"Supply side economies of scale" - Google must enjoy extraordinarily low costs per hardware, given the sheer amounts they keep. Based on their volume, their dis

"Supply side economies of scale" - Google must enjoy extraordinarily low costs per hardware, given the sheer amounts they keep. Based on their volume, their discounts must be at least around 90%. I wouldn't call that a "reasonably small scale". "Lock-in" / "Network effects" - I would argue that both come into play by the sheer fact that almost all web sites are being optimized towards the way Google's algorithms (are supposed to) work.