Strategic Lessons From A Converging Internet Industry 2000-2010
This case compares how Apple, Microsoft and Google have tried to achieve dominant market positions within a converging Internet industry over the last decade. The case starts in 2000, when the three companies found themselves as survivors of the dot-com bubble. Knowing that there would soon be a renaissance of Internet business, the three companies devised strategies that set out to shape the development of the Internet in the following years. Starting from very different market positions in the year 2000, the unequal players forged a new digital economy that combines an expanding scope of services, such as communications, information, entertainment and media. Within this market, Apple, Microsoft and Google became fierce competitors in becoming dominant service integrators. This case is designed to serve the following teaching objectives: (1) to illustrate and discuss the most recent phases of Internet evolution as competitive arenas; (2) to analyze the key economics of converging Internet markets; (3) to illustrate successful and less successful competitive strategies of the major players. This case is aimed at MBA students and is intended to be part of the strategic management curriculum. A detailed teaching note is available.
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