I think OP meant that Microsoft commoditized PC hardware through software, in other words by making Windows the thing that people wanted to have, and the hardware under it could be interchangeable.
Most people didn't care if they had a Dell or a Compaq, as long as it ran Windows.
So in this case: I don't care what hotel I stay in or who rents me a car, as long as I know that through Priceline I'm getting a good deal.
Re:Priceline now worth $100B
by dragontamer on Wednesday July 26, 2017 @05:33PM
(#14860576)
I personally didn't read it like that, but your interpretation makes sense. After thinking about it, I think your interpretation of the post is superior.
Yes, that's what I meant. Windows was a commoditizing force on PC hardware makers. Microsoft did the commoditizing here by taking their market power that came from controlling the thing people wanted most, and enforcing standards that hardware makers had to meet in order to reach the market MS controlled.
It's the same in travel, where the airlines and hotels are selling commodity products, and the high value is in the brokers people trust to select among the commodities. But the brokers here are also in still competitive positions, because it's still easy for consumers to switch compared to something like an OS or social network.
No. Tandy (aka Radio Shack), Dell, Compaq, and so forth commoditized PC Hardware.
Microsoft made the OS a commodity, reducing the cost of an OS from thousands of dollars to only $100. Android / iOS have done the same thing except reduced the cost to $0.
The hardware manufacturers don't make as much as the software guys. Because people and habits are tied to the software, not hardware.