Yesterday, someone asked why I’m so much in favor of open systems. In his opinion much of the value was created through closed systems. And he’s right, you know. But many of these closed systems can exist and scale because of open systems.
Just imagine the following:
You can create a shopping site and reach a worldwide audience via WordPress or Shopify. You invest around $30 / month – let’s say on Shopify and you’re in business. That’s the power of an open internet.
Compare that to Uber where they raised $21B to roll out a cab service to customers in 600 cities in 65 countries [source].
That’s the difference between open platforms and closed platforms.
Open platform foster innovation because the barrier of entry is so low.