6 ms·
That's am understandable perspective but wouldn't this more or less apply to any product any large company is selling as part of a bundle? e.g. selling Word/Ex
by Wytwwww 2y ago
That's am understandable perspective but wouldn't this more or less apply to any product any large company is selling as part of a bundle?
e.g. selling Word/Excel/PowerPoint together is hurting any start-up that might want to enter the document processing/spreadsheet/etc markets? Free browsers killed the entire market that was starting to appear in the 90s etc. etc.
Should office suites be banned? Should Adobe be only allowed to sell subscriptions/licenses for individual apps?
At the end of the day it should only matter if Microsoft's practices are hurting consumers rather than their competitors.
- swores 2y ago> At the end of the day it should only matter if Microsoft's practices are hurting consumers rather than their competitors. On the one hand that's a broadly reasonable goal, however the point of having laws preventing anti-competitive behaviour is founded in the logic that one company unfairly preventing there being competition from other companies is in itself a form of consumer harm due to the fact that it both prevents consumers from having choice, and also therefore in the longer term allows the monopolistic company to raise prices without consumers having any option other than to pay more or go without. So in reality the harming or competitors can be considered the harming of consumers.
- ThunderSizzle 2y agoHowever, this is an interesting problem. By nature of competition, every customer a competitor takes is a customer missed. So when is competition anti-competive? In the story above, a competitor to Teams couldn't "keep up". Is that really Microsoft's problem? Should Microsoft have made Teams more useless, more expensive, or less integrated so that competitors that couldn't make their own cheaper or better version had a chance to keep getting customers?
- linuxandrew 2y ago> In the story above, a competitor to Teams couldn't "keep up". Is that really Microsoft's problem? Should Microsoft have made Teams more useless, more expensive, or less integrated so that competitors that couldn't make their own cheaper or better version had a chance to keep getting customers? Well, they should at very least make Teams interoperable like every other goddamn service should be - or be forced to do so.
- Perseids 2y agoMarket concentration is really the underlying problem. Microsoft should never have been allowed to buy GitHub. Microsoft Windows should have long been split into a separate company to Microsoft Office etc. If there wasn't this one gigantic business, then whichever smaller business made Teams would have a much more equal footing with other competitors, as they would not be at an unfair advantage for integration into other currently-Microsoft-owned products as well as the aggressive bundling Microsoft does with Teams.
- ThunderSizzle 2y agoThe number of anti-Microsoft people that still use Github is astounding to me, and then just blame Microsoft for buying it. At some point, if people want an alternative to Github, perhaps it starts with people not using Github and switching to alternatives. Honestly, it would seem people like market concentration. I don't think people like having to use multiple repository management websites. However, I do wish it was centralization in experience over a federated system, rather than what we have noe. e.g. a "source control browser" that normalizes github, bitbucket, sourceforce, sourcehut, etc. into a single seamless interface. But even that doesn't seem to be high on anyone's list.
- godzillabrennus 2y agoNetwork effect. Especially for open source. The thinking is basically that GitHub is where developers find your project so if you don’t use GitHub you won’t find developers.
- vips7L 2y agoI think this ignores just how much better GitHub is compared to its competitors — at least from my experience of using bitbucket at work. GitHub rightfully should have more market share.
- swores 2y ago> "The number of anti-Microsoft people that still use Github is astounding to me, and then just blame Microsoft for buying it." Voting with your wallet (or with your attention & time for free things) makes sense if there's an alternative you can choose that's as good as the one from the company you dislike, or if you consider the impact on you of any deficits in the alternative to be less important than sending a message by voting with your wallet/time. But it's completely understandable, and very common, for people to be in a situation that while they want to boycott a company/product because of how they act in some way (from software UI decisions to using child labour in sweatshops to...) but are faced with the choice between using/buying one of their products or suffering from what they consider to be a significantly worse and/or more expensive product. And if you wish that one or both of Microsoft selling / giving away Github, or MS changing how they run Github, would happen, then why not publicly express blame in the hope that enough similar complaints build pressure, regardless of whether you're avoiding it or feeling you need to use it? (Personally I don't feel I use Github enough to be a useful voice on how MS have handled it since the acquisition, but I feel like many people have expressed being pleasantly surprised that they've broadly let Github be Github, at least compared to worst-case fears of how much they might try to make it more Microsofty.)
- SkiFire13 2y agoMicrosoft forced anyone wanting to buy the Office suite to also buy Teams. That's actively harming customers, because they didn't get the choice to pay less and only buy what they wanted (which is just Office). Once customers bought Office+Teams the cost of using Teams is 0, because they paid for it. How can competitors make a cheaper product then? You can't get cheaper than that! Even if someone wanted to use your product they most likely would still have to pay for Teams by buying Office.
- Wytwwww 2y ago> Microsoft forced anyone wanting to buy the Office suite to also buy Teams True, but that also applies to every other single app and service that they are bundling with the subscription. I only want Excel but I'm also forced to pay for PowerPoint. And how deep should we go? Should they be forced to turn Edge into a paid product you have to buy separately? They crippled if not outright killed the consumer anti-virus industry by starting to bundle Windows Defender/(whatever it's called)? That certainly wasn't fair to McAfee/Norton/Kaspersky/(any other shovel ware provider) but did it hurt consumers? One might argue this would also apply to [File] Explorer and every other basic app. How is the situation with Teams at all different and where exactly do we draw the line?
- lesuorac 2y agoWhen it's a separate application I think the line has already been drawn. I don't think you should have to turn Edge into a paid product similar to how I don't think grocery stores should be forced to charge you if you use a shopping cart. If Microsoft wants to include Windows Defender for free but if they're increasing the cost of a Windows License to accommodate that development effort then it's not ok. Microsoft can offer you a volume discount for buying say Excel + Word + X but bundling is anti-competitve (see every complaint about TV bundles ever).
- ThunderSizzle 2y agoBut bundling exists everywhere. Why is Microsoft the only offender? Like you pointed out with cable, if I want just Disney Kids on cable, I need to buy all of Disney's channels, including ABC, etc. This is because that's how the cable provider has to buy it from the networks. Why aren't they being told they have to unbundled channels from each other? I can't pay per view sports games - they offer subscriptions that bundle the entire season. The NFL is the worst on this. Why can't I just pay a few bucks to watch one game? It seems like if bundling Teams with Office is that big of a deal, then customers should stop using Office, and use a competitor, just like I avoid cable.
- SideburnsOfDoom 2y ago> Should Microsoft have made Teams more useless, Hard to see how. MS could devote resources to making MS Teams more useful, but they don't have to, so they don't. It's not competing with Slack on features and usability or fun. It's competing with Slack on "you get a chat app and hey, it's free (with office)" and that makes the board happy.
- ThunderSizzle 2y agoI dont disagree with that. Honestly, I think chat should just go away in favor of emails and meetings (and meeting minutes). I've had too much business knowledge disappear into the Slack or Teams void that I can never get back.
- ClumsyPilot 2y ago> In the story above, a competitor to Teams couldn't "keep up". Is that really Microsoft's problem? If Microsoft start providing kickbacks and bribes to CTOs for choosing Microsoft, many competitors won’t be able to keep up. Is that Microsoft’s problem? No, it’s our problem. We get to decide what they are allowed to do, whats fair and what isn’t.
- cujaneway 2y agoIs hurting competitors not the same as hurting consumers?
- Wytwwww 2y agoCompanies intentionally trying not to hurt their competitors can't really be described as anything else than a cartel (even if it's not explicit) that's almost invariably horrible for consumers (.e.g. telecom companies, banks, etc. in many countries). Ideally you always want to see companies trying to run their competitors out of business by undercutting them and offering better products at lower prices. The issue when the playing field isn't level e.g. what MS is doing here is basically predatory pricing. But even then it's not exactly clear cut, e.g. did Uber running out many taxi companies out of business (or destroying their profit margins) was a net-negative or a net positive to consumers?
- rkuodys 2y agoNet negative. Long term it's gonna be net negative due to lower competition, as now there are usually only 2 players in town. Inevitably they are going to raide prices for customers and reduce earnings for drivers
- Wytwwww 2y ago> Net negative Compared to taxis? Well I guess it depends on where you live, but I wouldn't' generally agree. It's also a highly commoditized market with little real barriers to entry (at least on the local level) and drivers/users can pretty much instantly switch to a different app so I think it will be reasonable hard for Uber/etc. to do that without someone undercutting them. > due to lower competition Still better than no competition and prices being set by a legal cartel (i.e. how taxis worked/work in many places)
- Perseids 2y ago> At the end of the day it should only matter if Microsoft's practices are hurting consumers rather than their competitors. Focusing on short term repercussions for consumers has significantly hurt long term consumer interests and there is evidence that it hurt the economy in general. In the decades preceding the 1980s it was generally understood that competition itself is a necessity for effective free markets and that extreme power concentration (as we e.g. see today in the IT sector) is hard to reconcile with efficient markets and political freedom. See [1] for details, here is an excerpt: > An emerging group of young scholars are inquiring whether we truly benefitted from competition with little antitrust enforcement. The mounting evidence suggests no. New business formation has steadily declined as a share of the economy since the late 1970s. “In 1982, young firms [those five-years old or younger] accounted for about half of all firms, and one-fifth of total employment,” observed Jason Furman, Chairman of the Council of Economic Advisers. But by 2013, these figures fell “to about one-third of firms and one-tenth of total employment.” Competition is decreasing in many significant markets, as they become concentrated. Greater profits are falling in the hands of fewer firms. “More than 75% of US industries have experienced an increase in concentration levels over the last two decades,” one recent study found. “Firms in industries with the largest increases in product market concentration have enjoyed higher profit margins, positive abnormal stock returns, and more profitable M&A deals, which suggests that market power is becoming an important source of value.” Since the late 1970s, wealth inequality has grown, and worker mobility has declined. Labor’s share of income in the nonfarm business sector was in the mid-60 percentage points for several decades after WWII, but that too has declined since 2000 to the mid-50s. Despite the higher returns to capital, businesses in markets with rising concentration and less competition are investing relatively less. This investment gap, one study found, is driven by industry leaders who have higher profit margins. [1] https://archive.is/HEik3#selection-1737.0-1737.346 https://archive.is/HEik3#selection-1737.0-1737.346 (original: https://hbr.org/2017/12/the-rise-fall-and-rebirth-of-the-u-s-antitrust-movement https://hbr.org/2017/12/the-rise-fall-and-rebirth-of-the-u-s... )
- Wytwwww 2y ago> preceding the 1980s it was generally understood that competition itself is a necessity for effective free markets and that extreme power concentration (as we e.g. see today in the IT sector) Yet Bell wasn't broken up until 1982 so I'm not sure if it was a such a turning point. IMHO allowing AT&T's monopoly to exist for that long was much more detrimental to consumers than whatever MS, Apple and other tech companies are doing these days. But yeah I certainly overall agree that competition has generally been the driving force behind most of human progress and economic growth at least over the last few hundred years. It's just not entirely clear what measures should governments use to maximize the competitiveness of markets without introducing inefficiencies and costs that slow down economic growth and technological progress (while not providing that many benefits to consumers either).
- antifa 2y ago> At the end of the day it should only matter if Microsoft's practices are hurting consumers rather than their competitors. MSTeams hurts users 24/7 around the clock.
- SideburnsOfDoom 2y agoAgreed. No company settles on MSTeams because it's good. They use it because it's effectively free (1), and Slack is not. It doesn't have to be good. And so it isn't. 1) Free with existing MS Office licences.
- doron 2y agoIt's hard to argue that Slack is significantly better; it got increasingly messy over time. It's not that teams are better; the alternative isn't.
- indoordin0saur 2y agoAs someone who uses both I still contend that Slack is superior. The messiness seems to come from too many channels being made and needs to be actively pruned by management and company practices around Slack need to be communicated to employees.
- SideburnsOfDoom 2y agoWhen I changed from a Slack-using employer to a MS Teams-using employer around 2 years ago, I found it impossible to argue that the usability of MS Teams was even close to the usability of Slack. Slack was significantly better in this regard. MS Teams had better integration with some other MS services such as OneDrive. That's obviously going to be so, that's what it's for.
- darknavi 2y agoWe use Slack for text comms and Teams for video meetings. Seems like a decent balance, Slack video calls seems very unpolished compared to the Teams video experience.
- giancarlostoro 2y agoThe issue is a ton of companies already had Office subscriptions. Versus Teams being an added cost, so its a no brainer to just go "Well why the heck do we need Slack if we are getting Teams at no additional cost?" and now any startup in said space is competing against Office proper, which is a losing battle and a lot of added requirements to get your product off the ground. If I were Microsoft I'd reconsider bundling Loop, since it's going to disrupt tools like Notion. I mean, why would I bother using Notion, if I can just use Loop? : - )
- croes 2y agoI think the real problem is that MS can cross-subsidize its Office bundles. I doubt the price covers the costs, especially after they added Teams. Kill the competition, raise the price. G-MAFIA/FAANG playbook
- hellojesus 2y ago> I think the real problem is that MS can cross-subsidize its Office bundles. Wouldn't this apply to any company that sells more than one product or service? Amazon uses Aws margins to subsidize a bunch, including r&d. A lot of biotech companies use profits from one drug to subsidize bad sales in another trying to break into the market. > Kill the competition, raise the price. G-MAFIA/FAANG playbook This is a solid business strategy, but it also falls prey to entrants back into the market when the large player raises its prices.
- ClumsyPilot 2y ago> wouldn't this more or less apply to any product any large company is selling as part of a bundle? That’s absolutely the basic idea of antitrust. Using dominance in Market A to get advantage in market B