This is to explain the Canada Does Not Exist
Basically it's one with a surviving British Empire which later became a republic and in which America never became independent. So they had a President, British money, American-twinged accents due to migration within the former Empire, and somehow set up the new capital in New Zealand as its far enough away not to be easily invaded in time of war. It's colloquially called "The City" simply because it's so important no-one needs to refer to it by its actual name.
Somehow the Alien Space Bats
made sure this alternate world at least superficially resembled our own.
The Technos' advanced technology was salvaged from a secret military research facility.
Ram might be a demented Teen Genius
but there is no way he and the other Technos could have come up with advanced virtual reality and the zappers all by themselves with what limited resources were available to them; there is no way they could run that on civilian 1990s computers either. It is way
too advanced for that.
Zoot is a demonic entity that possessed Bray's brother Martin.
Martin opened himself to Zoot's influence, taking on its persona, after the inability to cope with the death of his father, giving him a way of coping with the breakdown of the old world. After Martin's death, the entity Zoot's influence continues to haunt the City forever after, from the Chosen to Ebony's artificially-induced visions to Ram's AI in Zoot's likeness.
Season 5 is a Shout-Out
to post-9/11 conspiracy theories.
As it was made in 2003, it's late enough for this to work.
You have a militant group of religious extremists (the Zootists) and Mega and the Technos seeiking to exert more and more control measures (via technology) with the excuse of counteracting the threat they pose. Does This Remind You of Anything?
The fact that Mega even goes so far as to force everyone to wear barcodes on their wrists is reminiscent of earlier theories which claim that barcodes were a precursor to the "Mark of the Beast".