»The Matrix was created for the benefit of humans«

The "Matrix" is Good.

My personal Matrix theory is that the Matrix was created intentionally for the benefit of the humans. In the first movie, the traitor wants to be re-assimilated back into the Matrix. Why? Because if you can't tell the difference, what difference does it make? It essentially does not matter if a person is in or out of the Matrix if its "reality" can not be distinguished. If life is better in the Matrix, then it makes no difference whether one is in or out. In fact, life might be preferable inside the Matrix, and that was the point made by the traitor in the first movie.

Also, as you noted, the movies have a heavy Buddhist influence. Zion could very well be the real world and allow Neo to manifest his powers from the Matrix. In Buddhist thought, all things are empty and insubstantial. The Buddhist concept would say that the real world is no more real than the Matrix. Also, the Merovingian's dialogue on cause and effect is a strong Buddhist statement. All things are
empty (un-real) because they are dependent upon something else. All things are effects. The world is a composit of items (including you and me) which have been caused by something else, and as such are in Buddhist thinking insubstantial. All things change, and nothing remains the same. Only that which is permanent, unchanging and without cause or origination could be called truely "real" in Buddhist thought. Nothing in the real world or the Matrix fits this description.

So, why was the Matrix created? I think to save humanity from its own destruction. If the world has a black sky, then it is incapable of sustaining life on par with how it did so before the great war. The matrix would then be a preferable alternative to life in a desolate post-apocalyptal world. Also, if the Matrix world was destroyed, what would have died? Nothing, only a program. The Martix was designed to provide humanity with an alternative living environment, controled and moderated by programs. The Oracle seems to have no quarrel with the matrix itself, but simply states that when things do wahat they are supposed to do then things are fine. She helps

Neo because some things in the Matrix are not functioning according to their purpose.

Also, follow the theme of purpose and intention in the film. No posts or discussions really talk about this, but it's the #1 key theme throughout the whole movie. What is the purpose? Why do we do what we do? Neo has great powers, but has he yet stumbled upon his purpose?

I initially had the same viewpoint until seeing the Animatrix. The Wachowski's referred to the period of the Second Renaissance as the time when man's creation of the machines became his undoing and 'became the architect of his own destruction.' With the onset of the Man-Machine War, man was forcibly incorporated into what eventually became the first human-powered generator. It appeared that when the vicitms were intially plugged in, it was a living hell. Thus, the life span of those first victims probably were extremely shortened from the stress and not very efficient as a power production source. Thus, to improve effeciency, the Matrix was created as a means to pacify the minds of the power cells.

With everything happening in three's -- Trinity, three agents, three captains going out to attack the Source, we are about to see a Third Renaissance. Man and machine will co-exist as one.

I had the same theory .
Why would the machines try to kill the humans that get out of the Matrix then ? To benefit the well being of the majority . Remember than 99% of the test subjects accepted the program . I think there was a vote and the majority of the people decided to be in the Matrix as long as they had a choice to get out of it ( a choice that is not really a choice ) . But if people start exiting the Matrix , it would jeperdize the well being of the majority which of course cannot happen because of majority rules .
I have to watch the Animetrix again !

I am a yoga teacher, buddhist and amateur philospher and want to offer another possible answer to "What is the Matrix" - not that I really want it answered...

The Matrix could be a method of "machines" to find the holy grail of AI - the soul. Love, choice, free-will, etc... are soul funtions. I think this is the real reason the machines have kept humans alive at all. I think that Neo is a human with inserted code. It is this code that the machines are interested in. Once a machine can become human (to become the creator), then humans (without flesh) become immortal. The Hindu/Buddhist thought is that nirvana/moksha is the escape of rebirths - or samsara - how better to escape than by merging machine and human into one. I think that Smith is the virus implanted by outside humans resisting this project (it is the systemic crash that the architect was referring) of machines becoming human (they still fear them). Morpheus is a human, but realizes that Smith is fighting for us - not neo. Neo represents the evolution or revolution - machines with souls.