Doge wants to replace our institutions with a tech utopia. It won’t work | Mike Pepi

Elon Musk has stepped away from Doge with very little “efficiency” to show for it. While it may have been more of a showpiece than real policy, this brutal and short experiment in Silicon Valley governance reveals a long-simmering battle between digital utopians and the institutional infrastructures critical to functioning democracies.

Doge’s website dubiously claims $190bn in savings. The receipts show that they are less about efficiency than they are aimed at effective dissolution, a fate met by USAID, the federal agency responsible for distributing foreign assistance.

Don’t be fooled. These brash new reductions are not just your garden-variety small-government crusades or culture-war skirmishes. This administration’s war on institutions derives from the newfound power of Silicon Valley ideology – a techno-determinism that views each institution’s function as potential raw material for capture by private digital platforms.

All the while, Elon Musk sold the White House on an “AI-first strategy” for the US government. The recent executive order Removing Barriers to American Leadership in Artificial Intelligence mandates that barely tested Silicon Valley AI be jammed into the government’s work. It directs agencies to use AI to “lessen the burden of bureaucratic restrictions”. This is a thinly veiled attempt not just to reduce institutional activities; it’s also a degradation play.

Doge makes plain an often misunderstood tension: Silicon Valley’s final dream is a world without institutions. Since the rise of the internet, startups have long encouraged, and profited from, institutional decline. This anti-institutionalism goes back to the roots of computing. Charles Babbage’s difference engine, central to modern computing, was built on technologies meant to control labor. It was a reflection of Babbage’s belief that the highest intention of the factory manager was to reduce the skill and cognitive complexity of laborers’ tasks. If the machine could manage production, humans – now smoothed-out automatons – would hardly need accompanying social protections, or even any governance at all.

In 1948, Norbert Wiener founded the discipline of cybernetics, “the science of control and communications in the animal and machine”. This automated governance was eventually brought into direct competition with public institutions. The revolt against the state took many forms in the history of computing thereafter, from the libertarian California ideology (“information wants to be free”) to the very idea that a new “cyberspace” would be liberated from governments. Here the individual is an entrepreneur of the mind, able to instantly improve their lot without the mediating hand of the institutional form.

To get to the real heart of Doge’s ideology, read The Cathedral and the Bazaar, Eric Raymond’s manifesto on building open-source software. For Raymond, cathedrals are “carefully crafted by individual wizards or small bands of mages working in splendid isolation”. This slow, deliberate work is no match for the networked and digitally enabled bazaar, where many software developers move fast by releasing early and often, delegate everything they can, and are open to the point of promiscuity. Something like scripture for computer engineers, Raymond’s ideas soon jumped out of the network and into governance of the physical world, where all human organizations were scrutinized as the maligned “cathedral”.

Entrepreneurs loved this idea, too. The management method known as the “lean startup” is a lightweight program of data-driven optimizations designed to quickly scale businesses. Instead of human labor and judgment, lean startups use data and algorithms to experiment their way toward governance.

But there’s a catch: a public institution is not supposed to be run like a digital startup. Silicon Valley may have carved out a niche in which its organizational philosophies mastered food delivery apps, AI girlfriends and money-laundering shitcoins, but the moment they take these methods to institutions entrusted with public welfare, they’ve lost the plot. Governments don’t have customers – they care for citizens. If classical liberalism had the state and its many sovereign institutions, and neoliberalism had the divine hand of the free market, today’s platform class elevates computation as the ultimate arbiter of truth. When presented with an institutional force, the platform class first asks: how could this be delivered by way of a digital platform?

Digital technology doesn’t have to be this way. Good software can augment institutions, not be the rationale for their deletion. Building this future requires undoing Silicon Valley’s pernicious opposition to the institutional form. By giving into the digital utopian’s anti-institutionalism, we allowed them to reshape government according to their growth-at-all-costs logic.

If the newly empowered digital utopianism goes unchecked, we face a platform-archy where black-box AI makes decisions once adjudicated through democratic institutions. This isn’t just a Silicon Valley efficiency fantasy; it’s on the roadmap of every authoritarian who ever sniffed power.

Thankfully, the anti-Doge backlash was swift. The abrupt layoffs backfired, leading many Americans to fully understand just how much research and resources for advancing science, medicine and culture are tied to federal support.

In the private sector, since capital is no longer free after the federal government hiked interest rates in 2022, the growth of the big Silicon Valley platforms have almost completely stalled. In search of an answer, Silicon Valley is making a big bet on AI, overwhelming users with automated answers that hallucinate and mislead at every turn. It’s becoming harder and harder for the average person to buy what the digital utopians are selling.

The response to this assault on our institutions might be a kind of Digital New Deal – a public plan for institutions in the AI era. This 21st-century economics must go well beyond solving for mass unemployment. Reconstructing the institutional foundations of public goods such as journalism, libraries and higher education requires more than just restoring the public funds stripped by Doge. It will require forceful assertions about their regulatory value in the face of a fully automated slop state. Governments come and go, but free and open institutions are critical to the functioning of democracy. If we make the mistake of misrecognizing digital platforms for public institutions, we will not easily reverse Doge’s mistakes.

• Mike Pepi is a technologist and author who has written widely about the intersection between culture and the Internet. His book, Against Platforms: Surviving Digital Utopia, was published by Melville House in 2025