It is the nolan bushnel way of locking up things. He would buy up capacity at different foundries to lock out competitors from building their own game system. When WB bought atari out they stopped doing that and we had a few dozen competitors within 2 years.

Basically suck all the energy out of the room and lock out any possible competitors. MS employed a similar strategy in the late 90s. FAANG does the exact same thing now.