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A comment on Using network effects (not patents) to build defensible software.

Re:Using network effects (not patents) to build defensible s... by xg15 on Wednesday April 18, 2018 @04:34AM (#16865711)
I don't agree with this being an "oft-overlooked" method - this seems to be the no. 1 strategy every tech startup is trying to do these days.

Which is why I now need an account to play games or work with photoshop, why we have "smart" light-switches that need to talk to their platform to turn on the light half a meter away and why there are half a dozen isolated messenger services instead of a single federated protocol (not even starting with "smart home" systems).

However the article is a good summary of all the reasons that will cause companies to pursue network effects and the signs you can watch out for to spot them.

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Re:Using network effects (not patents) to build defensible s... by sharemywin on Wednesday April 18, 2018 @09:56AM (#16867398)
I think most of these companies are missing the exponential increase in value for users. And most seem to bundle a lot of other crap with their network effected product which probably dilutes its value even more.
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Re:Using network effects (not patents) to build defensible s... by askins4trouble on Wednesday April 18, 2018 @10:32AM (#16867679)
Completely agree with this!

And I think a lot of people look at network effects right now primarily as a growth lever, but wouldn't think to use them (when they're working) as an argument with investors that their product is defensible.

[ Parent | on HN ]