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Strategies for a discontinuous future.





Consulting & advisory, research notes, in the press, about bubblegen,
next wednesdays.





Wednesday, November 05, 2003
 


News.com.com talks about the price war in VoIP, claiming that "It's unclear how far VoIP companies can go in cutting prices further".

No, actually it's 100% clear - prices can (and will) be cut all the way to zero. Look at Skype. This is because very few of the players in this space have a strategy - they have nice technology, but they're not doing anything differently or better. So, in the absence of strategy, these firms will do what's rational: slash prices to grab a user base, because that's the strategic asset they're all fighting over.

For an example, you could look at this article, which talks about ads being used to subsidize VoIP.

Paul Gauguin said "art is either plaigiarism or revolution". The same is true of strategy.

-- umair // 5:12 PM //


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