lock-in
February 15, 2008
Was reading an article on Bruce Schneier's blog about software lock-in, and found this quote intruiging:February 15, 2008
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Economists Carl Shapiro and Hal Varian even proved that the value of a software company is the total lock-in. Here's the logic: Assume, for example, that you have 100 people in a company using MS Office at a cost of $500 each. If it cost the company less than $50,000 to switch to Open Office, they would. If it cost the company more than $50,000, Microsoft would increase its prices.
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