It's entirely rational behavior. Once a business adopts a technology, they will almost never switch to a different vendor, because the product gets deeply integ

It's entirely rational behavior. Once a business adopts a technology, they will almost never switch to a different vendor, because the product gets deeply integrated into their business processes. Think about how often you switch your bank -- an enterprise switching vendors for any software that touches their core systems is much more complex. So, if you're in a rapidly growing market where there are a lot of competitors, it makes sense to spend as much money as you need to to capture market share, because if your competitors get there first, you'll almost never be able to win a customer away from them. It's not a network effect -- getting GM as a customer doesn't help you get Ford as a customer, but once you're the software that GM uses for end-of-year performance reviews, for example, you've got that revenue for 10+ years. In consumer, the dynamic is the same, but instead of switching costs that are high, it's attention costs. A business looking for PDF generation software will find and evaluate 10 vendors -- a consumer looking to play The Doobie Brothers will use whatever music app they heard about from their friends, so there is a superlinear bonus to being at the top of the market.