Adapted by:
Javier Pastor
Senior WriterComputer scientist turned tech journalist. I've written about almost everything related to technology, but I specialize in hardware, operating systems and cryptocurrencies. I like writing about tech so much that I do it both for Xataka and Incognitosis, my personal blog.
Alba Mora
WriterAn established tech journalist, I entered the world of consumer tech by chance in 2018. In my writing and translating career, I've also covered a diverse range of topics, including entertainment, travel, science, and the economy.
In 2013, Facebook CEO Mark Zuckerberg was already a dominant figure in the social media industry. However, he sought to expand the company’s presence on mobile devices. As a result, Facebook launched Facebook Home, an Android launcher, and partnered with HTC to release the HTC First preinstalled with this interface. It was a complete flop.
The primary issue lay with Facebook Home itself. Within just a few hours of being available on Google Play, it received a dubious milestone: Nearly 50% of users who rated it gave it one star out of five. While the launcher had some appeal for heavy Facebook users, it performed poorly in other aspects.
Facebook had previously attempted to integrate its services into HTC devices. In 2011, it introduced a dedicated button to the HTC ChaCha and HTC Salsa models. This was clearly not the right path forward. In the end, Facebook abandoned this plan and redirected its focus to other areas. The company’s aspirations to cover all areas didn’t go well.
Several companies have attempted to dominate all areas throughout history. A notable example is Microsoft. After establishing itself as a leader in the PC and office software markets, it attempted to adopt new trends set by other companies. However, initiatives such as the Zune (a copy of Apple’s iPod) were unsuccessful. While Bing has seen slight growth in the search engine arena, it hasn’t made a significant impact. Microsoft’s venture into phones with Windows Phone also ended in disappointment.
Google is another example. The tech giant dominates the search engine market and is a key player in the iOS-Android duopoly. However, it sought to expand its offerings by launching its own social media platform. Google+ was one of the biggest failures in the company’s history.
Even Apple, known for its innovation, tried to enter the automotive market with Project Titan. It ultimately canceled the initiative. Surprisingly, Apple couldn’t succeed in this field while a much smaller company, Xiaomi, managed to gain traction with the impressive Xiaomi SU7. Xiaomi represents a small success story of a company pursuing a broad strategy.
Even Amazon attempted to launch its own phone, but it didn’t go well.
The latest company to pursue this quest to conquer all sectors is OpenAI. Despite having a highly popular product (ChatGPT), the AI startup is trying to expand into new markets, starting with ChatGPT Search. It’s also looking into creating its own social media platform and possibly its own browser, especially if it can’t take over Chrome.
This ambition is reasonable, especially when companies already have a successful product. Leveraging that success to explore new areas and ensure a cohesive ecosystem is a logical strategy.
Apple and the iPhone are prime examples of this. While this strategy can work in certain cases, it doesn’t guarantee success across the board or even particularly strong performance.
Apple Music and Apple TV+ have certainly helped bolster the company’s ecosystem, but these services aren’t dominating their respective markets. Apple doesn’t necessarily need these offerings. They merely serve as additional elements in its overall suite, which is already a victory for the company.
However, time and again, the ambition of dominating all sectors often backfires. Grasp all, lose all.
Images | Zetong Li | Amazon
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