Aaron Levie explains how startups can outmaneuver large competitors by exploiting what incumbents won't do. AWS disrupted server sales by making hardware unnecessary; a decade later, big players still hadn't matched the model. Small companies survive by finding what their larger rivals can't afford or won't attempt.
Chapters
What you'll find is that your competitors, the big incumbents, tend to be locked in pretty significantly to particular business models because they in some cases have tens of thousands of employees that are built up to build and to deliver products in a very specific way. So if you can find points of differentiation and disruption that, that they can't respond to because either it is too expensive for them to respond to, or strategically it doesn't make as much sense for them to respond, or they don't have maybe the talent to respond to it, that is how you ultimately remain disruptive to these bigger companies. That's the only way to survive as a small startup. Amazon Web Services we take it for granted now how easily you can build a company and just by writing some code and Deploy it on AWS. Ten years ago, 15 years ago, what you had to do is you had to buy all these servers, you had to put them in data centers, you had to rack them yourselves, you had to connect them all together. That would take weeks or months and cost in some cases, hundreds of thousands of dollars just to get your startup going. Think about how disruptive Amazon Web Services was coming out of nowhere and having a completely different model where now I don't have to buy servers anymore because I can just go to Amazon. Amazon did something that was so disruptive to the core business model of traditional server makers and software providers that literally those companies to this day have not even responded. Twelve years later, they still have not responded by being able to deliver these capabilities over the cloud because of how disruptive it is from a business model standpoint. So really try and identify, are there things from a product standpoint that can be highly disruptive to how your product can be delivered to clients versus how incumbent solutions were delivered?