FOMO in Technology: A Barrier to Genuine Innovation
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Chapter 1 Understanding FOMO in Technology
The term Fear of Missing Out (FOMO) encapsulates a widespread anxiety that others might be enjoying rewarding experiences while one is excluded. It is characterized by an incessant desire to remain connected to what others are doing.
Innovation plays a pivotal role in societal growth. While cutting-edge technologies can enhance community life, the FOMO phenomenon can inflate expectations and hinder actual progress.
Section 1.1 The FOMO Effect Among Tech Providers
When a new technology gains attention, it often generates high expectations. This anticipation fosters a community that buzzes around the topic, leading to mainstream media coverage. Consequently, investors begin to pour funds into projects that incorporate this trending technology. Entrepreneurs, noticing the influx of investments, frequently modify their project titles to include popular buzzwords.
When examining the actual content of these technologies, we often find mere repackaging of existing concepts under a new guise. Developers not initially involved in the FOMO frenzy rush to publish articles and tweets to avoid missing out, often adding the trending technology to their titles.
Subsection 1.1.1 The Dichotomy of Action in Technology
The troubling aspect of this situation is the division it creates. I categorize individuals into two groups: those actively working on innovations and those who merely appear to be doing so. Technologies influenced by the FOMO effect can become superficial, diverting resources toward those who are only pretending to engage.
Notably, this misallocation of investment can obstruct more traditional yet beneficial projects, leading to a skewed technological landscape.
Section 1.2 Investor Perspectives on FOMO
One might argue that the rapid valuation increases of certain companies validate the investors' decisions. This is the essence of FOMO; investors jump on trends, motivated by the fear of missing out, and subsequently engage in PR efforts that perpetuate the cycle of FOMO to safeguard their investments.
As a result, an investor pyramid scheme can emerge, inflating prices and increasing investments without substantial backing.
Chapter 2 Illusions of Wealth
The players involved in this ecosystem are well aware of the artificiality of the created hype. The primary goal is to generate a facade of wealth by expanding the perceived market. Ultimately, the aim is to go public, with companies lacking tangible assets being listed at inflated valuations.
Section 2.1 The Dangers of Quick Riches
Individuals caught in the FOMO trap often remain oblivious to the reality of their situation. In a virtual landscape dominated by success stories and self-proclaimed gurus promoting the idea of sending positive energy into the universe, we misallocate our limited resources. Instead of addressing pressing issues like global warming, energy consumption, and hunger, we engage in the trading of NFTs and consume energy for Bitcoin mining. It is a lamentable state of affairs.
As the influence of surrealism grows, we have become increasingly detached from reality, leading to an existence that is increasingly toxic.
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