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Demand for a product increases when the prices of its complements decrease. For example, demand for mobile phones increases as the price of mobile OSs and appli
by cs702 4y ago
Demand for a product increases when the prices of its complements decrease. For example, demand for mobile phones increases as the price of mobile OSs and applications declines.
To maximize demand for a product, make its complements free. For example, to maximize demand for mobile phones, make the operating system free and add a growing number of built-in default apps for free.
Surely, Amazon is thinking along these lines. Which Amazon products/services benefit from all the free code Amazon is contributing/releasing? AWS.
See also: https://www.joelonsoftware.com/2002/06/12/strategy-letter-v/ https://www.joelonsoftware.com/2002/06/12/strategy-letter-v/
- m463 4y agoI don't see software <-> aws as complements like windows <-> pc, because this software doesn't necessarily need aws like windows