dweinberger
(Note: I'm taking Google Alerts & Ego Salve as an ironic agent of Ted Nelson's concept of intertwingularity.)
Remember that in 1999, the Web wasn't as mainstream, and many users felt that being on the Web was a special experience. There was an "us vs. them" feeling, where the "us" were people enthusiastic about the Web and excited about how it was (we thought) transforming our lives, our culture, and our institutions. So the clues were absolutely not for our readers who, we assumed, were part of the Web "us," but for the media and businesses who weren't on the Web or weren't part of the Web culture, and who yet were attempting to impose their understanding upon it.
Now the Web has become such an accepted part of everyone's lives in our culture that it doesn't feel nearly as much like Us vs. Them. I think that explains why the Manifesto now reads as condescending, whereas at the time it was taken (at least by the readers who liked it) as an articulation of what they already felt.
I share your less than optimistic fears. But one of the hopeful things about the Net is that large centralized players can co-exist with decentralized sites and services. The long tail does not get the attention that the short head does (by its very nature), but there will always (?) be lots of creative work and lots of meaningful connections being made there.
In addition, markets are far far far more conversational than they were before the Net.
But, yes, in 1999 we did not predict the degree of recentralization and corruption that would occur.