The key economic change introduced by the Internet is the effective elimination of marginal distribution and transaction costs.
Facebook is in trouble — again — for Russian ads about the election; figuring out how to deal with them requires first understanding that Facebook, like Google, is a Super-Aggregator. It faces zero transaction costs in all parts of its business.
The history of technology is of two distinct eras: information technology enhanced existing business. The Internet revolution is destroying them.
Clayton Christensen claims that Uber is not disruptive, and he’s exactly right. In fact, disruption theory often doesn’t make sense when it comes to understanding how companies succeed in the age of the Internet.