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This is also basically how oil companies were started in the 19th century but it hasn't been possible to do it in that market for at least 80 years. We might w
by crdoconnor 9y ago
This is also basically how oil companies were started in the 19th century but it hasn't been possible to do it in that market for at least 80 years.
We might well have seen the last web/consumer tech behemoth that was 'started in a basement' too. The market is simply far too concentrated these days. The ability to quickly disrupt a behemoth certainly isn't a permanent state of affairs for our industry.
- SimbaOnSteroids 9y agoThe thing is Musk is making a run at taking on the oil companies by cutting into their energy markets with solar and batteries.
- dkrich 9y agoI think this mostly has to do with barriers to entry. 15 years ago it was orders of magnitude more difficult to launch a business online than it is today so there was far less competition. But it's important to remember that it was much more difficult. If you look at it that way, there are always emerging areas that have little competition because they are so difficult. So if you had the ability to and were smart enough to create an innovative product in your basement, I think you absolutely could grow it into a behemoth. Starting a computer company today would be very difficult and costly. Starting a computer company at a time very few people understood them or knew how to build them would be a lot more feasible if you were an expert (Woz). Companies get disrupted by companies that are almost by definition starting in a seemingly completely different area.
- d_burfoot 9y agoGood point. Origin story of most oil companies is basically this: OILCO: Hmmm, we've got this strange sticky black flammable liquid bubbling out of the ground. Let's sell it as a fuel.