 A Case Study for Crime & Globalization To understand the rise of globalized crime in Myanmar, Laos, and Thailand, or the "Golden Triangle", it is important to account for the region's history of hosting organized crime syndicates. Many choose this area to cultivate and smuggle drugs due to the region’s advantageous geography. The area’s steep and mountainous terrain provides ideal conditions to cultivate the opium poppy, and the modern globalized economy has incentivized further production. By some estimates, the trade is a USD $60 billion industry, with global demand increasing due to the collapse of the Afghan opium poppy industry in 2021. Over the course of several years, opium traders began to expand illegal activities into other economic sectors, particularly the gambling industry. However, gambling, once a key source of income for criminal groups, declined precipitously during the COVID-19 pandemic as gamblers could no longer travel to criminal-run casinos. As these syndicates saw their profits decline, they changed their priorities. Casinos and hotels that closed due to the COVID recession were repurposed into virtual work camps. Since digitization expanded globally during the pandemic, this proved to be highly profitable. Post-pandemic, the wealth of these non-state criminal groups has grown exponentially, thanks to an increased market for both labor procurement and potential victims.  Image Source: Golden Triangle | History, Tourism, & Facts | Britannica Interpol estimates that the profitability of scam centers is very pronounced, generating approximately USD $3 trillion annually in Southeast Asia. Scam centers have also begun to account for large proportions of economic output in these nations, with one 2024 study suggesting that scam centers account for 40% of the combined GDP of Cambodia and Myanmar. This evolution has demonstrated the real capability of non-state actors in taking advantage of a more globalized world system. By removing physical barriers and expanding into cyberspace, criminal enterprises have greatly expanded their reach, gaining powerful allies due to their newfound revenue. Many of these scam centers receive robust backing from the state. Amnesty International raised accusations against the Cambodian government, alleging complicity in a system of coerced labor. Of 53 alleged scam centers on Cambodian territory, only 2 appeared to have been shut down by authorities. Cambodia wants to display a positive exterior to the outside world and demonstrate that it is operating in good faith, however they intend to keep up this profitable arrangement between the ruling party’s inner circle and criminal groups. Facing a massive proliferation of crime lords and coerced labor within its territory, Cambodia appears at best incompetent and at worst complicit in this process. For instance, some SEZs appear to be owned and operated by individuals within the inner circle of Hun Sen, the de facto ruler of Cambodia. Utilization of the Global Digital Economy Globalization has been vital in recruiting many of the workers in these scam centers. Social media and other new online recruitment technologies have been vital in globalizing the world economy today. However, in doing so, they have also allowed criminal enterprises to expand their recruitment beyond the confines of borders. This success can be reflected in the demographics of scam centers, where hundreds of thousands of forced laborers have origins from across Asia, Africa, and beyond. In one case, a single area in Laos, which accommodated numerous scam centers, had 70,000 Chinese nationals working within the area, and plans for further development aimed to contain over 300,000. The profitability of these scam centers through exploitation of labor is further augmented by oppressive work environments. Multiple survivors, in many cases working 16-19 hours daily, have recalled that individuals who fail to meet a certain quota of revenue via scams often are tortured or have their organs harvested. These laborers also tend to be highly educated, allowing criminal organizations access to invaluable human capital. According to a 2026 Office of the United Nations High Commissioner for Human Rights report, around 58% of captive workers had completed a graduate degree, and around 16% had some college education. Furthermore, over one in five had over 10 years of work experience, and almost one in three had 6-10 years. These skilled workers could not have possibly been reached or contacted without globalized communication being a factor. The owners of scam centers have also utilized new globalized communication and digitization to reach their victims. Trafficked individuals in scam centers are forced to engage in activities, like impersonating individuals on dating sites, to receive money from other users. Another common method of defrauding others is the "pig butchering" scam, which involves establishing a degree of trust with the victim and revolves around an "investment opportunity" acting as the impetus. Cryptocurrency has likewise been extensively utilized, with many funds being diverted through the use of crypto wallets, and fake cryptocurrency investment platforms securing revenue from unsuspecting victims. Furthermore, generative AI has been a growing tool for these criminal syndicates to expand the scope of their labor recruitment, and even their victims. Many features offered by AI that have been useful to scam centers include deepfakes intended to impersonate individuals, script generation, and content translation. A more integrated global communications landscape may have economic benefits, however it has clearly exported the risks of online fraud worldwide. The United States alone reported USD $10 billion in losses in 2024 from scam centers. Globalization has allowed for the national origins of possible victims of fraud to also vary widely, expanding the target market of criminal syndicates. The weaponization of globalized networks by scam centers has not been the only factor in scam centers’ growth. Economic globalist policies implemented by Southeast Asian nations, including targeted investments in areas with high concentrations of scam centers, have also played a role in the steadily increasing influence of criminal enterprises in the region. Globalization and Economic Policy In order to gain a competitive advantage in an increasingly globalized world, many Southeast Asian nations have sought out strategies to differentiate themselves from other nations, such as promoting more business-friendly economic policies. Through the introduction of Special Economic Zones (SEZs), countries in this region have inadvertently attracted scam centers due to their lack of regulations. According to the World Bank, SEZs are used by three-fourths of developing economies. While SEZs can encourage Foreign Direct Investment (FDI) and can offer governments a controlled, pilot environment to test economic policies, in the case of Southeast Asia, many have descended into lawlessness, and their relaxed regulatory atmosphere has only served to allow criminal groups more agency in conducting their operations. Conclusion Despite the efforts of some multinational authorities, scam centers have hardened their resolve to continue their far-reaching operations. The global economy, while increasingly becoming globalized and digitized, is also more vulnerable to malicious actors who have not only backing from authoritarian governments, but also the ability to exploit digital infrastructure and procure coerced labor. These criminal enterprises have laid bare the vulnerabilities of our globalized world. Although it has never been easier for people to migrate for work and interact with the outside world through the use of technology, this interconnectedness has also allowed organized crime to use coerced labor on a massive scale and bring in immense capital from a new, digital dimension for criminal activities. Jackson Kvam is a first-year undergraduate student at the Jackson School of International Studies.
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