FINANCIALIZATION OF DIGITAL DATA AND PLATFORM CAPITALISM

Abstract

In this study, the phenomenon of financialization is discussed within the framework of platform capitalism, which is one of the current forms of capitalism in which digital data is commodified. Financialization is mostly discussed in the literature around three different approaches: new accumulation regime, the change in the purpose functions of company management, and the financialization of daily life. In this article, we propose to add digital financialization as a fourth approach to this classification. Digital financialization refers to the integration of digital and financial realms to create a hybrid realm, based on surveillance of individuals through their digital data and enabling profits in this way. The aim of the study is to question the validity of traditional financialization arguments within the context of digital financialization and to expand financialization analysis to include digital data. According to the findings of the study, BigTech and FinTech companies financialize digital data by creating an integrated digital-financial space. Data-driven financial inclusion activities aim to expand the use of financial products to a large part of the world's population, under the discourse of democratization of finance. As a result, digital financialization expands and deepens financialization by providing access to large segments through platforms, including the “unbanked population”. When financialization links of business models developed under platform capitalism taken into account, new "exploitation" mechanisms based on digital data may occur.