As the global internet splinters into nationally-regulated zones, many world leaders look with jealousy at China's ability to control its digital "town square." Despite public criticism, the Chinese model of a managed internet appeals to governments seeking greater control over online discourse, even in democracies.

Despite different political systems, the US and Chinese internets have converged because power is highly centralized. Whether it's a government controlling platforms like Weibo or tech oligarchs like Elon Musk controlling X, the result is a small group dictating the digital public square's rules.

Social media platform Weibo outcompeted rivals not with better features, but by being more effective at censoring content during political unrest in 2009. While other platforms were shut down by the government, Weibo's adeptness at content moderation ensured its survival and subsequent market dominance.

The Chinese censorship ecosystem intentionally avoids clear red lines. This vagueness forces internet platforms and users to over-interpret rules and proactively self-censor, making it a more effective control mechanism than explicit prohibitions.

Similar to the financial sector, tech companies are increasingly pressured to act as a de facto arm of the government, particularly on issues like censorship. This has led to a power struggle, with some tech leaders now publicly pre-committing to resist future government requests.

Tyler Cowen's experience actively moderating his "Marginal Revolution" blog has made him more tolerant of large tech platforms removing content. Seeing the necessity of curation to improve discourse firsthand, he views platform moderation not as censorship but as a private owner's prerogative to maintain quality.

When direct censorship is unconstitutional, governments pressure intermediaries like tech companies, banks, or funded NGOs to suppress speech. These risk-averse middlemen comply to stay in the government's good graces, effectively doing the state's dirty work.

For Chinese internet companies, extensive keyword databases used for censorship are not just compliance tools; they are crucial, proprietary assets. A more comprehensive and accurate database provides a significant competitive survival advantage over rivals, making it a core part of their business moat.

While both the Biden administration's pressure on YouTube and Trump's threats against ABC are anti-free speech, the former is more insidious. Surreptitious, behind-the-scenes censorship is harder to identify and fight publicly, making it a greater threat to open discourse than loud, transparent attacks that can be openly condemned.