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Just because Google and Amazon are (newly) competing in a space doesn't mean that space will ever be profitable.
by debacle 12y ago
Just because Google and Amazon are (newly) competing in a space doesn't mean that space will ever be profitable.
- onion2k 12y agoI think it's likely that the space will be profitable for Amazon and Google. They work at the sorts of scales where you can make a decent business even with a lifetime value of pennies for each customer. Doing a startup that doesn't have that sort of scaling advantages is a very different proposition - anyone thinking that this is the same idea as Kozmo hasn't really thought about it very hard.
- smacktoward 12y agoIndeed -- in fact it may meant that it can't ever be profitable, and thus is only practical for large companies who make their revenue elsewhere to use as a loss leader.