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Why? Amazon already has a great and successful business model, why not focus their efforts on expanding this model rather than trying to compete with Microsoft
by vivekd 10y ago
Why? Amazon already has a great and successful business model, why not focus their efforts on expanding this model rather than trying to compete with Microsoft in an area where Microsoft has domain and market mastery? Say what you want about Microsoft, office is ubiquitous, their products are everywhere - so why spend money, time and effort trying to beat them at their own game rather than trying to expand their own core business.
- chillacy 10y agoI once heard this theory: that companies release a free product in another area (subsidized by their core business) in order to interfere with the monopoly of another company. For instance Google makes their money in search ads and has a free office suite and operating system. Microsoft makes their money from their office suite and OS, and undercuts google with Bing. Bing/Google Docs never really have to be #1, they just has to take enough market share that the other company can't ignore it when it comes to pricing.