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Apple are apple and Amazon may be making the top grade with their products that they may actually be the schoolyard bullies of the tech world here's why just last week.
Barnes & Noble announced they are no longer making their -- tablet which has a direct competitor to Amazon successful Kindle fire -- -- Apple's addictive I've had.
It sounds a lot like what apple did to palm's web OS a few years ago -- remember that pong no you don't remember near a threat dot.
So the next casualty might be the Blackberry it's now struggling to compete with the iPhone reporting sales numbers so loudly last week the stock fell 30%.
-- there actually any companies that stand a chance against apple Amazon here to -- and our -- -- racing your editor Barron's and Adam Lashinsky for -- -- fortunes editor at large and a Fox News contributor.
Gentlemen thanks for joining us tell you start with you.
I mean it seems like what these guys do is they hang back somebody comes up with a great technology they work out the kinks they get people excited about it.
And then they swoop in and they just sort of you know they make the technology even better and they -- the guys schoolyard in -- Well part of it is they establish -- and they're able to reap the rewards which means being able to deploy capital.
Where other companies have seen an opportunity so indoor comes up with the -- service and -- you have apple radio.
The other side of it is you know I've shown Blackberry products to people individually and -- said -- is this great.
They -- to shrug so there's a certain fatigue about some of the stuff where people just.
Go with they went Coker they've won patsy and -- and nothing else matters even if you like it.
But I can't I mean I don't -- feel like you can't compete with the ecosystem above them set up so you may come up with a great idea for proctor some tight.
-- you get out there but as soon as they come in they have so much to put around it but it's not really fair competition.
So maybe it stifles competition yeah.
-- you know here here's -- right you know here's -- completely disagree with a -- all that most of it personally that apple is there's no doubt they behave like bullies but.
Everyone else behave like -- still in this is that fair fight among bullies so Barnes & Noble for example you know just beat the snot out of small book -- when they had a better business idea.
By the way.
They did not come up with the idea for an.
I don't feel all that -- for them all another example would be Blackberry.
Just -- the existing us cellphone makers at the time they started making all the profits when they came out with a better.
Smartphone when they really invented the Smartphone so if they're getting killed now that's the way it goes man.
I I guess -- tear to my concern is for the consumers.
So I wonder if apple and Amazon always commendable he everyone outside -- the market and then they have all the pricing power so as a consumer.
I may or may not end up with the best product I definitely -- up with the highest price of.
Long term -- you may have to choose between which one prices are features because Missouri this movement especially in Asian emerging markets to incredibly low price cell phones.
And if you look at some of the negative views on apple it's that they're not going to be able to compete there -- -- you have.
Despite -- tremendous dominance a whole market for Smartphones that might you know cost a hundred dollars before subsidies and you might decide well.
If I'm going for price -- -- hundred options for other phones -- could get well other than apple.
Leak at a what I wonder also is who is the next victim and I'm thinking of Netflix because it this it -- what it looks like the same movie that we've seen so many -- whether -- Blackberry.
Whether it's -- You know they can be anti -- they've revolutionized this very cool service here comes Amazon in to take a piece of -- Apple's sitting there with iTunes.
I mean they're both getting gang up and will they squeeze out Netflix because right now.
Lot of people love Netflix.
They'd give you know they've they've recreated their business is pretty fantastic but.
The bullies are -- for them.
You know I I think -- Netflix is certainly going to be under pressure from Amazon in particular which -- appears to be copying their strategy Netflix has its own strategy.
Which is -- commission really expensive exclusive content like.
House of cards and other things I'll tell you the next victim is Melissa it's fairly obvious.
That's apple I mean apple is not the leading subscription music service Spotify is apple is no longer in the leading Smartphone.
Maker by market share it's -- Areas manufactures he used Google Android software I mean.
And by the way prices climate in this business Kindle offers Amazon offers a candle that's I can't remember something like.
Buck fifty manner I don't think nine -- this winter -- That is one of the points with the loss leader to get you in the stores that you pay for all their other products which may -- -- consumer you're trying to get well but not if they're charge -- more the other things are getting you in the door for.
I mean they wanna get on the -- that your prime subscriber.
You buy everything through -- Those prices got -- because you're in the store already and there's lots of other things they're -- -- -- -- they can -- that -- getting -- -- -- -- very -- -- -- in the meantime.
They driving up out of business having you may not feel sorry for -- not I'm looking out for the customer down the room.
What you define these five films large enough like Amazon with the Kindle.
Apple with the touch based Smartphone they are very.
-- formidable over years it becomes very hard to break into the you know and as Adam was saying in that comes -- they were not the first ones in the they decided they wouldn't take the risk of trying to go up against Amazon -- this is -- it's very very hard especially consumer market where people get attached to things.
To try and break in after someone has establish the dominance Google in search apple -- Smartphone just untouched.
Amazon any readers it's very hard to come in and say we -- -- -- great other product that's also in the -- I yeah I don't know but a lot of others have gotten their first and still gotten -- it seems like no matter where you come in those bullets coming -- -- -- thanks for great discussion.
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