The article also discusses the competition between tech companies to dominate these future platforms. For instance, Apple is investing in its Vision Pro goggles for an augmented-reality future, while Meta is investing in Oculus devices. The author also mentions the EV platform race, with Apple still investing in developing an EV despite Tesla's dominance. The article concludes by noting the high market values of platform-owning companies like Tesla, Meta, Google, Amazon, Microsoft, and Apple, compared to traditional companies like GM.
Key takeaways:
- Apple has been trying to build an electric vehicle to compete with Tesla for at least a decade, and Meta CEO Mark Zuckerberg is investing heavily in GPUs to chase the generative AI craze.
- Big tech companies are investing billions of dollars to find the next big platforms, despite the risks and massive upfront spending, due to the potential for massive profits and long-lasting dominance.
- Google is investing heavily in becoming the leading AI provider, while Microsoft is also investing in its own AI platform ambitions. Both Apple and Meta are investing in augmented reality platforms.
- Apple is also investing in developing an electric vehicle, viewing the car interface as a valuable digital real estate. Meanwhile, Tesla is working to increase its installed base of EVs, similar to Apple's strategy with its devices.