One commonly-overlooked disadvantage to releasing early is that it may hinder your ability to construct a barrier to entry. It's true that many people spend too

One commonly-overlooked disadvantage to releasing early is that it may hinder your ability to construct a barrier to entry. It's true that many people spend too much time worrying about competitors, but the fact is that if you build something successful, competitors will arise. It's important to understand and make use of the aspects of your company that other people will have trouble emulating, as they can potentially result in a much bigger head-start than simply releasing early. (Disclaimer: If your company is such that the best barrier to entry to can construct is a large user-base, then releasing early makes a lot of sense.)