Why Google and Facebook basically own the internet (and how they did it)
Original: Aggregation Theory
Summary
Ben Thompson's seminal piece explaining how internet aggregators dominate by controlling demand.
Who This Is For
Product Managers
Business Analysts
Founders
Key Takeaways
- Learn how internet companies flipped the traditional supplier-distributor-consumer relationship by controlling users instead of suppliers
- Understand why zero distribution costs and transaction costs give digital platforms massive scaling advantages
- See how Google, Facebook, Amazon, and Netflix used aggregation to commoditize entire industries
- Discover the three-part value chain framework for analyzing any consumer market
- Apply the Conservation of Attractive Profits theory to predict where value will shift in digital disruption
Tools & Technologies
Google Search Facebook advertising platform Amazon marketplace Netflix streaming platform
Topics Covered
business-strategy platforms aggregation marketplace
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