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sanchitbareja

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Andy Grove has died 10 years ago

RIP - having read his memoir, and his management books, I've deep respect for his work and principles that he advocated. He'll be missed

Every technology will become commoditized sooner or later eventually.

But here are some signs to tell when a technology goes from an innovation to a commodity

1) An increase in competitors is a sure sign of commoditization.

Increase in competitors -> price war mostly -> existing core technology becomes commoditized as players start to differentiate with value-added services/products.

2) A new technology emerges that's 10x better on some dimension but still out of reach and a few years out of most customers' hands. It forces existing market for the technology to demand lower and lower prices for old tech -> commoditization of that tech as original innovator no longer might find it worth it to pursue that product.

3) Regulation could some time force commoditization. Often seen in healthcare/drugs production.

I'm sure there are others. The common vain is that there's a rapid increase in competition.