

37signals responds to Wired article - mqt
http://www.37signals.com/svn/posts/881-37signals-featured-in-wired-march-2008-issue

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davidw
> Second of all, we’re not in the winner-take-all software world of the 90’s
> anymore.

I'd say they're wrong. The laws of economics don't change. Winner take all
markets with big positive network externalities are the same whether it's now,
100 years ago, or a 100 years from now.

However, I think they have picked niches where there are network effects, but
not huge, crushing ones, so they're not going to see that.

~~~
spif
Would have to disagree with you there. Network effects are more valid in
systems where value is increased by every additional connection (user or
service) in 37 signals case, the network effects are not that much inherent to
their product.

I think this is a conscious choice on their part. Just like there are many
other "niches" in the long tail that can be served without hazard from network
effects.

~~~
davidw
You're right that fundamentally their products aren't affected that much by
network effects. That doesn't mean that "everything has changed" though, which
was my point.

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jamesbritt
Side question: I used to really look forward to each issue of Wired. It struck
me as clever, attractive, provoking.

Then it turned into a glossy catalog of pricey cars and cognacs, with articles
tossed in to fill some space.

I haven't really looked at an issue in a while. Is it worth the cover price?

