It is the 1960s and the Soviet economy is stagnating amidst a desperate need for reform a crazy idea. A single nationwide computer network that autonomously gathered and crunched data from all the country's factories and commanded them to produce as needed. The Soviet internet was meant to be the nervous system for an entire nation and usher in a new tech-led future. But that vision never got off the ground. Why did the Soviets turn away from this potential reform? In this video we're going to look at O-GAS, the Soviet internet that never was.
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I am particularly interested in the story's marked as high factuality, but I really appreciate the chance to see the same thing written from different perspectives. You can follow topics as well. Right now, I'm following the interest rates topic since recently I've been particularly interested in what rising interest rates are doing to actual people on the ground. Go to ground.news slash Asianometry and try for yourself. Try it with an open mind.
I want to give a huge shout out to the book How Not to Network a Nation, the uneasy history of the Soviet Internet by Benjamin Peters and associate professor at the University of Tulsa. If you want additional information, then I highly recommend this book which I greatly enjoyed.
For much of its history, the Soviet Union ran a command economy, the state owns everything. However, Soviet citizens can own individual items, just don't call it private. Economic activity is coordinated and carried out not through a free market process, but rather directives, quotas and commands.
How this works in practice was that there were three Soviet state entities. Ghost Plan, Ghost Nab, and Ghost Bank. Ghost Bank handles accounting and records transactions. It isn't so important in this context. First, we have the state planning commission or Ghost Plan. They write up the five year plans and define the economic inputs, including prices. After Ghost Plan sets the plan, the state commission for materials and equipment supply or Ghost Nab implements it, procuring and supplying producer goods for the factories.
In its early years, the command economy grew faster than almost any other country in the world. Technology and social achievements, especially those relating to military and aerospace, garnered much praise. But behind the scenes, the central planning system frequently struggled to properly assign quotas, redistribute outputs and so on. There was immense paperwork, distorted incentives, and frequent miscommunications. Many quotas, especially those outside of the military sphere, were only met thanks to a network of pushers. These were fixer type power centers who worked behind the scenes to get things done. With formal channels to often clocked up, the actual negotiations happened informally in hallways, trains, and summer homes.
Attempts that reform only thicken the bureaucracy and made things worse. It is 1953 and Stalin is dead. His passing from apparent brain hemorrhage signaled a turbulent new era for the Soviet Union and its alien economy. After a brief power struggle, Nikita Khrushchev became leader. His reign from 1953 to 1964 saw a series of reforms. One of those reforms was the normalization and adoption of cybernetics.
At the 20th Congress of the Communist Party in 1956, the one where Khrushchev famously gave his secret speech, criticizing Stalin's cult of personality, he also gave a far less controversial speech praising cybernetics. Having at one of the major tools of the creation of a Communist society, Khrushchev encouraged the development of computer science and the automation of industry. Originated by Norbert Weiner in the United States, cybernetics had been banned during Stalin's reign due to assertions that information was a substance of its own.
As well as for drawing analogies between the neuron in the brain and the electric signals inside a computer, such an analogy encroached on established Russian theories of psychology. Khrushchev's reversal however allowed cybernetics to thrive and from there it grew to encompass a variety of sciences.
Soviet cybernetics became a project to introduce mathematical methods to the life and social sciences. This gave it an aura of truth and objectivity and the Soviets got caught up in that aura. In my video about East German semiconductors, I talked about the wishful thinking in the minds of GDR leadership about the economic role of semiconductors.
The Soviets eventually fell under a similar technological spell. They saw computers as unlocking a universal method of problem solving. Can such powers be applied to the nation's then-ailing economy?
In 1958, news arrived in the Soviet Union of a major undertaking by the Americans. The semi-automatic ground environment or sage was a groundbreaking air defense system. It coordinated raw radar data from many different radar sites to create a single unified image of America's airspace.
After the Soviets exploded their first atomic bomb, the United States started developing sage to detect potential Soviet atomic bombers flying over the North Pole. Power by what was then the largest computer ever built, sage costs $8 billion, more than the Manhattan Project, and served as the backbone of the American air defense system. Sage's development and its then classified capabilities greatly alarmed Soviet military planners.
In response, the Soviets decided to have three institutes independently built three centralized computer networks focusing on air defense, missile defense, and space surveillance. The air defense network was called System A. Krusha famously boasted in 1962 that its prototype network can quote unquote hit a fly in outer space. It connected two Soviet supercomputers, an M40 and M50 built in 1958 and 1959.
This military effort opened people's eyes to the potential that network computers might have for the Soviet civilian population.
这次军事行动让人们认识到,网络计算机对苏联民用人口可能具有的潜力。
In 1958, one of the Soviet Union's early pioneers in cybernetics, Anatoliy Kytov, proposed the first effort to network the nation. A war hero who suffered serious injury on the front lines, he studied math and physics in between firing anti-aircraft shells into the sky. After the war, Kytov became a rocket scientist. He then came across Norbert Wyners' book.
Reading it, he concluded that cybernetics was not a bourgeois pseudoscience, but rather a tool with high potential for the Soviet Union. He thus authored the Soviet Union's first significant positive article about cybernetics, approved for wide publication, the main features of cybernetics.
Later he found it in headed one of the country's first computing centers. In 1956, he wrote a book which talks about how computers can help model and regulate the Soviet economy.
This basic proposal, basically pointing out that computers can replace the tabulating machines that the Soviets already had for counting up economic data gained acceptance. In January 1959, Kytov wrote to the Communist Party Central Committee about this concept.
This first letter called on Khrushchev to speed the Soviet economy's adoption of the computer, especially for economic planning. He attached a copy of his 1956 book. This first letter probably also proposed uniting several of these economic planning computer centers into one big network, called the Unified State Network of Computing Centers.
Khrushchev probably did not see this letter, but it reached the right voices within the government and they supported all of his proposals, except for the computer center network. They adopted a resolution called the speeding and widening of the production of calculation machines and their application to the national economy.
Booyed by the successes, Kytov decided to push his aspirations a little further. In the autumn of 1959, he sent another letter in which he proposed the idea of installing large computers at local factories and government agencies. Then you can link these computers together. These automated systems of management, or ASUs in Russian, are reminiscent of local area networks and computer-aided manufacturer.
Kytov's dreams went beyond the local level. Ultimately, he proposed a future quote-unquote Unified Automated Management System that would serve the entire nation, both military and civilian. He called it an economic automatic management system, or EASU.
This system would be run using computer centers filled with powerful military computers buried deep underground for protection. The center would be accessible through terminals. Civilians can use those terminals to send data and use processing power.
Kytov saw this as a way to maximize the command economy's advantages of centralization. He would also result in immense financial savings for the country, replacing the Soviet bureaucracy's previous tasks of carrying out production. In addition to this bureaucracy-threatening idea, Kytov's letter also criticized several leaders within the Ministry of Defense for their slow speed in computer adoption.
As you might guess, this red letter has it is so called, never made it to Khrushchev. Instead, it reached the military, which did not appreciate Kytov's criticisms, as well as his suggestion of sharing its technology with mere civilians. As Kytov recalls in a later interview, the army will never occupy itself with fulfilling any tasks concerned with the national economy. A show trial was held in which Kytov lost his job, Communist Party membership, and his military honors. I suppose you might even say that he got cancelled.
Kytov was not executed, I mean this wasn't the Stalin days, so he spent the rest of his days advocating for a networked Soviet future. Kytov's fall temporarily stemmed networking's tide in the Soviet Union, but people kept tinkering with the concept. Over in the west, Kytov's idea of having computing power available to everyone caught on, companies like GE had a computer time-sharing service, and American Airlines and IBM worked together to build Saber, a private network for travel reservations.
In 1962, Soviet cybernetuses Aleksandr Karkevich proposed a national unified communications network that he described as like a railway network for storing and sending messages. Another prominent such individual was Viktor Mikhailovich Glushkov, then the head of the Kiev Institute of Cybernetics. He sought to create the aforementioned ASU's that Kytov detailed in his first 1959 letter. Glushkov hired Kytov as a consultant for this new project, and their kids even married one another.
In late 1962, Glushkov sent a letter to Krushchev, discussing the growing technology gap with the west and calling for the acceleration of Soviet computerization. Concerned as always with this gap, in 1963 the Soviet leadership approved research into the idea of economic reform through the use of these automated computer networks or ASU's.
Like I mentioned, the ASU's allowed mainframe computers to receive information about the industrial processes going on inside a factory. Like I said, this sounds a lot like local network factory automation. Throughout the early 1960s, Glushkov and his team studied how a system might automatically measure, receive and process information in a factory. In 1963, they visited many real factories throughout the Soviet Union.
There were some interesting successes, for instance they managed to have a computer system in Kiev control a steel-smelting factory in one Ukrainian city nearly 300 miles away, as well as a carbonization process in another city 400 miles away. But Glushkov wasn't just interested in factory automation and data management. He wanted to do more here, and thus emerged Ogas.
Ogas is a shortened abbreviation of all state automated system for the management of the economy in Russian. This in turn stands for all state automated system for the gathering and processing of information for the accounting, planning and governance of the national economy USSR. As originally conceived in the early 1960s, Ogas was ambitious.
He was structured as a hierarchy with three tiers. The first tier would be some 20,000 computer terminals and ASU's. The second tier has 100-200 mid-level regional planning decision systems, and finally the third tier rolls up to a central planner in Moscow. Glushkov even envisioned the computerization of currencies and money flows. His initial proposals for Ogas included a money list system of receipts over the network.
This idea was probably included in order to appeal to Krushchev himself, who might have appreciated the Marxist ideal of a money-free society, but party leaders advised him to drop it, which he did. In the early 1960s, Glushkov's Institute of Soviet Cybernetics were young and idealistic, like their peers over in the West, the envisioned a utopia enabled by technology.
The vision driving their Ogas project was to have a single computer network rationally and automatically plan, optimize and produce the country's national economy as dictated by the party's center. Each Soviet bureaucrat would have his work days and weeks planned out. The computer would produce detailed lists of their duties, the timetable, the chain of responsibility, and even the order in how their documents should be arranged.
To me, it brings to mind a nervous system. Think of the Soviet Union's factories and workers as like the human body, unable to move well together because of poor to a information transmission with the brain, Soviet leadership. Ogas sought to serve as the nervous system connecting the two, with it the brain can move the body in unison and with ease, coordinating output without concern about bureaucratic inefficiencies.
Such a system would have been the Soviet counterpoint to the Western capitalist view of a self-regulating market economy, computers would gather historical information and use that to rationally inform forecasts and production. The single biggest reason why this version of Ogas, first presented in 1964 never develop his plan, was cost.
This original vision with its three tiers and thousands of computer centers would have taken 30 years to pull off and cost a stupifying total of 160 billion rubles, or about 1.4 billion USD in 2016 dollars. Proponents argued that the cost savings would have paid off this investment, regardless that is more than both the Soviet space and atomic bomb programs combined. Second, the technology was not quite there.
The computers in the Soviet military had world leading capabilities, for instance computer networks with nationwide coverage and messaging switching. The civilian computer technology in the Soviet Union lacked far behind the military, and has previously demonstrated the military was very unwilling to transfer any of that over to civilians. Even if they did, those computers were too specialized and custom to be useful.
Third, and finally, various players also objected to the idea that they might be replaced by or have their work dictated to via a computer. This included both Communist Party bureaucrats and Goss Plan and industrial managers. People in the central statistical administration in particular recognized that the computer's quote-unquote objective collection of data would restrain their own power to control the flow of information within the country.
Worse yet, Glishkov's plans were all or nothing. If it was not delivered in whole, then none of its benefits can be realized. It would have required a complete reformation of the country's management system of revolution. 1964, the year of Glishkov's first proposal also softened new change in the country. Krushchev lost power, it was replaced by Leonid Brezhnev. Brezhnev eventually reversed many of his predecessors' economic reforms.
But the directive for an economic restructuring via computer remained on the agendas thanks to high-level backing from power brokers like Premier Alexei Kosegian. Goss Plan and the central statistical administration thoroughly rejected the project's utopian vision. They went back and forth on what the project would eventually be, eager to control its resources to further their own power.
In the end, if Ogas was to be implemented by the Soviet government, it had to eventually conform to the Soviet way of doing things. The Ogas of imagination could never happen, but what about something closer to reality? Then in 1969 came widespread news of Arpanet, the network we most closely associate has been the predecessor of today's internet.
Arpanet, going online, caught the Soviet leadership by surprise. That competitive factor helped move the Ogas project forward. With the Arpanet news in mind, Glishkov changed what Ogas was to do. This new iteration had Ogas has a universal information bank, accumulating and moving information between various national agencies.
So rather than running and controlling the entire economy like a human nervous system, this new Ogas would only organize and control the flows of data. Like a system of canals controlling the flow of water running between a country's reservoirs, he argued that such a management system would make the Soviet Union more efficient.
At a momentous meeting on October 1, 1970, Glishkov presented his new Ogas to the Polic Bureau in a dramatic meeting. For a brief moment it seemed like a Soviet internet could have happened. Several higher ups in the Polic Bureau spoke positively about the project. Hardliners like Mikhail Suslov did not say anything against the project, which was another good sign.
Soviet leaders Kosegian and Brezhnev were not present, often other business, but the former manager to convey his support through deputies. But the Ministry of Finance Vasily Garbazov, interested in recognizing that this new Ogas could command immense political gravity and potentially erode his ministry's power, he dismissed Ogas as a silly project good enough only to make hands lay more eggs.
He then proposed a far more conservative counter-proposal, dialing back the ambitious Ogas plan which won over the Polic Bureau. In the end the full Ogas proposal was neither fully accepted nor rejected, the worst type of existence. Throughout the 1970s several ASUs would be built in individual factories. How many is hard to tell?
One source says that about 100 were built between 1971 and 1985. Other sources contend that the Soviet Union built thousands of ASUs. However many there were, networking them would be impossible. They were built haphazardly and without thought to any standards.
The nationwide United Network of ASUs in the way Glushkov envisioned never happened. The approximate cause for why the Soviet Internet failed was bureaucratic infighting, various leaders and power centers throughout the country, objected to its capabilities and hijacked it for their own needs.
But the real reason why Glushkov's Soviet Internet could never take off was that it challenged how the Soviet Union ran things. You cannot separate an invention from its place and that place was just a couple decades away from implosion.