Re:The drivers of big tech’s growth are losing momentum
by zby on Thursday June 06, 2019 @03:45AM
(#20112395)
I agree that they do unlock some economic potential - but still they are just user interfaces. They don't own any of the physical facilities and they don't do any sophisticated computations - all they do is matching offers and that is just user interface.
User interface is not rocket science. They did unlock some economic potential and they have been rewarded for this - but the equilibrium state is when return on investing in Uber and investing in a physical facility (a car used as taxi or for Uber) is the same. An app (Uber market cap $40B) cannot be worth more than a factory (Ford market cap $9B) forever, because app is easier to produce and if it is worth more now - then this attract competition that will drive this down.
It's not like all those cars and drivers and spare rooms were being used for anything else before, or offered through some other "interface"
I'd argue that they created both the supply and the demand, so in effect an entire market. That's rather more than an interface