The Decline of Web2 Giants: A Golden Crack in the Internet’s Foundation
Shashank Sripada
Co-Founder, COO Gaia | Nextwave X Partners | Marcena Capital | Builder | Operator | Dreamer | Currently and Investing in Building in AI and Web3
Kintsugi, the Japanese art of repairing broken pottery with gold, embraces flaws instead of hiding them, transforming breaks into something stronger and more beautiful. The internet today feels like one of those broken vases. Web2 giants, companies we all recognize, were once symbols of boundless innovation. I remember how excited I was in the late 90s when my books arrived from Amazon in the mail, like a gift.
Now, they reveal widening cracks in their monopolistic systems.
History has taught us that the signs of decline in an empire are unmistakable. From the fall of Rome to the twilight of the industrial monopolies of the early 20th century, stagnation always follows unchecked dominance. Web2 giants extort more value than they provide by hoarding data, inflating costs for creators, and stifling competition. It’s a direct affront to the very principles of liberty and innovation that the internet was built on. Trust, the backbone of the internet (and everything, really), is eroding. Mrwhosetheboss aka Arun Maini 's video "The Internet is Starting to Break – Here’s Why" captures this decline in sharp detail.
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So we have a problem, yes, but we also have a beautiful opportunity.
Web3 tech like decentralized AI (DeAI), blockchain, and open-source innovation offer a different path. They introduce a new paradigm: platforms where users own their data, value flows equitably, and transparency is the default. Web3 is the golden seam that can take our fractured digital world and make it resilient, fair, and user-driven.
We’re on the brink of a new era. A wave of apps and dapps is coming that won’t just challenge Web2, they’ll set a new standard for what the internet can and should be. For those of us building this future, the cracks we see today are not the end of the story, they are the start of something much bigger.
Let’s make them golden.