This Week in Venture Capital and Artificial Intelligence: Data Ownership, A Part of The New American Dream

Every week I will share and summarize ideas and insights with the LinkedIn community. Some of the summarizations I may have covered during the week, and other things may have just been passing thoughts.

You can find out more about me by tuning into my LinkedIn profile daily and peaking my CV that is listed below from time to time. Also if you would like to be a guest on my 2 podcasts, Capital Unscripted, or Explainable AI, or if you would like to be a contributor to any of the medias I write for or am partnered with, -- includes AI Accelerator Institute , Idea Scale, AI news or other well-known media outlets such as Yahoo Finance -- then please reach me by inboxing me. CV: www.paulclaxton.io

From Data Tenants to Data Owners

When we think of The American Dream we generally think of a white picket fence house, two cars, two kids, and one dog. But today, that dream now includes my data.

In the modern era, we talk endlessly about the erosion of privacy. But let’s be real—privacy is a symptom of the real problem. What we truly lack is ownership.

We’ve been tricked into thinking we "use" platforms and services when, in reality, we’re renting them with our data.

We are like tenants in an apartment, we live at the mercy of the landlord—except here, the landlord is Big Tech. They can barge in anytime, unannounced, peeking into our personal lives, selling our habits, and monetizing our identities…

Let me paint a clear picture: if you owned your home, you wouldn’t tolerate someone walking into your bedroom without consent. But because we don’t own our digital spaces, we’re stuck abiding by someone else’s rules. This is not privacy. This is subjugation.

If we truly want to reclaim privacy, the solution isn’t to beg for stricter laws or better data policies. It’s to demand ownership. Imagine owning your digital footprint—your browsing history, your conversations, your biometric data. Imagine a world where companies couldn’t touch a byte of your life without paying for it. That’s not just privacy—it’s power.

Owning our data could tremendously shift the dynamics of how AI is built and deployed, addressing issues like bias, control, and transparency. Here’s how:?

1. Control Over Data Means Control Over AI Inputs

• If we owned our data, we could make AI systems much more deliberate and intentional.
• Ownership ensures data is collected and used with a focused objective, avoiding unnecessary or exploitative practices.
• Companies would prioritize creating AI systems that provide direct, tangible benefits to users, aligning with the specific permissions granted.
• This intentionality could eliminate the arbitrary biases that arise from haphazard data collection and create AI systems tailored to real-world needs.

2. Rise of the AI Economy

• Instead of reluctantly and ignorantly giving away data, on open data marketplaces people could sell or license their data for specific AI initiatives, enabling smaller organizations or community-driven projects to compete.
• User-driven AI models: Ownership could allow individuals to train their own personalized AI models based on their unique data, further decentralizing AI control.

Personalized AI models could be resold or rented on a peer-to-peer basis. For instance, if someone has trained an AI model tailored to their lifestyle—reflecting preferences, routines, and habits—and another person with a 95% lifestyle match finds value in it, the model could be shared or sold after removing sensitive, private data. This is similar to how people build and personalize their homes, and when they sell them, they remove personal belongings, leaving behind a functional structure adaptable to the new owner's needs. This concept aligns with the idea of AI ownership and modular AI systems, where individuals not only control but also monetize their personal AI creations. It also really illustrates the growing role of user-driven customization and economy in AI ecosystems.

3. Bias Reduction Through Transparency and Accountability

• If every piece of data used in an AI model were tied to an owner, it would create a transparent audit trail. This could make it easier to detect and mitigate biases in datasets.
• Ethical data sourcing: Companies would have to ensure much more ethical data collection practices, as they’d be directly accountable to individuals, not faceless datasets and irrelevant or ineffective regulations.

Honey, We’re Out of Milk, Eggs and Privacy

The commodification of privacy is already underway, and it’s accelerating. Let’s face it: privacy isn’t free anymore. It’s becoming a premium offering, a perk for the wealthy, and a privilege for those willing to pay.

The rise of platforms like Mastodon highlights this night to day shift where everything is now in the light. On Mastodon, you can pay for complete control over your data. You decide what’s visible, what’s hidden, and who can access it. This isn’t a charity; it’s a business model. The message is clear: in the future, privacy will be bought, not granted…

Think about it. We already pay for encrypted emails, VPNs, ad-free browsing, and secure cloud storage. These aren’t luxuries—they’re necessities in a world where free services come with the steep price tag of your personal data. The trajectory is undeniable: privacy is no longer a right. It’s a product.

Back In My Day Privacy Used to Be Free, Now It Costs Me 7 Dollars A Minute To Protect My Company’s Information So I Can Use LinkedIn For Work. That Is More Than I Pay For A Gallon of Gas!!!

Where Do We Go From Here

If privacy is becoming a luxury and ownership is out of reach, we’re at a crossroads. The solution requires a Type A approach: focused, disciplined, and unapologetic.

1. Push for Ownership Models: Support technologies like blockchain that give individuals ownership over their data. Imagine a digital wallet where you hold the keys to your own information. Or something like a social security number to your identity, but tied to your AI profile; like a social security number it is private and protected with complete personal control over who gets access to it.
2. Invest in Privacy: Privacy isn’t free, but it’s worth it. Advocate for platforms that prioritize user control and transparency over exploitation.
3. Redefine the Narrative: Stop letting tech companies frame the conversation towards privacy. It’s not about privacy—it’s about autonomy and ownership. If we change the focus, we change the future.
4. Explainability in Layman’s Terms: Think of it like reading the ingredients on processed food. For example, what is Tertiary Butylhydroquinone? It’s an ingredient in a bag of Ramen Noodles. If we truly understood what we were consuming and how it affects us in the short term, we might avoid it—no matter how great it tastes. Similarly, if we fully grasped what we were giving up in terms of data and privacy, along with the associated unseen short-term risks, we might hesitate to use certain platforms and products—no matter the near-term enjoyment they offer…

It’s often said that people wouldn’t smoke cigarettes if it meant they’d die within a year of starting. The issue is that we’re primarily concerned with short-term consequences, which for cigarettes, there really are none, other than bad breath!

Since most smokers don’t face immediate fatal outcomes, deterrent measures such as commercials, billboards, and other "in-your-face" approaches have been implemented to highlight more short-term risks much more prior to the risk of dying.

If similar tactics were applied to data, we could begin deterring people from using certain products and platforms, ultimately reducing the number of victims.

Additionally, if every product had a label written in layman’s terms alongside its scientific description, it could help raise awareness. I propose two labels for every product: one in scientific terms and the other in layman’s terms. These labels should be attached to every food product and every AI product.

From a food standpoint, this could result in a much healthier society. From an AI perspective, it could lead to a more informed society—one that values privacy and takes ownership of it.

Here is what a laymen’s term label in long-form for a bag of ramen noodles could look like below.

Simplified Ramen Noodle Label

1.???? Enriched Flour: Refined wheat flour with added nutrients like iron and B vitamins. Provides energy but lacks fiber and may spike blood sugar.

2.???? Palm Oil: A vegetable oil high in saturated fats, which can raise cholesterol and increase heart disease risk.

3.???? Salt: Enhances flavor but excessive intake can lead to high blood pressure and bloating.

4.???? Autolyzed Yeast Extract: A flavor enhancer similar to MSG that may trigger headaches or nausea in sensitive individuals.

5.???? Citric Acid: A preservative that can cause stomach irritation in large amounts.

6.???? Disodium Guanylate and Inosinate: Flavor enhancers that may cause headaches or dizziness in some people.

7.???? Disodium Succinate: A flavor booster that may cause mild digestive upset in large amounts.

8.???? Dried Leek Flake: Dehydrated leeks for flavor; may cause gas in allium-sensitive individuals.

9.???? Egg White: Adds protein; can trigger allergic reactions like swelling or hives in those with egg allergies.

10.? Garlic Powder: A seasoning that may cause heartburn or digestive upset in some.

11.? Hydrolyzed Corn and Soy Protein: Flavor enhancers that can cause allergic reactions, such as rashes or swelling.

12.? Lactose: Milk sugar; may cause bloating or diarrhea in lactose-intolerant individuals.

13.? Maltodextrin: A carbohydrate thickener that can spike blood sugar and cause gas in some people.

14.? Natural Flavor: Derived from plants or animals; may cause allergic reactions like swelling or skin irritation.

15.? Onion Powder: A seasoning that may cause bloating or gas in sensitive individuals.

16.? Potassium Carbonate and Chloride: Stabilizers; excessive amounts may cause irregular heartbeat or muscle weakness.

17.? Powdered Chicken: Dehydrated chicken for flavor; source quality may vary.

18.? Rendered Chicken Fat: Adds flavor but is high in saturated fat, which can raise cholesterol.

19.? Silicon Dioxide: Prevents clumping; safe unless inhaled in high doses.

20.? Sodium Alginate: A seaweed-based thickener; large amounts may cause bloating or diarrhea.

21.? Sodium Carbonate and Tripolyphosphate: Texturizers that may contribute to high blood pressure.

22.? Soybean: Adds protein; soy allergies may cause hives, swelling, or difficulty breathing.

23.? Spice and Color: Spices and artificial colors may cause hyperactivity in children or skin rashes in some.

Note: Ramen noodles are safe for occasional consumption (1-2 times per month). Frequent consumption can contribute to high sodium levels, weight gain, and nutritional imbalances.

While my depiction of what an AI label may look like is symbolized in my own head, below is an illustration headed in the right direction of what I am thinking an AI label could look like. Credit to the following site for the image

Simplified Alexa Label:

What You’re Getting:

·?????? Alexa is a voice-controlled assistant that helps with tasks like setting timers, playing music, answering questions, controlling smart home devices, and more. It’s like having a digital helper at your beck and call.

What It Does Behind the Scenes:

?????????? Listens for Commands: Alexa is always “listening” for its wake word (e.g., “Alexa”). Once activated, it records your voice and sends the recording to Amazon’s servers to process and respond to your request.

?????????? Stores Your Data: Your interactions (voice recordings, questions, commands) are saved to improve Alexa's performance and provide more personalized responses.

?????????? Shares Data with Others: Some of your data may be shared with third-party apps or devices you connect to Alexa.

What You Should Know:

?????????? Privacy Risks: Alexa records your voice and saves it. Accidental activations (when it hears something that sounds like “Alexa”) can lead to unintended recordings.

?????????? Data Storage: Recordings are stored unless you manually delete them through your Amazon account.

?????????? Potential for Hacking: If your account or home network isn’t secure, bad actors could potentially misuse Alexa or access your data.

?????????? Ads and Marketing: Alexa may use your data to suggest products or services, which could feel invasive.

What to Watch Out For:

?????????? Sensitive Information: Avoid sharing private details like passwords or financial info near Alexa.

?????????? Check Permissions: Review and limit the apps or devices that Alexa is connected to.

?????????? Delete Recordings: Regularly clear your voice history if privacy is a concern.

Using Alexa offers convenience, but it comes with significant privacy and security risks. Alexa constantly listens for its wake word and records interactions, storing this data on Amazon servers. These recordings, including accidental activations and private conversations, could be accessed through hacking, legal requests, or even by Amazon employees.

Additionally, connecting Alexa to third-party apps or devices increases exposure to data misuse, targeted advertising, and potential hacking. This could lead to serious security breaches, including wire fraud, unauthorized surveillance, or even home invasions if connected devices are compromised.

To minimize risks, users should delete voice recordings, secure networks, review privacy settings, and carefully manage app and device connections. Balancing Alexa's convenience with these precautions is essential for maintaining security.

Conclusion: Ownership and Reimagining the American Dream

The American Dream has always been about ownership—of homes, cars, and lives built with purpose and independence. But as we integrate digital tools like Alexa into our daily routines, a new layer of ownership has emerged: ownership of our data. Without it, the foundations of privacy, security, and autonomy begin to crumble.

In a world where privacy is no longer a right but a commodity, we must shift the narrative. The fight isn’t just for privacy—it’s for control, transparency, and the power to own what’s rightfully ours. From advocating for personal data ownership to embracing user-driven AI models and demanding layman-friendly transparency, the steps are clear: reclaim control, redefine boundaries, and reshape the future.

The world is waking up, but progress requires action. Ownership isn’t just an idea; it’s a revolution waiting to happen. The question is, are we ready to fight for it?

The digital age demands a new definition of the American Dream—one where ownership doesn’t stop at physical assets but extends to the digital footprints we leave behind. True freedom lies not in being a tenant of Big Tech’s systems but in becoming the homeowner of our own digital destinies. It’s time to demand more than convenience; it’s time to demand sovereignty in the digital world.

You can find out more about me by tuning into my LinkedIn profile daily and peaking my CV that is listed below from time to time. Also if you would like to be a guest on my 2 podcasts, Capital Unscripted, or Explainable AI, or if you would like to be a contributor to any of the medias I write for or am partnered with, -- includes AI Accelerator Institute , Idea Scale, AI news or other well-known media outlets such as Yahoo Finance -- then please reach me by inboxing me. CV: www.paulclaxton.io

I hope you enjoyed this week's newsletter stay tuned for next Saturday's edition.

How to contact me:

-- Other than LinkedIn, if you want to know more about me or hear more from me you can view my CV here: www.paulclaxton.io

-- You can also schedule a meeting with me here by going to the bottom of my business card and following the instructions. Business card

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