Reuters - Video

EDITION: U.S. | U.K. | IN

Technology

Why bigger isn't better - Tech Tonic

Thursday, Mar 28, 2013 - 03:56

The benefits of being the largest firm or a member of the biggest political dynasty are overstated. In fact, being big has become a detriment, says Nicco Mele, author of ''The End of Big.'' Mele says smaller, more nimble outfits are now the ones to watch.

▲ Hide Transcript

View Transcript

Scale what's all of this summoned to be aspire to that brought advantages of incumbency and anomaly. And I'm not sure how much that -- -- I'm here when he killed nearly the author of the end of big -- -- and it makes -- and you Goliath. He -- thanks for joining us my pleasure thanks him. It's about how. In insurgent players. And a very small scale can come in and take over big companies tells a little bit more about that. That's right -- art technology. Fundamentally empowers individuals. In 1969. Cray supercomputer. Would you feel the auditorium. Cost five million box and was -- accessible and affordable to most to most Americans. About two thirds of Americans walk around with a Smartphone in their pocket. As that is generally more powerful than act Cray supercomputer. So over the last 35 years there's been this enormous transfer of power really from big institutional expensive computing. To everybody in that had dramatic implications. For all of the institutions of our life from government in newspapers and political parties to universities -- manufacturing company. Now you say that there are certain companies that today are the new establishment. Facebook's one on the Apple's another. What are some of the other its establishment companies and why are they going to exist longer than the companies in the past were being -- kind of crumbled. Sure there's six even bigger I'd call them the company is the institute in new institutions the future's being built on. FaceBook Google apple Amazon Microsoft and -- But even among them there's a lot of they're they're they're much more fragile than they appear most of the companies I named -- in that hole. You most of them are heavily in profitability margins or otherwise are considered under a lot of competitive threat. The possibilities unleashed by this dramatic explosion of computing power and connectivity the nature of the Internet. Really level the playing field for pretty much any large organization. Creates creates a lot of challenges for competitiveness. You saying it tastes these small. Certain players. They don't need to get bigger or they can get to the same scale as he's -- but it's more that in the past -- scale almost all of us something to be aspire to. That brought advantages of incumbency a monopoly. And I'm not sure how much that holds true anymore the future big box retailing in a major on the man fabrication in 3-D printing. It's pretty it's pretty challenging to imagine. I I I printed my iPhone case and 3-D program. Right just to see I'm I'm trying to -- -- improve my I have two little boys who like improve their shoes are a 3-D burner. And so. Gut that collapses the advantages of scale to history. The economy in the last 1520 years. Is about a move to more more -- operators or fairly small companies being very competitive and nimble and frequently lucrative. Almost every audience I speak to -- some how significant portion audience has been a solo consultant at some point in their career. And many of them stay that way is it a future of mostly a free society if it's there it's a future to -- -- water small pieces loosely joined. That's that's the future work that's probably the future government. That's probably the you know we have to rethink national security in that vein we will hole we have to -- news in that vein is a whole bunch of stuff. We have to reconfigure away from. Large hierarchical centralized distribution of power and and and economic activity. Two dispersed. Network approach.

Why bigger isn't better - Tech Tonic

Thursday, Mar 28, 2013 - 03:56

Top News »

Money »

S&P 500 to new record on improving economy S&P 500 to new record on improving economy

Fri, Aug 29, 2014 - (2:31)

Finding meaning in the S&P 500 2000 mark Finding meaning in the S&P 500 2000 mark

Mon, Aug 25, 2014 - (2:35)

S&P falls back from record high S&P falls back from record high

Fri, Aug 22, 2014 - (1:35)

S&P 500 closes at new high S&P 500 closes at new high

Thu, Aug 21, 2014 - (1:24)

S&P 500 just shy of record S&P 500 just shy of record

Wed, Aug 20, 2014 - (2:23)

Apple hits $100 a share Apple hits $100 a share

Tue, Aug 19, 2014 - (2:06)

Nasdaq closes at 14-year high Nasdaq closes at 14-year high

Mon, Aug 18, 2014 - (2:23)

Putin puts Wall Street in buying mood Putin puts Wall Street in buying mood

Thu, Aug 14, 2014 - (2:10)

We've become a promotional culture-RetailMeNot's Bodge We've become a promotional...

Thu, Aug 14, 2014 - (4:39)

The Exchange »

The Exchange: Hot commodity The Exchange: Hot commodity

Wed, Jul 16, 2014 - (9:25)

The Exchange: Constitutional crusade The Exchange: Constitutional crusade

Wed, Jun 25, 2014 - (11:35)

The Exchange: The value of money The Exchange: The value of money

Mon, Jun 02, 2014 - (9:53)

The Exchange: China’s Second Continent The Exchange: China’s Second Continent

Tue, May 27, 2014 - (9:35)

The Exchange: A master of business arts The Exchange: A master of business arts

Thu, May 08, 2014 - (8:24)

The Exchange: America's bankrupt cities The Exchange: America's bankrupt cities

Mon, May 05, 2014 - (8:52)

The Exchange: Let the rocking commence The Exchange: Let the rocking commence

Tue, Apr 08, 2014 - (8:13)

The Exchange: The Moneyball fallacies The Exchange: The Moneyball fallacies

Mon, Mar 24, 2014 - (9:54)

Is doing good a good business? Is doing good a good business?

Mon, Mar 17, 2014 - (7:38)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, Feb 19, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, Jan 10, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, Aug 29, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, Aug 29, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, Aug 05, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, Dec 17, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sat, Dec 08, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Sun, Dec 09, 2012 - (10:39)

Moving Pictures »

Images of August Images of August

Fri, Aug 29, 2014 - (1:00)

Burning Together Burning Together

Mon, Sep 01, 2014 - (2:23)

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, Aug 22, 2014 - (3:12)

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, Aug 11, 2014 - (2:27)

Burned memories Burned memories

Fri, Aug 08, 2014 - (3:02)

Images of July Images of July

Thu, Jul 31, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, Jul 11, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Wed, Jul 02, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, Jun 20, 2014 - (3:04)

World Cup: Around the globe in 50 goals World Cup: Around the globe in 50 goals

Fri, Jun 06, 2014 - (1:08)