Apples Vertical Integration Spree Continues
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In the last 5 years, 1997 founded Netflix, which started out as a postal DVD rental company, successfully implemented the first steps to its vertical integration strategy, no matter what Sarandos has to say on the subject.
The real decision-maker, here, is co-founder, chairman and CEO Reed Hastings, who has fully grasped that Netflix must own every product or service of its supply chain, to make real money. In this context, vertical integration entails owning distribution as well as content. Hence, the leap into content creation and production for Netflix, as licensing existing content was merely enough to beef up its budding catalogue and render it attractive to a wider and ever more culturally-diversified customer base growing exponentially around the world.
Another key asset for Microsoft is the Windows Mixed Reality (WMR) platform. For Hololens, this achieves vertical integration of hardware and software, the same structure by which its longtime nemesis Apple rose to power. 153554b96e
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