Silicon Valley disruptors Market : Impact of leading tech companies stifling disruptor development

Silicon Valley is known for being the home of the disruptive startup, but since the likes of Google (now under the parent company Alphabet) and Facebook emerged and became companies generating vast revenues, the treadmill for disruptors appears to have struck problems.

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The Facebook of tomorrow so far shows few signs of emerging from what is supposed to be the home of the tech startup. Numerous reasons exist for why what has been described as the ‘kill zone’ - a point at which the big players either copy or acquire a startup company, preventing rivals from developing - exists. Included are aggressive acquisition strategies from leading players and the capacity for replication they enjoy.

Hefty market shares in online activities such as internet searches has enabled the big players’ access to a scale of resources allowing rival products to be easily and swiftly copied. Avoiding being copied is now extremely tough for promising startups, restricting the likelihood of disruptors becoming the Facebook or Google of tomorrow.

If the big names in tech - Microsoft, Alphabet or any of the others - do not copy a promising startup, frequently the decision will be taken to acquire a startup before the products in development reach the point of becoming a serious threat and source of competition.

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For disruptors to survive and thrive in the business environment in any location around the world, inhabiting a climate in which new ideas can flourish and grow to rival established players is essential.

Scope

- Examines the problems disruptors are having amid copycat tactics from leading players
- Looks at the impact of aggressive acquisition strategies from major tech firms
- Assesses the business climate in Silicon Valley for disruptors
- Examines the wider effects of intense competition between major tech companies
- Analyses the arguments regarding breaking up the big tech firms

Reasons to buy

- Why do major tech companies buy so many startups
- What impact is intense competition having on disruptors
- Why are so many features from startups being copied
- Would breaking up the big tech players work
- What are the prospects for disruptors

Some of the points from table of content:

Overview
Catalyst
Summary
otherwise
Conclusions
Power wielded by leading tech companies is harming hopeful disruptors
Appendix
Sources
Further Reading
Ask the analyst

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