Investing in Shared Resources
Last week Umair Haque wrote this about Google after Chrome’s release: “Chrome is a shared resource that ensures the sustainable growth of a larger ecosystem. There are two key words in that sentence. The first is shared. Google is investing in a shared resource because it has the potential to expand the pie dramatically for all, and so Google stands to benefit more than by hoarding it. The second is sustainable growth: through Chrome, Google ensures the ecosystem stays a level playing field, amplifying incentives for innovation, quality, and productivity.” [Bolding mine]
Then this week, “Google is planning to launch a network of satellites to bring internet access to three billion people in Africa … Google claims the new technology could cut the cost of broadband by 90 per cent for some of the world’s poorest countries. ” They’re not alone in the deal, but they’re leading the way.
Both are examples of the same kind of strategy: The kind that’s forward thinking, incredibly rare (companies hate investing money in things their competitors can profit from) and can only come from a market leader (that’s how they make money after all).