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dangrossman | 9 months ago
I built my free web stats service in 2004 because I couldn't afford an Urchin license. Google bought Urchin Live and rebranded it as Google Analytics, and gave it away for free. My service barely pays for itself 20+ years later, but I'm still here and would have an offering for that market on day one that Google Analytics shut down. So would dozens of others.
jader201|9 months ago
Nearly everything that was acquired was a) already free, and b) built (and given away for free) in hopes that someone like Google would acquire them.
If you look at most startups, their exit strategy is acquisition. Some would live to IPO, but that is a much tougher road.
It could be argued that IPO is a less likely exit strategy because of Google’s and others’ position, but I think it’s disingenuous to imply that startups (that are already giving away their products for free) are getting acquired as a last resort.
Most CEOs plan and hope for it.
int_19h|9 months ago
And that is a part of the problem.
no_wizard|9 months ago
I don’t think so, at least, it’s not their main motivation.
For most, I imagine the VC fueled free period is to lock up customers and increase you have their sensitive data, you start making moves so you can start to charge them, usually a fairly hefty sum. It’s a classic lock in strategy.
mrDmrTmrJ|9 months ago
Were all built within google. For most people (who do not sell software on the internet) we get a great trade from the current state of things!
dangrossman|9 months ago
Google Maps was built on the acquisitions of Where 2 Technologies, Keyhole and ZipDash.
Chrome is based on WebKit, built at Apple.
Waymo's hardware came from the acquisition of 510 Systems, and the software came from the acquihiring of the team that developed Stanford's self-driving cars for the 2005 and 2007 DARPA challenges, who brought their code with them.