governed by Communist parties. Consumer society was triumphing everywhere, albeit in different forms: for some it meant affordable family cars; for others, cramped yet private apartments replaced communal flats and barracks.

Europe had lived without war since 1945. Regrettably, the same could not be said of Asia, where the Korean War was followed by a new phase in the decades-long conflict in Vietnam. This nevertheless remained far removed from the global catastrophes of the first half of the twentieth century.

Changes were also taking place in the Third World. Colonies gained independence one after another, and new governments, though often strikingly indifferent to civil liberties and human rights, nevertheless undertook campaigns to eliminate illiteracy and build industry, seeking assistance either from former colonial powers or the Soviet bloc, and often from both.

In Latin America, a wave of hope for change rose after the 1959 Cuban Revolution. By the mid-1960s, however, the first doubts had begun to emerge about developments on the Island of Freedom. It was hardly accidental that the legendary comandante Che Guevara preferred the doomed Bolivian expedition to a government career under the new regime. Yet, overall, enthusiasm and hope endured, and not only among the left.

One can say, without exaggeration, that the 1960s were “good times”. Perhaps more than ever before, humanity, or at least a considerable part of it, was beginning to experience itself as a single whole. The extraordinary success of science fiction vividly reflected this orientation toward the future and the desire to discover new worlds, not necessarily on distant planets but simply through transcending the boundaries of everyday life via technological progress, which, logically enough, was expected to be followed, however unevenly and contradictorily, by social progress as well.

The problem was that by the mid-1960s, both regulated capitalism, with its accompanying consumer society, and the Soviet system, modernised and softened after Joseph Stalin’s death, had already exhausted their developmental potential.1 They had satisfied the basic material needs of substantial sections of the population, while simultaneously revealing that human beings do not live “by bread alone” — not coincidentally the title of one of the defining Soviet novels of the Thaw period.2

A transformed individual demanded greater freedom. Rising levels of education and professional qualification among wage earners generated new aspirations and new demands, while the methods of economic governance in both advanced capitalist countries and the Eastern bloc increasingly required adaptation to changing realities.

The contradictory reforms of the 1960s

Economic reforms were launched in the Soviet Union and other Communist countries between 1964–66. Initially, the goal was to increase enterprise autonomy and expand the powers of managers. Yet it quickly became clear that granting administrators greater economic freedom exposed an entire set of previously latent contradictions, not merely economic but also social and even political. After all, if a factory director was to be given more authority, why should engineers and workers not also receive additional rights? And, conversely, how could one restrain manifestations of collective self-interest among enterprise workers?

Previously, everything had been rigidly, if not especially efficiently, controlled by higher administrative bodies, the system of centralised planning and a bureaucracy external to the labour collective itself. But once its iron grip began to loosen, the need arose for new forms of coordination. Could these be achieved solely through the market? But what then was to be done about the vast range of needs and problems that the market, by its very nature, simply fails to “see”? No money means no demand. The expansion of collective rights generated a demand for democracy, and not merely in the form of bourgeois parliamentarism.

The contradictions of the economic reforms of the 1960s are well described in Aleksei Safronov’s The Great Soviet Economy, 1917–1991. Yet the central problem was that, in the end, all these contradictions led back to politics. If in the Soviet Union this resulted in the gradual rollback of reform, in Czechoslovakia, by contrast, transformation assumed a systemic character.

The political centralisation that existed within the so-called “Communist bloc” meant the reform process initiated in the Soviet Union affected all countries within the Soviet geopolitical orbit. However, it would be a profound mistake to imagine that Eastern European states merely copied the Soviet experience or obediently followed instructions from Moscow.

First, each country developed its own reform projects, and in many cases Eastern European economists were in close contact with their Soviet counterparts. In the cases of Czechoslovakia and Hungary, one can even speak of mutual influence.

Second, political, economic and cultural conditions varied significantly from country to country. Against this backdrop, Czechoslovakia stood out sharply. Unlike most Eastern bloc countries, it had already been a highly developed industrial society before World War II. Moreover, it emerged from the war relatively unscathed.

In other words, the developmental tasks that had been addressed, with relative success, through the Soviet centralised mobilisational model had already been solved in Czechoslovakia. Whereas centralised planning initially served as an instrument of industrial modernisation elsewhere in the bloc, here its limitations became apparent very quickly, and it increasingly turned into an obstacle to further development.

At the same time, precisely because the tasks of modernisation, among them those historically addressed by the Russian Revolution, had already been accomplished, genuinely socialist questions came to the forefront, both objectively and ideologically: how could society become master of its own destiny? How could conditions be created for democracy in the spheres of economic and social development?

In his 1967 book Plan and Market under Socialism, the leading theorist of Czechoslovakia’s reforms, Ota Šik, argued that the abolition of private property did not eliminate differences in the interests of various individuals and social groups. Democratic planning, which makes use of market mechanisms where appropriate, aimed above all at development grounded in the reconciliation of these differing interests. And naturally, the articulation and representation of interests required political freedom. Yet the transformations that unfolded in Czechoslovakia in 1968 were by no means confined to the abolition of censorship and preparations for free elections.

The Action Program adopted by the Czechoslovak Communists envisioned the creation of organs of workplace self-management. Mass participation by working people in economic decision-making, from the bottom up, not only laid the foundations for entirely new economic institutions but also shifted the centre of gravity in political life, away from parliamentarianism and toward industrial democracy, in which many problems could be addressed directly at the local level, without the mediation of political parties and officials, without either the bourgeoisie or bureaucracy.

As is well known, the Prague Spring of 1968 was interrupted by Soviet intervention. Far less widely known, however, is the fact that the struggle over workplace self-management continued even after the Soviet invasion in August. Despite the occupation, enterprise councils were established and began coordinating among themselves. Only in 1969 did the new Czechoslovak authorities succeed in dismantling the workers’ councils and returning enterprises to bureaucratic control. This process later became known as the “Second Prague Spring”.

From hope to neoliberalism

Meanwhile, the ideas of self-management gained popularity far beyond Czechoslovakia. Naturally, when speaking of 1968 in Western Europe, people tend first to recall the student uprisings in Paris. Yet the story went far beyond youthful rebellion alone. In France, workers went on strike. In 1969, Italy experienced a wave of mass protests. In both cases, slogans of self-management emerged and were later developed further in the theoretical and programmatic documents of left-wing organisations and trade unions.

But why remain focused exclusively on Europe? In that same year, 1968, General Juan Velasco Alvarado came to power in Peru and proclaimed a program of sweeping social reforms. Here too, the ideas of self-managed socialism played a significant role. Revolutionary sentiment spread rapidly throughout Latin America, and the electoral victory of the left in Chile in 1970 represented merely the crest of this broader wave.

Allende’s election as president of Chile created an opportunity, under very different conditions but still in recognisable continuity, to once again attempt the strategy of transformation that had emerged during the Prague Spring and the European protest movements of 1968–69. Having nationalised parts of the economy, the left-wing government simultaneously encouraged the development of workplace democracy and sought to employ the achievements of cybernetics to create new mechanisms of communication and planning.

Chile’s Cybersyn system, which Mark Fisher aptly calls a “socialist internet,” genuinely anticipated managerial technologies that would only become familiar decades later. One might also recall here the Soviet academician Viktor Glushkov, who sought to modernise and optimise planning through cybernetics.

The Soviet Union lacked sufficient computing power to implement the OGAS system proposed by Glushkov.3 Beyond this, each ministry advanced its own version of OGAS, in hopes of securing a dominant role within the emerging management system. As a result, the project began to be implemented sector by sector, with the expectation that these parts would later be integrated into a unified structure. That future, however, never arrived.

There was even a joke that Glushkov wanted to replace the Politburo with robots. The political implications of the academician’s proposals appeared, at best, unclear to the party leadership and therefore suspicious. Better not to rush matters.

In retrospect, it has often been assumed that the “market” reforms proposed in the Soviet Union and Eastern Europe during the 1960s and Glushkov’s ideas represented two opposing visions of transformation. Credit must be given to Safronov for convincingly demonstrating that reality was quite different. The two approaches complemented one another and were initially promoted by many of the same people.

It is crucial to understand that the so-called “market reforms” had nothing in common with the notions of the “free market” advanced by neoliberal ideologues. The point was not to subordinate people and enterprises to market domination, but rather to make use of market mechanisms in solving immediate problems of economic optimisation, in pursuit of priorities that could be entirely different from profit maximisation.

Meanwhile, Chilean revolutionaries were well aware of the Czechoslovak experience. In the early 1960s, Valtr Komárek, one of Ota Šik’s closest associates, worked in Cuba. Latin American leftists were not merely familiar with the ideas being discussed in France or Italy; they were given a historic opportunity to put this agenda into practice.

The turbulent three years of the Chilean revolution were not only marked by successes. Yet what remains significant is that Allende’s government was able, first, to carry out radical socio-economic reforms while strictly adhering to democratic norms and procedures, and second that, despite difficulties and mistakes, support for the left not only failed to decline over those three years but actually rose. After the success of Allende’s supporters in regional elections, it became clear that the old ruling classes had no path back to power other than unconstitutional violence.

By 1973, the coalition had gained two additional deputies compared to 1969, while retaining the same number of senators. Yet the internal balance within the coalition shifted considerably: the Socialists gained thirteen seats, the Communists three, while the left-centrists of the Radical Party lost seventeen. Three deputies from smaller parties also joined the coalition. In short, support for the coalition as a whole remained broadly stable, but its most radical components emerged significantly strengthened.

Pinochet’s coup in the autumn of 1973 not only drowned the project of democratic socialism in blood, bringing the revolution to an end, but also became a kind of template for later coups in Uruguay and Argentina. Moreover, the military regimes did not merely wage campaigns of repression against the left. They also began implementing their own economic agenda.

This agenda, later known as neoliberalism, was initially implemented precisely by dictatorial regimes in South America, and only later transferred to Western Europe and the former Soviet bloc. This trajectory was far from accidental. The success of neoliberal reforms depended upon suppressing not only working-class resistance but democratic institutions as such. This is precisely why neoliberalism advanced much more slowly and less consistently in Western and Eastern Europe.

The erosion of democracy unfolded wherever this agenda was introduced, and its consequences, in varying degrees, can still be observed today in countries ranging from Russia to the US. The dismantling of the welfare state, privatisation, tax cuts for the wealthy, and the redistribution of resources toward major corporations and financial capital laid the foundations for a succession of crises, the largest of which was the Great Recession of 2008–10, whose consequences remain unresolved. Yet this instability of economic and social life represents, in a sense, the price capital has had to pay for its decisive victory over the alternative social projects born from the experiences of the 1960s and 1970s.

Partial reforms instead of social transformation

Crucially, however, the defeat of the Chilean revolution not only marked the beginning of a new stage in capitalist development but also triggered profound transformations within the left itself. These changes did not occur overnight, but it is telling that, following the Chilean coup, the Italian Communists, then the most influential and theoretically sophisticated left-wing party in Europe, began rethinking their strategy.

Enrico Berlinguer, then General Secretary of the Italian Communist Party, explicitly pointed to Chile as a lesson necessitating a change in left strategy. In essence, this meant abandoning attempts at comprehensive and conceptual social transformation of the kind pursued during the Prague Spring or by Chile’s Popular Unity government between 1970–73. In its place, Berlinguer advanced a strategy of gradual progress through partial reforms, aimed at shifting the balance of forces within society through a “historic compromise” with the progressive wing of the bourgeoisie.

Yet this approach, seemingly far more realistic than the self-management revolution envisioned in the late 1960s, ran into one serious obstacle: the “progressive” faction of the bourgeoisie itself grew increasingly marginal with each passing year. Given that the trend continues even today, progressive bourgeois figures may soon have to be placed in a conservation program alongside other endangered species.

Naturally, the turn toward reformism and moderation occurred unevenly and at different speeds, just as the retreat of the left and the erosion of its political influence did not immediately become obvious trends. In Portugal, the 1974 Carnation Revolution, led by progressive military officers, saw the “April Captains” aspire not merely to establish democracy but to carry out the radical transformations then central to the left agenda. Portugal became a democracy, yet socio-economic transformation was blocked, with the Socialist Party, already moving toward moderation, becoming one of the principal brakes on change.

Military progressivism also suffered defeat in Peru. The reforms initiated by Velasco remained incomplete, and he himself was removed from power by his own allies. Later, the slogans of self-managed socialism resurfaced repeatedly, whether in France during the early François Mitterrand years or in Poland among the ranks of Solidarity, but such projects either failed to move beyond rhetoric or were quickly abandoned. Even where ideology remained radical, as in Brazil’s Workers’ Party, actual policy increasingly drifted away from those ideals.

By the late 1970s and early ’80s, the general trend toward “moderation” increasingly overshadowed the radicalism of the previous decade. Following the Italian Communists, the Socialists of France and Spain, the British Labour Party (which was not particularly revolutionary even in its heyday) and eventually left-wing parties in Latin America all moved in this direction.

A commonplace justification for this new moderation was the claim that “the Chilean project had failed.” In Eastern Europe and the former Soviet Union, the Prague Spring’s defeat was similarly invoked to justify abandoning the idea of democratic socialism. Yet, as Fisher rightly observed, there was no “failure.” If an experiment is interrupted through violence, this does not mean the experiment itself was misguided. Quite the contrary. If violence had to be employed to halt it, one may reasonably suppose that, otherwise, it might have succeeded. As Fisher put it: this was not failure, but destruction.4

Political or military defeat is, of course, still defeat, and one whose lessons must be taken seriously. Yet it also invites us to reflect on the internal logic of an unfinished experiment, and on what might have happened had it not been violently interrupted.

A premature revolution?

The founders of socialist theory assumed that a new type of society would emerge on the basis of a higher level of productive development, as the productive forces “outgrew” the limits of capitalist relations of production. If the flourishing of capitalism was clearly linked to the rise of industry and large-scale machine production, then the foundation of a post-capitalist — to use Fisher’s term — or socialist society would have to rest upon the new post-industrial technologies now rapidly entering our lives.

For Fisher, this led to an important conclusion: the objective conditions for transition in the 21st century may in fact be more favourable than they were in 1968–73. Yet, unlike that earlier era, the political, psychological and moral conditions have deteriorated.

Can we therefore conclude that the attempts of 1968–73, much like the revolutions of the first half of the 20th century, were historically “premature,” and that the achievements of Bolshevism, Maoism and Castroism were linked not to a genuinely socialist agenda but rather to a project of modernisation? To some extent, such a conclusion also suggests itself when reading Aleksandr Shubin’s The Global Revolutionary Wave (1918–1923): The Tide and The Ebb, devoted to the revolutionary wave of the early 20th century.

It was none other than Karl Marx who wrote:

No social order is ever destroyed before all the productive forces for which it is sufficient have been developed, and new superior relations of production never replace older ones before the material conditions for their existence have matured within the framework of the old society.

Following this logic, are we compelled to conclude that the defeats suffered by Communist movements in the 20th century were historically inevitable and that the classical Marxists themselves were simply premature in promising an imminent transition to socialism, at a time when the Industrial Revolution had by no means exhausted its potential?

At first glance, such conclusions may seem unavoidable. Yet important questions arise. After all, capitalism’s emergence began well before the Industrial Revolution. Bourgeois relations of production already existed in 14th-century Flanders, Northern Italy and Bohemia, and later spread into England and France long before the steam engine’s invention. Manufacturing, banks, merchant houses, stock exchanges, wage labour and joint-stock capital all developed in the pre-industrial era and, in turn, contributed to the onset of industrial transformation.

And did not political revolutions in England, and even earlier in the Netherlands, create favourable conditions for the emergence of new productive forces? In other words, did emerging bourgeois relations not themselves begin generating a firmer economic foundation for their own reproduction?

History unfolds far less linearly than we often imagine, and transitions between historical stages in no way resemble a railway timetable, with fixed stops announced in advance.

Reflecting on the historic legacy of the Paris Commune, Jean Jaurès convincingly observed that it would have been naïve to imagine that, had the Commune succeeded, France would already have become a socialist state by the beginning of the 20th century. Yet its victory would undoubtedly have accelerated social development. I would add: perhaps economic development as well.

Applying this logic to the years 1968–73, we are inevitably led to ask whether the post-industrial technologies we discuss today might have emerged earlier, in different places, under different conditions and, perhaps, in somewhat different forms, had the revolutionary wave succeeded. The creation of the Cybersyn network in Allende’s Chile is, in essence, already an answer to that question.

But even if we look at the history of the internet in the US, we immediately discover that what later became the global network did not arise from market relations. Rather, it emerged as a public and state-supported structure, made possible precisely through its relative independence from the logic of markets and private profit. It is clear that the political conditions of democratic socialism are especially favourable for technological projects of this kind — and this was no less true in the early 1970s than it is today.

Why do the 1960s still haunt us?

When speaking about social transformation, we obviously cannot separate technology from politics. In the early 1920s, when Nikolai Sukhanov and other Social Democrats reproached the Bolsheviks for launching a socialist revolution in a country that was “not yet ripe for socialism,” Vladimir Lenin emphasised the political circumstances that made a radical socialist agenda both necessary and historically inevitable. Yet, in an important sense, the reverse possibility also exists: the defeat of democratic socialism in 1968–1973 may itself have slowed and distorted economic development, not only in particular countries but across the world as a whole.

At the same time, this defeat was not so much the result of political mistakes committed by the left, but rather the broader balance of mass and social forces. Consequently, the left’s shortcomings lay less in tactics than in an insufficient understanding of this strategic relationship of forces. More fundamentally, should we even speak here of “mistakes”? Or are we instead dealing with tragic contradictions inseparable from the historical process itself?

Whatever the case, the defeat of the left between 1968–73 changed not only the political landscape but capitalism itself, stimulating the emergence of entirely new tendencies. The alternative to socialist transformation became not only neoliberalism but also, to borrow Naomi Klein’s term, “disaster capitalism.” Joseph Schumpeter once wrote of capital’s tendency toward creative destruction. Yet in this new form of capitalism, destructive processes increasingly move to the foreground, becoming both a key instrument of accumulation and a necessary condition of reproduction.

The growing instability of the contemporary world has a systemic character, and explanations must be sought not merely in politics but in political economy. Countless books and articles have already argued that the neoliberal model of capitalism, triumphant at the end of the 20th century, represented a form of bourgeois social revenge, rolling back concessions granted to working people over the course of nearly a century. Yet only now are we in a position to fully appreciate the long-term, systemic consequences of this reversal.

The regulated capitalism of the 20th century minimised many of the disruptions generated by cyclical market crises through social concessions. Yet from the late 1970s onward, ruling classes came — partly instinctively and partly consciously — to believe that the risks associated with socio-economic reforms aimed at overcoming or avoiding crises were greater than the costs generated by crises themselves.

In other words, if overcoming crisis tendencies would require the system to radically transform and ultimately abolish itself, then it becomes preferable not to resolve crises at all, but simply to learn to live with them. As we can now observe, cyclical crises, occurring not only in the economy but across multiple spheres of life, increasingly overlap and intensify, gradually merging into a single chronic crisis that reproduces itself.

At the same time, the immense resources accumulated over the past two centuries allow the system to survive, and even expand, under conditions of permanent crisis for an almost unlimited period of time. The key word here, however, is almost. Objective limits still exist; we simply will not recognise them until we collide with them. And that moment may not be as distant as it seems.

The increasing frequency and, above all, scale of armed conflicts, the recurring social crises, and the repeated uprisings of populations enraged by them all testify to a world increasingly slipping beyond the control of ruling classes. The problem is not a shortage of resources as such, but the manner in which they are used and distributed, producing ever more collisions and confrontations. Yet wars, popular uprisings and even political coups do not by themselves transform the system. They are symptoms of a deeper illness generated by underlying structural processes.

A transition to a new social order requires not merely political change but a systematic reconstruction of social relations and the rules of the game, as well as the creation of a new balance of forces, something that repeated popular uprisings and middle-class revolts have thus far failed to achieve. Radical slogans occasionally emerge, including demands touching upon property relations, yet these movements still lack the systemic and ideological depth that characterised the struggles of 1968–73.

Capitalism may, of course, place its hopes in renewal through artificial intelligence. Yet such technologies are more likely to intensify the system’s contradictions than resolve them. Here, the contradiction between productive forces and relations of production manifests itself in a multitude of inefficient measures undertaken by corporations and governments alike, transforming technological revolution into yet another financial bubble, or clumsily attempting to manage the consequences of their own efforts to digitise the economy.

In their article, “The Long Downturn and Its Consequences,” US Marxists Robert Brenner and Dylan Riley draw attention to the fact that total factor productivity indicators in most advanced capitalist countries have steadily deteriorated since the mid-1970s. Many other authors, representing very different intellectual perspectives, arrive at similar conclusions.

One can say that a broad consensus has already emerged among economic historians on this question. Significantly, many identify 1973 as the start of the trend. Clearly, the problem does not lie in the absence of new technologies. We can plainly see that technological innovations continue to emerge across a wide range of industries and spheres of life. Rather, the issue lies in the system’s diminishing capacity to make effective use of them for its own development and consolidation.

Every new cycle of technological progress intensifies contradictions and accumulates further imbalances. At first glance, this appears to be a textbook example of the contradiction between productive forces and relations of production described by Marx. Yet we must also recognise the social dimension of the process: social structures themselves become disorganised, social ties weaken, and relationships grow increasingly unstable.

Where political economy identifies overaccumulation of capital — capital that is more profitable to squander meaninglessly than to invest productively, thereby lowering the overall rate of profit — anthropology or sociology finds the widespread proliferation of “bullshit jobs,” famously described by David Graeber. Where populist politicians rail against uncontrolled migration, economists instead observe profoundly inefficient resource allocation, both between states and within them. One may describe all this as “liquid modernity,” but behind these symptoms lies a creeping process of desocialisation, an increasing chaos in social relations.

The disorganisation of society under late capitalism becomes a political problem for the left and goes a considerable way toward explaining not only the successes of the far right but also the deepening crisis of democracy itself, a crisis driven not only from above but from below as well. The instability of social existence makes it harder for people to recognise and clearly articulate their interests, let alone organise collectively to defend them.

During the 1990s and 2000s, liberal left movements attempted to substitute weakening class ties and their corresponding forms of political organisation with “identity politics.” Yet the paradox behind their widespread failure is that, amid accelerating desocialisation, identities themselves dissolve even faster and more profoundly than class structures, which, though weakened, continue to reproduce themselves through the underlying logic of bourgeois social relations.

As Fisher wrote in Capitalist Realism: “The required subject — a collective subject — does not exist, yet the crisis, like all the other global crises we’re now facing, demands that it be constructed.” Politics without a subject is impossible, or rather, it becomes very poor politics, reflecting only the shifting contingencies of circumstance and manipulation. Yet reconstructing a collective political subject under conditions of growing desocialisation and social atomisation is no simple task.

A paradoxical conclusion suggests itself. Compared with the 1968–73 period, the conditions for transition to a new society may at that time have been less technologically mature, yet in many respects far more favourable socially, politically and culturally. At the same time, however, the need for transformation imposed by the current conjuncture has become immeasurably more urgent than it ever was in the “prosperous 1960s” or the “stable 1970s.”

If the situation has changed so radically, then it is reasonable to pose the same question Fisher asks both himself and his audience: why are we still haunted by the 1960s? In Fisher’s view, the answer lies in “unrealised desires” expressed through particular cultural forms. Forms change, but desires and needs persist. More than that, the sharpening of contradictions compels us repeatedly to return to the unrealised radical agenda of that era.

Neoliberal capitalism and left politics

Can desire exist without a subject? Of course, we all experience different emotions and develop various needs, formally distinct, though in essence often remarkably similar. These shared social needs form the objective basis of group and class identity. Yet such commonality must still be consciously recognised and politically articulated.

Fisher argues that, on the one hand, economic and social development constantly generates the conditions, or at least the preconditions, for post-capitalist practices, while on the other hand, neoliberalism is compelled to suppress and contain them to preserve the system. Under such conditions, ruling elites are willing to encourage the emergence and competition of every identity except class identity.

Before our eyes, despite all obstacles, a new social community is emerging spontaneously, one that might be called the post-industrial proletariat, or perhaps even the post-proletariat: a growing mass of wage earners who resist proletarianisation more than they develop class consciousness in the familiar forms of the 19th and 20th centuries.5 This is precisely why the traditional language and agenda of the left appear simultaneously highly relevant and strangely outdated, even archaic.

Scientists, engineers and computer specialists naturally dislike thinking of themselves as mere cogs in a corporate machine. The forms of collective action that came naturally to industrial workers in large enterprises often feel alien to them. They are hired through individualised contracts that create the illusion of equal “partnership” with corporations and are generally reluctant to fight for collective agreements or sector-wide bargaining, traditionally defended by trade unions. Yet despite their opportunities and privileges, they become increasingly dependent on labour markets, much like everyone else, whether those who have already reconciled themselves to this condition or those who have consciously recognised themselves as participants in class conflict.

We may indulge in nostalgia for the old days of industrial capitalism, but we are left with the world we actually inhabit. The transition has already begun, though under conditions far less favourable than those imagined in the 1960s and ’70s, and entirely within capitalism itself. Whether we like it or not, this is the terrain we must work with. More importantly, it remains terrain on which we can work.

Fisher quite rightly points to the latent growth of class consciousness, one that nonetheless fails to find adequate expression in either politics or culture. As an alternative, he calls upon us to “regain the optimism of that Seventies moment, just as we must carefully analyse all the machineries that capital deployed to convert confidence into dejection.”

But is bourgeois hegemony alone the problem? “The story of how the counterculture was co-opted by the neoliberal Right is now a familiar one,” Fisher writes, “but the other side of this narrative is the Left’s incapacity to transform itself in the face of the new forms of desire to which the counterculture gave voice.”

The political upsurge of 1968–73 provided an enormous impulse to cultural transformation in the broadest sense, from cinema and music to everyday life, forms of education and patterns of behaviour. Yet, tragically, its political potential was lost. The revolution of everyday culture absorbed the political revolution, eliminating what had been most essential to the left: the will to power.

Despite ritual admiration for the dynamic and turbulent struggles of the recent past, much of the left turned into moralistic scolds, endlessly quarrelling over the use of “incorrect” language or over events they neither can nor wish to influence, while proving incapable of waging struggles for practical change capable of attracting people not already burdened with a pre-existing political ideology.

The radical right intuitively grasped the spirit of the age and offered its own version of populism. As Fisher observed, they “play class politics in order to suppress class consciousness,” exploiting the fears, frustrations, social anxieties and cultural disorientation generated by the system itself. In this sense, the permanent crisis reproduced by neoliberalism becomes their ideal environment. The less educated can be turned against the educated, “natives” against “outsiders,” one nation against another. The tragedy is that the left often eagerly joins this game as well, becoming a politically correct mirror image of the right.

Why, however, should we assume that populist politics must necessarily be tied to reactionary or conservative agendas? Contemporary society is far more fragmented than that of the second half of the 20th century, but this is precisely why the task of modern class politics is to identify points of convergence and foundations for solidarity by advancing a comprehensive political agenda.

The aesthetics of diversity produced by the late-1960s counterculture need not function solely as an instrument of fragmentation. They can also become a basis for unity, provided we seek within this diversity the enduring elements of a deeper commonality, that same “post-capitalist desire,” the impulse to move beyond the limits of the system.

The left politics yet to be developed in practice will undoubtedly rest not upon monolithic unity but upon coalition-based solidarity, where class consciousness becomes not the precondition of collective action but its result.

To a considerable extent, the left populism and broad coalitions characteristic of 20th-century Latin America appear not as peculiarities of one region and period but as prototypes for new forms of left political organisation. Yet one thing must not be forgotten: no organisational form can function without an adequate political agenda.

If we are unable to agree upon a comprehensive program capable of expressing the desires and needs of different social and cultural groups, then no coalition agreement will save us. And if such a program remains superficial, avoiding the questions that can only be addressed through systemic transformation, then even electoral victories and charismatic leaders will ultimately fail, as recent experience in Peru and Chile has already demonstrated, where the left, after impressive electoral successes, struggled once in power.

The conditions that gave rise to the mass revolutionary movements of 1968–73 were technologically less mature for transition than those of today, yet socially and politically far more favourable. Since then, economic and social relations have grown increasingly chaotic, left politics has undergone a catastrophic crisis, and democratic institutions have experienced an unprecedented degree of corruption and decay. Public influence over political decision-making has weakened, while the “revolt of the elites,” so persuasively analysed by Christopher Lasch, has pushed democratic representation backward, almost to 19th-century conditions, when the opinions of ordinary citizens mattered only insofar as they coincided with those of the ruling class.

And yet the demand for change not only objectively exists, it is widely felt. The institutional crisis generated by neoliberalism creates among millions of people, if not conscious understanding, then at least a powerful sense that the present condition of things is abnormal and must be fundamentally transformed.

The direction of that change, however, remains deeply uncertain, creating fertile ground for every variety of reactionary utopia. In this respect, we lag tragically behind the great five years of 1968–73, when the direction of transformation appeared, or at least seemed to appear, relatively clear.

It is precisely this new clarity and sense of direction that we must now create, drawing, among other things, upon the experiences of 1968–73, the left and revolutionary movements of that period, and the political culture and traditions they produced.

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    Boris Kagarlitsky’s note: “Living standards continued to improve, but the pace of growth slowed. The Soviet planned system had performed well during the period of modernization and industrialization, but it failed to manage the transition to a new technological paradigm based on computers and robotics. In the Soviet Union, labour productivity increased more slowly than in the West, partly because of the slow pace of automation and industrial modernization. The USSR could no longer economically outperform capitalism without systemic change.”

  • 2

    In 1956, Vladimir Dudintsev (1918–1998) published the novel Not by Bread Alone. In it, the author tells the story of the inventor-engineer Dmitry Lopatkin during the Stalin era. The protagonist struggles to defend his invention against bureaucrats, but is ultimately denounced, and the inventor’s life ends tragically. In 1957, the novel was criticized by Khrushchev, who accused the author of “deliberately darkening the picture and maliciously dwelling on shortcomings.”

  • 3

    OGAS (Obshchegosudarstvennaya Avtomatizirovannaya Sistema Uchyota i Obrabotki Informatsii), or the National Automated System for Computation and Information Processing, was a Soviet project proposed by cyberneticist Viktor Glushkov in the 1960s to create a nationwide computerized network for economic planning and management. Intended to link enterprises, ministries, and planning bodies through real-time data exchange, OGAS sought to modernize socialist planning through cybernetics and automation. Although often described as a Soviet precursor to networked information systems, the project was never fully implemented due to institutional resistance, bureaucratic competition, and technological constraints.

  • 4

    Fisher wrote: “The horrific testing ground for that is, first of all, Chile — a democratic socialist project, close to the US, very different from anything to do with the Soviet bloc, technologised, had the so-called socialist internet, CyberSyn, in place, destroyed… It can’t be said, “ah, it didn’t work, what happened in Chile”. It didn’t work because there was a CIA-backed coup to destroy it — the military destruction of the Allende government in Chile — which I think then provides a kind of prototype for what would happen afterwards. In places like the UK, it wasn’t quite so immediately violent. There was violence — the Miners’ Strike, etc. — but it was a kind of capitalist-realist lab which allowed capital to experiment with these new forms of subjection.”

  • 5

    Boris Kagarlitsky’s note: The concept of “proletarianization” and analyses of resistance to this process among scientific and intellectual workers are well established in Western sociological literature. In particular, Wallerstein wrote about proletarianization as an uneven process. Soviet studies on the history of the eighteenth and nineteenth centuries also frequently employed the concept of the “semi-proletariat.”



Techno-oligarchs are using social media to normalise fascism

fascism keyboard

First published in Portuguese at Red Anticapitalista. Translation by Phil Hearse.

In 1978, Sérgio Godinho sang in Lá isso é that “fascism is a worm that burrows into the apple, it comes either with heavy boots or with soft little feet.” He wanted to warn us that fascism takes different forms and manifests itself through various means — some obvious, others more subtle. What Sérgio Godinho could not have imagined in 1978 was the instrument that, in the following century, the forces sympathetic to fascist ideas would use to embed themselves in society: online social networks.

In recent decades, social media has profoundly transformed how people relate to politics, changing the way ideologies are spread and power is contested. Although once celebrated as democratising tools, platforms such as Facebook, YouTube, Twitter/X, TikTok and Instagram have become fertile ground for the dissemination of fascist and authoritarian ideologies.

Many question whether the ideology and culture currently shared by far-right forces can or should be considered fascism. For the purpose of this text, Umberto Eco’s definition is particularly useful. For Eco, fascism is a modus operandi that can be found in different forms of government. 

One of its defining features is the rejection of critical thinking — which prevents questioning and sustains a worldview based on emotion, dogma and blind obedience, intolerant of dissent. It appeals to irrational feelings such as fear, hatred, and nostalgia for an idealised past; it simplifies all explanations for social phenomena through slogans, myths and conspiracy theories. 

In addition, Eco argues that fascists exploit middle-class prejudices against minority groups, turning them into scapegoats and creating a sense of group identity from a common enemy. By designating a social group as an enemy to be fought, fascism operates through a divisive logic that weakens the popular classes so they can be better controlled.

It is not difficult to find in the above description a portrait of the logic with which the far right has acted over the past few decades to win electoral support around the world. Contemporary fascism is not an exact replica of the ideologies that rose to power in the 1930s, but it shares fundamental traits, such as ultranationalism; the rejection of democratic norms, critical thinking and the separation of powers (especially an independent judiciary); the scapegoating of minorities; and the glorification of strong leaders. Some call it “soft fascism.”

Social networks and fascism

What most distinguishes the present is the medium: fascism has adapted to the digital ecosystem, using the aesthetics, language and engagement tools of social media to gain traction. It now manifests itself through memes, influencer culture and algorithmic amplification, rather than uniforms and mass rallies, as in the fascism of the early 20th century.

Social networks, originally designed to promote digital interaction, self-expression and information sharing, have become instruments for the promotion of authoritarian ideologies — which thrive on division, fear and manipulation of public perception — and for building that very culture of fear and division through radicalisation strategies and hate speech filled with misogynistic, racist and conspiratorial content. Instead of party newspapers or radio broadcasts, we now have YouTube rants, Reddit forums and Instagram videos spreading authoritarian ideas in attractive formats.

In this process of eroding democratic norms and consolidating a fascist culture through social media, two aspects have been crucial: one technological — the operational mechanisms of social networks (algorithms, content moderation policies and engagement models); the other social — the ownership of these networks by a small group of techno-oligarchs.

Algorithms and amplifying extremism

Social networks operate with algorithms designed to maximise user engagement. Content that provokes intense emotional reactions — anger, fear, outrage — performs best. The algorithm does not care about the truth or harmful impact of content; it only cares about clicks, shares and watch time. 

This creates a vicious cycle in which users are gradually exposed to increasingly extreme content the more they interact. Studies by the Mozilla Foundation and the Center for Countering Digital Hate show how YouTube’s recommendation system can quickly push users from moderately conservative content toward openly fascist, white supremacist or misogynistic videos.

The structure and functionality of social networks favour the type of content produced by the far right, with its sensationalist tone and polarising viewpoints. Hate speech, alarmism and fake news perform particularly well in this environment because of their ability to generate strong emotional engagement. Sensationalist headlines, misleading narratives and conspiracy theories are shared and commented on far more than factual reports or complex analyses.

This dynamic is amplified by echo chambers created by algorithmic sorting, which feeds users content that aligns with their biases, reinforcing their views and isolating them from counterarguments or factual corrections. For example, if a user frequently interacts with posts containing racist or misogynistic language, the algorithm will continue to present similar content, reinforcing those beliefs and normalising such discourse within their social circle.

This ecosystem allows misinformation to spread and creates a distorted perception of consensus. When users repeatedly see extreme opinions gaining visibility, they tend to assume those ideas are more popular than they really are. Regarding fascist ideas, this illusion of social consensus contributes to their validation, encouraging their adoption and promotion.

Moreover, the absence of strict moderation policies allows hate speech to flourish. Although some companies have implemented measures against harmful content, the overwhelming volume of posts and the speed of their spread make consistent enforcement nearly impossible. This moderation deficit is exploited by fascist groups, which use coded language, memes and symbolism to bypass filters and spread their messages.

The consequences of this algorithmic amplification are profound. Hate speech not only dehumanises marginalised groups but fosters a culture of hostility and division. In the context of the far right’s use of social media, this hostility is often directed against immigrants, minorities or political opponents, serving as a tool to unite followers around a “us versus them” narrative. 

By repeatedly exposing users to this type of content, digital platforms contribute to the erosion of empathy and to the creation of an environment where violence or exclusion are seen as reasonable responses to perceived threats. This becomes especially dangerous when combined with fear-based narratives designed to incite anxiety and justify authoritarian measures.

Property and ideological capture: How the far right exploits technological power to normalise fascism

The ownership of major social networks further complicates the picture. In recent years, we have witnessed the growing appropriation and instrumentalisation of social media by billionaire figures with political affinities to the far right, such as Elon Musk (X, formerly Twitter) and Mark Zuckerberg (Facebook, Instagram). This concentration of technological power in private hands with authoritarian ideological leanings has facilitated the spread and normalisation of fascist ideas, disguised under the deceitful banner of “freedom of speech.”

Elon Musk and the radicalisation of Twitter

Since Musk’s acquisition of Twitter in October 2022, we have seen an intentional, planned and systematic dismantling of content moderation mechanisms. Musk fired more than 80% of the moderation staff and dissolved the company’s Trust and Safety Council. At the same time, he reinstated accounts previously banned for violating platform policies, including those of Donald Trump, Andrew Tate, Jordan Peterson and various QAnon accounts.

Empirical studies have shown that, in the months following the acquisition, hate speech levels skyrocketed on Twitter. According to the Center for Countering Digital Hate, the use of racial slurs against Black people rose by 202%, and homophobic terms by 53%. Additionally, the Anti-Defamation League (ADL) reported a 61% rise in antisemitic mentions on X in the first half of 2023.

Although Musk has repeatedly claimed his management aims merely to “restore freedom of speech” even if that means tolerating extremist discourse, a Platformer report revealed that Musk personally ordered algorithm changes to amplify his own tweets, boosting their visibility by more than 1000%. This algorithmic manipulation also benefitted ideologically aligned far-right accounts, creating an environment conducive to radicalisation.

Zuckerberg and the Meta empire: Strategic omission and profiting from hate

While Zuckerberg publicly maintained a more neutral stance for some time, the effects of his business decisions are no less serious. Studies have shown that Facebook’s algorithms promote emotionally charged content — often hate, fear and polarisation. An internal document revealed that Facebook engineers had already warned, back in 2018, that “the algorithms were encouraging divisions and political extremism.”

During the 2016, 2020, and 2024 US presidential elections, Facebook was the epicentre of the spread of fake news favouring Trump, including false claims of electoral fraud. An investigation by MIT Technology Review found that 64% of people who joined extremist groups did so through algorithmic suggestions by the platform. Furthermore, Facebook was accused of allowing paid political advertising with disinformation, helping anti-immigration and anti-LGBTQI+ movements thrive in several countries. 

In 2021, former Facebook employee Frances Haugen provided evidence to US Congress that the company prioritised “profit over safety,” even knowing its systems fostered extremism. If there was any doubt about Zuckerberg’s intent to instrumentalise Facebook for the spread of extremist ideals, they were dispelled in 2024 when Zuckerberg endorsed Trump’s re-election — after which he ended content moderation altogether.

The private control of digital platforms by billionaires with authoritarian leanings has created a reality where technology serves as a vehicle for political radicalisation. Musk and Zuckerberg are redesigning the digital public sphere to make fascist ideas not only visible but culturally acceptable. This scenario constitutes a new form of hegemony — a neoliberal algorithmic dictatorship — where digital infrastructures become tools of social engineering serving the concentration of economic, ideological and political power.

Instead of strengthening democracy, social media has become a weapon for mass disinformation and normalising authoritarianism. It is urgent to dismantle the power of techno-oligarchs, socialise social networks and ensure democratic governance.

Democratising the digital space: Countering the fascistic domination of social media by techno-oligarchs

Despite certain European legal mechanisms such as the General Data Protection Regulation (GDPR) and the Digital Services Act (DSA), the power of Big Tech remains largely untouched. The DSA, for example, still relies on the voluntary cooperation of platforms to combat illegal content, without interfering with the commercial logic that prioritises the virality of toxic content.

Authors such as Shoshana Zuboff have warned that surveillance capitalism — the logic by which personal data are commodified to anticipate and modify behaviour — escapes traditional regulatory forms. What is needed is a radically new approach, one that does not merely correct excesses but structurally changes who owns and controls digital communication media.

The left must adopt a digital agenda that prioritises democratising platform governance, reducing techno-oligarchic power and promoting a digital ecosystem oriented toward the public good. This agenda should include measures such as:

  • Public and social ownership of platforms: Social networks should be treated as essential critical infrastructures — like water or energy networks — and be subject to public control. Like public radio and television services, social networks should be publicly funded and guided by public-interest criteria, not by the logic of profit and surveillance.
  • Democratic and transparent regulation: State regulation of major digital platforms must go beyond content moderation or data protection, imposing obligations of algorithmic transparency, limits on ownership concentration, and clear rules on editorial responsibility. Regulation should not focus solely on technical aspects but also aim to defend democracy and human rights against authoritarian projects disguised as “freedom of speech.”
  • Democratic management: Instead of unilateral decisions made by techno-oligarchs with their own ideological agendas, social media governance should be shared, transparent and democratically accountable. “Algorithmic self-management” should enter the political vocabulary of anyone who defends a free and fair internet.
  • Digital education and sovereignty: Populations must be empowered to understand and resist algorithmic manipulation, with national programs for critical digital education (as recommended by UNESCO), and investments in free software and public servers, as countries such as Germany and France have done in some sectors.

However, such measures are not enough and contain the paradox of depending on governments to regulate platforms in which they themselves have vested interests. These measures, while necessary, do not eliminate the possibility of governments — whether authoritarian, fascist-leaning or liberal but captured by private economic power — using regulation to control social networks as tools of manipulation, censorship, surveillance, or to criminalise dissent. 

Thus, the solution cannot rely solely on the state, under penalty of reinforcing what it seeks to combat: the capture of digital space by authoritarian or technocratic logics.

Alternative networks as political action and an instrument of class struggle

To confront this problem, proposals from the radical and anti-capitalist left must go further and articulate multiple strategies combining citizen action, the creation of alternative infrastructures and organised political resistance. This includes: critical digital literacy, promoted in grassroots spaces alongside formal education, to provide training on how algorithms work, the logic of surveillance and the political role of social media; boycotting and migrating away from toxic platforms (such as X or Facebook) in favour of decentralised and ethical networks that, even without mass scale, help build alternative culture and autonomy; and the citizen-led creation of alternative networks.

The citizen creation of alternative social networks — based on free software, decentralisation and transparency — is an act of technological disobedience, an exercise in building collective autonomy, and an essential element of the contemporary class struggle. The class struggle today also unfolds in the digital realm, with the techno-oligarchic elite using their platforms to accumulate wealth and control subjectivities.

Citizen-created alternative networks are a powerful weapon against surveillance — avoiding mass data collection, protecting privacy and preventing behavioral tracking that sustains surveillance capitalism — and against algorithmic hierarchy — promoting content ranked by community choice, not profit or polarisation. 

In this sense, they represent a form of digital popular power, stripping techno-oligarchs of their economic power and ability to manipulate elections, desires and social relations, while creating spaces of solidarity and decentralised communication that foster countercultural and counter-hegemonic content. The act of users building their own infrastructures and rejecting the role of mere consumers of techno-oligarchic networks is, in itself, an act of anti-capitalist politics.

The left must incorporate the struggle for structural transformation of the ownership, control and logic of social networks into its core agenda. To defend health, housing and the environment while ignoring the digital sphere, is to abandon one of today’s main battlefields. Networks are now instruments of ideological power, social control and capital reproduction. Change must arise from articulated, collective and politicised action “from below.”

The citizen creation of alternative social networks, for example, is not merely a technical act but a social, cultural and political struggle that challenges the power and control of techno-oligarchs and the governments that serve them. It will be a slow, long process, built from the margins, and it demands patience. But every instance created, every network switched, every digital culture built outside the dominant system will be a crack in the algorithmic dictatorship.

 

AI, industrial sovereignty and Pax Silica


worker in the Philippines assembles electronic circuit

A version of this was first published at Ang Masa. See also statement by Partido Lakas ng Masa (PLM, Party of the Labouring Masses) further below, “Reject Pax Silica and the Philippines’ transformation into a hub of imperialist war and militarised AI infrastructure.” 

The United States, along with 14 other high-tech countries, established Pax Silica in December 2025 as a “strategic initiative” to counter China’s strength in semiconductors, artificial intelligence (AI)1 and high-level technology (HLT). It seeks to do this through US control of supply chains — from critical minerals, energy and logistics to semiconductors, advanced manufacturing, AI infrastructure, software platforms and frontier AI models.

Pax Silica is a US-led reorganisation of global production driven by geopolitical rivalry and the fusion of industrial policy with military strategy. It is an attempt to build “trusted ally” supply chains that limit China’s access to advanced technologies while integrating partner countries into segmented roles within a US-aligned technological bloc. Rather than a single agreement, it operates through infrastructure investments, supply-chain restructuring, security arrangements and industrial partnerships.

The Philippines joined the initiative in April 2026. The Philippines is being incorporated via mineral agreements, semiconductor expansion, AI-linked industrial corridors, logistics projects, nuclear energy development and deeper defence cooperation. Under the initiative, the Philippines and the US will establish a 1619-hectare industrial/AI hub in the Luzon Economic Corridor — an “economic security zone” — to shore up US supply chains.

At the centre of this architecture is the Enhanced Defense Cooperation Agreement (EDCA), which enables rotational US military access, prepositioning of equipment, logistical integration and the development of dual-use infrastructure connected to wider Indo-Pacific strategic planning. In this framework, economic integration is layered onto existing military architecture.

This paper argues that the Philippines risks becoming a low (or at best mid-) level semiconductor processing node, a logistics corridor integrated into US military supply chains, a supplier of critical minerals and technical labour, and a forward-positioned territory within broader US Indo-Pacific security strategy.

The US request to place the hub under US law and grant diplomatic immunity to US personnel is a clear indication of the military underpinnings of this venture. The arrangement also aligns with key Philippine elite interests by attracting investment, strengthening export sectors, and reinforcing political and security ties with the US. The initiative is being hailed as an opportunity for HLT-based development.

The question posed, therefore, is how the rise of HLTs such as AI enables national industrial development grounded in sovereignty, technological self-reliance, and sustainable development in the Philippines. Will HLTs become a tool for national industrial transformation and social development, or will it function as a mechanism for deeper dependency under a global techno-military order?

HLTs under capitalism

HLTs are not neutral. They are deeply embedded within imperialism’s military-industrial complex, global supply chains and class structures of ownership. Within the framework of global capitalism (or imperialism), the global AI industry combines highly advanced computing infrastructure in major capitalist powers with vast reserves of precarious digital labour in low-wage countries, reproducing unequal international divisions of labour facilitating the significant transfer of value to HLT and imperialist countries.

Neither is AI a “new economy” that functions autonomously from capitalism. AI models cannot function and produce a single output without an enormous expenditure of labour — human-created data; software engineers to design highly complex system architectures; human-produced infrastructure, such as electricity, to run server farms; and human maintenance and “hidden” human labour in low-wage countries, such as the Philippines, to clean, label, sort and verify data used for training algorithms (machine learning). AI under capitalism is a part of the “constant capital” or “dead labour” that transfers value, not creates it, following Karl Marx’s labour theory of value.

The central issue is therefore not simply whether the Philippines adopts AI and HLTs, but under whose control these technologies are developed and toward what developmental objective they are directed.

Structural constraints 

The Philippines possesses several partial advantages within the global technology economy. These include participation in electronics assembly, an established IT-Business Process Management and service-sector workforce, substantial mineral resources such as nickel, and emerging semiconductor back-end capacity involving assembly, testing, packaging and electronics manufacturing services.

At the same time, the country remains structurally weak in critical areas necessary for sovereign industrial development. The Philippines lacks a strong heavy industrial base, machine-tool industries, energy sovereignty, advanced semiconductor design and fabrication capabilities, robust public research and development systems, and coordinated long-term industrial planning. This creates a core problem for the Philippine economy: the country participates in global technology chains without controlling its highest-value and most strategic segments.

HLTs and sovereign development requirements

AI as a transformative HLT

HLTs such as AI possess significant transformative potential. When combined with robotics and advanced industrial systems, AI can enable industrial automation, productivity growth, logistics optimisation, infrastructure coordination, semiconductor design, advanced manufacturing, disaster prediction, climate resilience, healthcare modernisation and improvements in agricultural productivity. These technologies are increasingly becoming foundational to industrial development across the world economy.

However, these capabilities are not autonomous; they depend upon deeper material foundations. AI is fundamentally infrastructural, with energy, land and water functioning as first-order constraints on its development and deployment. In the Philippine context, these constraints are particularly acute: electricity prices remain among the highest in Asia, energy security is weak, grid fragmentation persists, and infrastructure vulnerability to climate disasters is severe. At the same time, land reform remains incomplete and, in key instances, subverted, further complicating the territorial basis for large-scale industrial and digital infrastructure.

Energy demands and infrastructure

Because AI workloads and high-performance computing generate enormous heat, cooling has become one of the biggest technical and energy challenges in modern data centres. Large-scale data centres and semiconductor ecosystems require stable baseload electricity, high-capacity transmission systems, advanced cooling infrastructure, water supplies and water infrastructure, and resilient logistics networks. For hyperscale AI infrastructure operated by companies such as Google Cloud, Microsoft, Amazon Azure and Meta, cooling infrastructure can become as large and capital-intensive as the computing infrastructure itself.

At present, the Philippines does not possess the degree of energy sovereignty necessary, as demonstrated by the energy crisis gripping the country, for independent large-scale AI-industrial development. As a result, expansion in this sector risks deepening structural dependence on private energy oligopolies, imported fuels and externally financed grid development.

Pax Silica and the civil-nuclear energy agenda

Energy is a key HLT infrastructure requirement. The focus of Pax Silica is the development of “civil-nuclear energy”. This includes, based on the US-Philippines “123 Agreement” on nuclear cooperation: deployment of US-designed small modular reactors (SMRs) by Meralco; the establishment of a nuclear reactor control room simulator and training hub; and partnerships between Philippine universities and overseas institutions, such as Texas A&M University and King’s College London. This nuclear program aims to integrate the Philippines into US-linked nuclear technology and supply chains. Renewable energy such as solar and wind are not mentioned, even in relation to energy security and therefore sovereignty.

AI as an infrastructural dependency chain

AI systems further require integrated industrial ecosystems: semiconductor design and manufacturing capacity, stable and affordable energy systems, hyperscale data centres, high-capacity telecommunications and fibre networks, scientific and engineering talent pipelines, and secure access to critical minerals and industrial inputs. Without control over these underlying foundations, AI development becomes dependent on outsourced computing systems, foreign cloud platforms and externally governed digital ecosystems dominated by major technology powers such as the US, Japan, the European Union and China.

Within this configuration, AI development is not simply a technological transition but an infrastructural dependency chain. The absence of sovereign control over critical inputs means that digital-industrial expansion is structurally mediated by external capital, fuel supply volatility, and privatised generation capacity. This shapes not only the cost structure of AI deployment but also its strategic autonomy, embedding technological development within broader patterns of dependency.

“Trusted partnerships” and emerging AI blocs

In this light, the discourse of “trusted partnerships” under frameworks such as the World Economic Forum (WEF) is useful to examine. This reflects an emerging language of “AI sovereignty” that emphasises secure supply chains, allied infrastructure, and coordinated compute ecosystems. This closely parallels the strategic logic of Pax Silica: the formation of geopolitical technology blocs organised around trust, security and interoperability.

For the Philippines, however, these partnerships are mediated not only economically but also militarily through arrangements such as EDCA and broader US strategic integration. The key issue is therefore not partnership per se, but hierarchy: the Philippines does not negotiate from a position of technological parity, but from within a structured asymmetry of power.

Under such conditions, the Philippines risks participating in AI development only as a subordinate service provider within foreign-controlled technological systems. As a result, technological modernisation under present conditions risks reproducing dependency rather than overcoming it.

Comparative development models

Taiwan: Industrial upgrading through state-led industrial policy

The experience of Taiwan demonstrates that technological advancement is possible through sustained state-led industrial policy, strong STEM education systems, strategic protection and upgrading of domestic industries, and coordinated technology transfer mechanisms. Through long-term industrial planning, Taiwan successfully moved from low-end assembly operations toward global leadership in semiconductors and advanced electronics. Institutions and firms such as Taiwan Semiconductor Manufacturing Company, Acer and Foxconn emerged from this process of industrial upgrading.

However, Taiwan’s success also remains structurally tied to deep integration within US-led supply chains, dependence on global export markets, and geopolitical exposure within the broader US-China rivalry. Taiwan illustrates both the possibilities of technological upgrading and the vulnerabilities created by dependence on externally structured geopolitical and economic systems.

Cuba: Scientific sovereignty under constraint

Cuba’s experience presents a different developmental model. Following the 1959 revolution, Cuba developed a state-led scientific system centred on universal education, centralised research institutions, public health-oriented innovation and scientific planning. Institutions such as the Centre for Genetic Engineering and Biotechnology (CIGB) and BioCubaFarma enabled Cuba to achieve world-class biomedical innovation in vaccines, pharmaceuticals and preventive healthcare, despite severe economic constraints. Cuba demonstrates that high technological capability can exist without industrial capitalism at a mass scale.

However, Cuba’s model also faced limitations imposed by a US economic embargo, which for 66 years restricted access to global capital markets, limited industrial scale and the absence of a broad heavy industrial base. The US’ aim was regime change in Cuba, which has now intensified under the Trump administration, with threats of direct military intervention. The fact that Cuba has managed to survive until now is a testimony to the resilience of the Cuban revolution and its socialist system.

Together, Taiwan and Cuba represent two different responses to structural position within global capitalism. Taiwan pursued industrial upgrading through strategic integration into global production systems, while Cuba pursued scientific sovereignty and public-sector innovation under conditions of relative isolation.

The Philippines currently occupies neither position. It is neither industrially upgraded like Taiwan nor scientifically autonomous like Cuba. Instead, it remains integrated primarily into low-value service, assembly and extractive sectors within global supply chains.

Implications: Sovereignty eroded

The primary danger posed by Pax Silica is that infrastructure developed within this framework increasingly serves both economic and military purposes. Industrial policy becomes aligned with external security priorities, while technology transfer remains conditional and hierarchically controlled. Strategic sectors such as semiconductors, logistics, telecommunications and energy become integrated into systems whose highest levels of ownership, design capability and operational coordination remain external to the Philippines.

This integration also deepens long-term dependency. Once infrastructure, investment flows, export markets, military coordination and technological systems become integrated into US-aligned networks, disengagement becomes economically and politically costly. In effect, sovereignty is not formally abolished but progressively narrowed through layered economic, technological and military integration.

Pax Silica presents itself as modernisation and technological progress, but structurally it represents a securitised global production system organised around US strategic interests. For the Philippines, the decisive question is whether AI and high-level technologies will enable industrial sovereignty and social development, or whether they will reinforce the country’s role as a managed periphery within a global military-industrial order.

The experiences of Taiwan and Cuba demonstrate that technological development is possible under very different historical conditions. However, both cases show that technological advancement ultimately depends on state capacity, ownership of productive assets, control over technological systems, and strategic autonomy.

Without these foundations, AI and high-level technologies do not produce sovereignty. They produce incorporation and subordination.

AI’s role in this system

Within Pax Silica, AI functions primarily as a productivity and coordination layer within global supply chains. It supports industrial automation, logistics optimisation, surveillance systems, military planning and data management. AI is therefore inseparable from the broader geopolitical and military-industrial restructuring currently underway.

However, without domestic control over semiconductors, compute infrastructure, energy systems, and industrial design capacity, AI development remains dependent on foreign technological ecosystems. Under these conditions, AI becomes a mechanism of participation within externally controlled systems rather than a foundation for technological sovereignty. The Philippines may therefore contribute labour, infrastructure, minerals, logistics and low-to-mid-level technical functions, while remaining excluded from the highest-value and most strategic levels of technological production.

A socialist alternative

Beyond the immediate tasks of national-democratic development and industrialisation lies the broader socialist transition. Under capitalism, production is governed primarily by markets, profit maximisation and the treatment of labour power as a commodity. A socialist transition seeks to progressively subordinate these mechanisms to democratic social planning, collective ownership and production oriented toward human need rather than private accumulation — the conscious curtailment of the law of value as the central organising principle of economic and reproductive life.

Such a transition would require reversing privatisation in strategic sectors and reestablishing public ownership and democratic management over key areas of the economy, including energy, transport, telecommunications, finance, water and major infrastructure systems, as well as comprehensive agrarian reform. This would need to be combined with workers’ control and integrated national planning capable of coordinating industrial development, scientific advancement, ecological sustainability and social welfare. Rather than leaving investment decisions to private capital and global market pressures, economic priorities would increasingly be determined through democratic planning mechanisms rooted in socially necessary and useful priorities.

Within such a framework, HLTs and AI would no longer primarily serve corporate profitability and imperialist competition. Instead, they would be directed toward socially necessary production and long-term human development. Their primary functions would include strengthening public healthcare systems, improving disaster prediction and climate resilience, supporting universal education, renewable energy systems, modernising sustainable agriculture and food security systems, and coordinating infrastructure according to ecological and social priorities rather than private profit.

A socialist approach to AI and industrial development would therefore treat technology not as an autonomous force or commodity, but as part of a broader project of social transformation. Technological progress would be evaluated according to whether it expands democratic control over production, reduces social inequality, strengthens collective welfare, restores ecological balance, and deepens national and popular sovereignty.

The long-term objective is not merely industrial growth, but the transformation of the social relations that govern production and reproduction.

Reihana Mohideen is a National Council member of the Partido Lakas ng Masa (PLM, Party of the Laboring Masses) and the head of the party's international desk.

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Reject Pax Silica and the Philippines’ transformation into a hub of imperialist war and militarised AI infrastructure

Partido Lakas ng Masa, May 20

The US-led Pax Silica initiative is not a project for genuine Philippine development. It was established by the US government in December 2025 as a “strategic initiative” — a geopolitical-industrial bloc designed to secure US and imperialist dominance over semiconductors, AI, critical minerals, energy systems and strategic infrastructure.

One of the main aims of Pax Silica is to contain China. Through the Enhanced Defense Cooperation Agreement (EDCA) and related military agreements, economic integration is being progressively embedded within US strategic and military architecture, tightening the Philippines’ entanglement in Washington’s regional confrontation with China.

Under Pax Silica, the Philippines is being integrated into a US-aligned production and military network, through industrial corridors, logistics systems, military agreements, telecommunications infrastructure, AI systems, and strategic energy programs based not on renewables but nuclear power development through a “civil-nuclear energy agenda.”

The country is being assigned the role of labour provider, mineral supplier, assembly platform, logistics corridor and strategic military outpost, while higher-value technological design, semiconductor control, compute infrastructure, and industrial command remain concentrated in the high-level technology-dominant capitalist states, such as the US, Japan, Australia, Britain, Israel and others.

This is not technological sovereignty. It is dependency. The Bongbong Marcos government presents Pax Silica as “modernisation” and “development,” but the reality is deeper imperialist penetration into the Philippine economy, infrastructure systems, energy networks and national development trajectory.

Ports, airports, logistics corridors, telecommunications systems and AI infrastructure are being developed as dual-use systems that integrate civilian and military functions. AI itself functions not merely as an economic tool, but as part of broader systems of logistics coordination, surveillance, predictive analytics, drone warfare and security management.

The integration of Israeli-linked firms and technologies into emerging AI and infrastructure systems is a particular concern given Israel’s role within the global military-technological complex and its deployment of advanced surveillance, targeting and warfare systems — all of which are being tested and deployed in the ongoing genocide against the Palestinian people.

Philippine infrastructure will thus become embedded within global systems of militarisation, surveillance capitalism and ongoing imperialist wars and occupations, including the US-Israel war against Iran and the genocide in Palestine.

The Philippines will remain structurally dependent on foreign capital and imported technology, with weak industrial foundations and oligarchic control over strategic sectors. Its lack of energy security and high vulnerability to climate shocks further compound these conditions, reinforcing patterns of uneven and externally dependent industrialisation.

Pax Silica does not resolve these contradictions. It will intensify them by transforming Philippine territory into a strategic military-industrial node within a US-led imperialist order.

The country is being increasingly positioned as a logistics and infrastructure hub for US military-strategic interests, a supplier of critical minerals for external industrial systems, a low-wage platform for AI-related data processing, a site for surveillance and dual-use technological systems, and a frontline state in the intensifying US–China rivalry.

A sovereign development path requires a fundamentally different orientation. A socialist and national industrial strategy would subordinate markets and private accumulation to democratic planning and social need through:

  • public ownership of strategic sectors;
  • comprehensive agrarian reform and food sovereignty;
  • coordinated national state plans;
  • democratic economic planning;
  • sovereign and renewable energy systems;
  • expansion of domestic research and development for science and high-level technological capacity; and
  • workers’ participation in economic decision-making.

Within such a framework, AI and high-level technologies would be oriented toward healthcare, education, disaster resilience, climate adaptation, food security, sustainable agriculture, renewable energy transition and infrastructure planning — all guided by social need rather than militarisation or US geopolitical interests.

Technology must serve the people — not imperialist domination, oligarchic accumulation, surveillance, and war.

The struggle for technological self-determination is part of the struggle for national sovereignty, social justice, democratic control of the economy and socialism.

Reject Pax Silica!

Reject the Philippines’ transformation into a hub of imperialist war and militarised AI infrastructure!

For genuine national and socialist industrial development!

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    Artificial Intelligence refers to the simulation of human intelligence by digital devices, performing tasks such as learning, reasoning, problem-solving and decision-making, through techniques such as machine learning, neural networks and natural language processing.