Cooperatives and the Digital Commons: Governance, Sustainability, and Shared Infrastructure

Introduction

Digital commons, such as open-source software, shared data resources, and community-driven platforms, are becoming essential in the digital age, offering vital alternatives to proprietary tech platforms. These commons enable collective ownership and shared access, often aiming to address the monopolistic tendencies of corporate-driven services. However, many digital commons remain vulnerable to external pressures, including corporate capture, insufficient funding, and dependency on voluntary contributions. Cooperatives are emerging as a key solution, combining democratic governance with sustainable economic models to ensure these commons thrive. This post explores how cooperatives can bolster digital commons by enhancing equitable access, long-term financial sustainability, and resilient governance structures. It also explores how public-cooperative partnerships can provide lasting alternatives to proprietary platforms while addressing critical questions around their scalability, effectiveness, and overall sustainability. With growing attention to the limits of corporate-controlled platforms, cooperatives offer a promising way forward in creating a more inclusive and accessible digital future. During my fellowship at ICDE, my research will explore how cooperatives can effectively utilize blockchain technology and decentralized autonomous organizations (DAOs) to enhance governance models of digital commons. The project will specifically focus on improving governance practices in digital commons by clarifying ownership, promoting equitable decision-making, and ensuring effective rule enforcement. Drawing on insights from case studies like MakerDAO, Aragon DAO, and Commons Stack, as well as Elinor Ostrom’s principles, I will develop practical governance frameworks designed for implementation by cooperatives, strengthening their role in managing and preserving digital commons.

Democratizing Governance of Digital Commons

Cooperatives are rooted in democratic governance, meaning decisions about digital infrastructure are made collectively by the users. This contrasts with traditional corporate platforms, where decisions are made by distant investors. For example, Social.coop, a Mastodon instance, operates as a cooperative, where members fund the server and collaboratively shape policies. Similarly, Meet.coop, an open-source videoconferencing cooperative, uses sociocratic principles to ensure decisions are made consensually by its members. Such models ensure that digital services remain accountable to their users, keeping governance transparent and inclusive.

Cooperative governance allows digital platforms to prioritize the social good over profit. This includes data cooperatives, which allow users to collectively manage their data. The democratic structure of cooperatives ensures that decisions about data sharing and platform development are made in the best interests of the community.

Achieving Financial Sustainability for the Commons

One of the main challenges for digital commons is financial sustainability. Cooperatives provide an alternative to reliance on donations or precarious funding sources. Since cooperatives are owned by their members, they can reinvest profits into the platform and rely on member contributions, making them more resilient to financial pressures. Up & Go, a worker-owned home service platform in New York, shows how cooperatives can maintain financial sustainability while prioritizing their community. By retaining 95% of customer payments, the platform ensures workers benefit directly, unlike typical profit-driven models.

Crowdfunding has also proven successful for cooperative platforms. Meet.coop, for instance, uses Open Collective to transparently manage member contributions. This model fosters trust and ensures that funds are used for platform maintenance and development, allowing cooperatives to avoid the dependency on traditional investment capital.

Building Shared Infrastructure through Cooperation

Cooperatives not only govern and fund digital commons but also build shared infrastructure. This approach ensures digital services are accessible to everyone, rather than being locked behind proprietary paywalls. CommonsCloud in Spain provides a cooperative alternative to platforms like Google Drive, offering document editing, storage, and project management services. Members pay a monthly fee to become co-owners, ensuring transparency in how the platform is run and that privacy is respected.

Cooperatives are also tackling physical infrastructure needs, such as broadband access. Zenzeleni Networks, a community-owned ISP in rural South Africa, builds local telecommunications infrastructure, providing affordable internet to underserved areas. This model of community-controlled infrastructure not only promotes equitable access but also reduces costs, highlighting the potential of cooperatives in ensuring digital inclusion.

Public–Cooperative Partnerships as Alternatives to Big Tech

Public-cooperative partnerships are gaining attention as alternatives to big tech monopolies. In Europe, the EU’s Data Governance Act recognizes data cooperatives as trusted intermediaries, ensuring greater control over personal data. Similarly, FairBnB, a cooperative-based alternative to Airbnb, works with local governments in Belgium to promote community-driven home-sharing models.

The Platform Cooperativism Consortium advocates for public investment in cooperative platforms, seeing them as critical to providing inclusive digital infrastructure. These partnerships can offer a middle ground between state-run services and profit-driven platforms, allowing cooperatives to innovate while being held accountable to public interests.

Challenges and Critical Considerations

Despite the promising potential of cooperatives in the digital commons, several challenges remain. Long-term viability is one key concern; many cooperatives are still in their nascent stages, and their small size makes it difficult for them to compete with the vast scale and resources of Big Tech platforms. Without the enormous capital investment that larger tech companies can secure, these co-ops face significant hurdles in growing sustainably. Solutions like federation—a network of interconnected cooperatives that share infrastructure, resources, and knowledge—could help them scale more efficiently while maintaining their core democratic principles. This approach allows smaller co-ops to cooperate rather than compete, pooling resources and providing mutual support to ensure their continued viability without sacrificing autonomy or governance rights.

Equitable access remains another critical challenge for the success of cooperatives in digital commons. While co-ops are founded on principles of inclusivity, many underserved communities still lack the essential infrastructure, digital literacy, or awareness necessary to fully engage in these platforms. Initiatives like Zenzeleni Networks, which provides community-owned internet services in rural South Africa, show that cooperatives can play a vital role in bridging the digital divide. However, these projects require public support and funding to overcome significant barriers, including limited access to technology, internet connectivity, and the absence of training programs for marginalized groups. These initiatives underline the importance of external partnerships, funding, and policy frameworks that can facilitate the growth and outreach of cooperatives, particularly to the communities that need them the most.

Lastly, governance within large cooperatives can be complex. Ensuring broad participation and preventing decision-making from being dominated by a small group is essential. Cooperatives like Meet.coop have adopted sociocratic principles to keep governance both inclusive and efficient. But as cooperatives grow, maintaining transparency and member engagement remains a challenge.

Conclusion

Cooperatives are providing viable, democratic alternatives to proprietary digital platforms. By ensuring governance remains transparent and equitable, and by providing sustainable financial models, cooperatives can safeguard digital commons for future generations. As public-cooperative partnerships continue to develop, these models show promise for overcoming the monopolistic tendencies of Big Tech. However, realizing the full potential of cooperative models requires ongoing collaboration between grassroots innovators and policymakers to create an enabling environment.

Governments must recognize cooperatives as critical partners in developing inclusive digital infrastructure. The success of models like CommonsCloud, Up & Go, and Zenzeleni Networks demonstrates that cooperatives can offer sustainable, inclusive alternatives to proprietary platforms. With the right support and regulatory backing, these initiatives can help create a digital future that prioritizes people over profits.