The term strip mine is a loaded term. In the classical sense, it devastates the ecosystem while extracting resources that are impossible to replace.
In fact, Silicon Valley does not do that. People aren't going to stop needing transportation because Uber used up all the transportation, and it won't stop needing places to stay because AirBnB lets you rent out your apartment.
> SV is a colony of capital B business
What is a capital B business as opposed to a lower case b business?
Where is the Xerox PARC of 2018? Why isn't there one? We have more computing power and are economically (as a whole) better off than at any other point in history.
At some point, you have to start aiming for the moon again.
Edit: capital-B business to me is the ultra-aggressive dominate-everything mindset that seems to corrupt a lot of people.
You're talking out of both sides of your mouth now. Strip mining usually means something that destroys a natural resource.
You were originally talking about how Silicon Valley "strip mines a particular domain." That implies that it's strip mining other industries, such as hire for ride, etc etc. You could almost argue that they strip mined animation and movie special effects because they took profits from manual animators and movie prop creators.
I fail to see how Silicon Valley is "strip mining" tech. (Btw, something different from what you previously implied) They're grabbing low hanging fruit, but they're not ruining the resource for everybody else.
Also, to address your last point, the economies of scale are such that at this point, if you don't dominate a market, at least locally, you're dogmeat.
SV is a colony of capital B business, and they keep the makers around because they have to.