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> Apple cannot prevent competition from arising outright, just as RIM could not, just as Microsoft could not. On the contrary, it is actively doing so. It does

by piaste 5y ago

> Apple cannot prevent competition from arising outright, just as RIM could not, just as Microsoft could not. On the contrary, it is actively doing so. It does so in the same way that Facebook prevented Instagram from becoming a competitor: https://en.wikipedia.org/wiki/List_of_mergers_and_acquisitions_by_Apple https://en.wikipedia.org/wiki/List_of_mergers_and_acquisitio... The tech giants have such warchests that they can afford to simply buy out any competitor that has a chance to compete with them. And unlike Cronus, they're unlikely to be deceived into swallowing an omphalos. > Do you really think that failing some public intervention Apple will be around in a century, undiminished? If it is, wouldn't that mean it is continuing to provide valuable goods and services people want? Is that belief of yours even falsifiable? Is there any observation that would make you conclude that a given company, despite being profitable in a free market, is nevertheless representing a net negative for the world? Or is it an article of faith for you that an unconstrained free market always leads to an eventually optimal equilibrium?

thegrimmest 5y ago
> it is actively doing so It is trying. Yahoo tried to acquire Google too, remember? Why take millions when you can make billions? Plenty of orgs refuse to be acquired because they see more money on the table by competing. > Is that belief of yours even falsifiable? Not per se, but history shows that even the most entrenched monopolies are very prone to disruption. I don't see any non-banks in the Fortune 100 that are over a century old. This almost proves my point since there is hardly any industry more entrenched by regulation than banking. > representing a net negative for the world? First we would have to agree on what "net negative" means, agree that our vision of what to do about it would improve the situation, and agree that we have a right to take such an intervention. Do you see where the problem is? > unconstrained free market always leads to an eventually optimal equilibrium Of course not, only that we the people do not have the right to dictate to other free people how they can peacefully, consensually, interact. Nor do we have the right to dictate to others the meanings of words like "negative" and "positive". All this does is diminish the freedom of everyone involved.
- piaste 5y ago
  > It is trying. Yahoo tried to acquire Google too, remember? The success rate doesn't need to be 100% for my point to be valid. WhatsApp and Instagram could very well have eaten Facebook's lunch. Now FB is being threatened for the first time by TikTok, why? Because they're a Chinese company and FB can't simply buy them due to Chinese regulations! Also consider this: in an idealised, perfect free market, every company is just barely breaking even, because as soon as they're making a profit it means it's possible to undercut them. (Bezos: "Your margin is my opportunity"). The existence of massive liquidity in the hands of some companies is itself evidence of inefficiency. > Not per se, but history shows that even the most entrenched monopolies are very prone to disruption. I don't see any non-banks in the Fortune 100 that are over a century old. Poor evidence, since antitrust action was very strong in the USA for most of the 20th century. > First we would have to agree on what "net negative" means, agree that our vision of what to do about it would improve the situation, and agree that we have a right to take such an intervention. Do you see where the problem is? Yes, people can disagree on what their preferred society looks like. That's the fundamental problem of politics. But that disagreement can include the exact value of freedom. I personally rate freedom very high, yet the restraint "if you manage to build a trillion-dollar company, you must not make it unnecessarily hard for others to develop better products than yours" sounds like a slam-dunk kind of sacrifice for the sake of a more efficient innovation-oriented market.
  - thegrimmest 5y ago
    > The success rate doesn't need to be 100% for my point to be valid. Yes it does. You were arguing that Apple can prevent competition from ever arising. This isn't the case, clearly. Yes of course there is inefficiency, I never said there wasn't. It would take a long time and a lot of money to build a mobile device as capable as an iPhone. That amount of time/money basically dictates how Apple can behave in the marketplace. If Apple triples its prices, for instance, competitors will become much more appealing both to users and investors. All of this profit is Apple's return on the initial investment of developing the iPhone and App Store. This was an existentially risky thing for them to do, and we should not hinder the profits brought about by its success, lest we discourage others from attempting the same. It's not at all clear that these regulations will create a more innovation-oriented market. It could well be that they will hinder innovation. Do you have any ideas on how we can tell for sure? I think we should be pretty confident before using regulation, don't you?

by piaste 5y ago

thegrimmest 5y ago

> it is actively doing so It is trying. Yahoo tried to acquire Google too, remember? Why take millions when you can make billions? Plenty of orgs refuse to be acquired because they see more money on the table by competing. > Is that belief of yours even falsifiable? Not per se, but history shows that even the most entrenched monopolies are very prone to disruption. I don't see any non-banks in the Fortune 100 that are over a century old. This almost proves my point since there is hardly any industry more entrenched by regulation than banking. > representing a net negative for the world? First we would have to agree on what "net negative" means, agree that our vision of what to do about it would improve the situation, and agree that we have a right to take such an intervention. Do you see where the problem is? > unconstrained free market always leads to an eventually optimal equilibrium Of course not, only that we the people do not have the right to dictate to other free people how they can peacefully, consensually, interact. Nor do we have the right to dictate to others the meanings of words like "negative" and "positive". All this does is diminish the freedom of everyone involved.

piaste 5y ago
> It is trying. Yahoo tried to acquire Google too, remember? The success rate doesn't need to be 100% for my point to be valid. WhatsApp and Instagram could very well have eaten Facebook's lunch. Now FB is being threatened for the first time by TikTok, why? Because they're a Chinese company and FB can't simply buy them due to Chinese regulations! Also consider this: in an idealised, perfect free market, every company is just barely breaking even, because as soon as they're making a profit it means it's possible to undercut them. (Bezos: "Your margin is my opportunity"). The existence of massive liquidity in the hands of some companies is itself evidence of inefficiency. > Not per se, but history shows that even the most entrenched monopolies are very prone to disruption. I don't see any non-banks in the Fortune 100 that are over a century old. Poor evidence, since antitrust action was very strong in the USA for most of the 20th century. > First we would have to agree on what "net negative" means, agree that our vision of what to do about it would improve the situation, and agree that we have a right to take such an intervention. Do you see where the problem is? Yes, people can disagree on what their preferred society looks like. That's the fundamental problem of politics. But that disagreement can include the exact value of freedom. I personally rate freedom very high, yet the restraint "if you manage to build a trillion-dollar company, you must not make it unnecessarily hard for others to develop better products than yours" sounds like a slam-dunk kind of sacrifice for the sake of a more efficient innovation-oriented market.
- thegrimmest 5y ago
  > The success rate doesn't need to be 100% for my point to be valid. Yes it does. You were arguing that Apple can prevent competition from ever arising. This isn't the case, clearly. Yes of course there is inefficiency, I never said there wasn't. It would take a long time and a lot of money to build a mobile device as capable as an iPhone. That amount of time/money basically dictates how Apple can behave in the marketplace. If Apple triples its prices, for instance, competitors will become much more appealing both to users and investors. All of this profit is Apple's return on the initial investment of developing the iPhone and App Store. This was an existentially risky thing for them to do, and we should not hinder the profits brought about by its success, lest we discourage others from attempting the same. It's not at all clear that these regulations will create a more innovation-oriented market. It could well be that they will hinder innovation. Do you have any ideas on how we can tell for sure? I think we should be pretty confident before using regulation, don't you?