Apple doesn't want a monopoly

posted by Aaron Cohen   May 24, 2010

Last week, Mike Davidson put up a post about Apple discussing the idea that having a ruthless company making great products is a good problem to have (compared to a ruthless company making so-so products). It got picked up by DF, but I flagged it in my RSS because of a section close to the bottom. I haven't seen this theory about Apple discussed before.

What's the best way to avoid becoming a monopoly? Make sure you never get close to 100% market share. What's the best way to temper your market share? Keep prices a bit higher than you could. Keep supply a bit lower than you could. Keep investing in high margin differentiation and not low margin ubiquity...They are fighting hard right now to make sure they are one of the two or three that will continue to be relevant in 5-10 years, but their goal is clearly not to be at 100% or even 90%...It's scary to people because they remember the harm other companies have done when they reached monopoly status, but with Google, Microsoft, Nokia, RIMM, and now HP all keeping the market healthy with different alternatives, there is no excuse for not voting with your feet if you're unhappy. Apple's not going to take over the world because — if for no other reason — the laws of the United States won't let them.