Thursday, March 03, 2011

The Apple strategy tax:

This tension between being a platform owner and also trying to build new businesses on that very same platform is another thing that Apple shares with Microsoft. But Microsoft is also a perfect example of how this strategy can seemingly succeed (Windows won the war for the desktop and Microsoft's applications came to dominate the Windows platform) while blinding a company to the long-term failure scenario (a lack of competition allowed Microsoft's products to stagnate, and the next round of innovations happened someplace other than the Windows platform).