On the supply side:
No patents, or easy/cheap to license patents. Technical trade secrets don't remain so for very long.
Large margins for one or a few suppliers/manufacturers.
This is basically what is happening with the smartphone business. First Apple started it. Then there were a few players like LG, Samsung, HTC, etc. Now everything and their uncle is starting a smartphone company. Companies like Lenovo, video con, not to mention the Asian upstarts from China and India which are definitely late entrants to the market.
On the demand side:
Steadily increasing users:
Early adopters not abandoning the product, but continuing to use it.
Increasing numbers of early adopters in various social circles.
Comments
On the supply side: No patents, or easy/cheap to license patents. Technical trade secrets don't remain so for very long. Large margins for one or a few suppliers/manufacturers.
This is basically what is happening with the smartphone business. First Apple started it. Then there were a few players like LG, Samsung, HTC, etc. Now everything and their uncle is starting a smartphone company. Companies like Lenovo, video con, not to mention the Asian upstarts from China and India which are definitely late entrants to the market.
On the demand side: Steadily increasing users: Early adopters not abandoning the product, but continuing to use it. Increasing numbers of early adopters in various social circles.