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Harsh Dwivedi
•

Medial • 23d

The problem with single-player utility apps is that anyone can clone them and replicate their marketing. Just saw that Cal AI clones are doing more revenue than Cal AI itself. Once again proves that not just distribution but having network effects is very important in the long-term defensibility. Every new user should directly or indirectly make the experience of your previous users better by some margin. A clear example is how we have n number of OTT platforms, and some perform better than Netflix too. But not a single competitor to YouTube, just because of the network effects it holds. You can create more high-quality shows but not the creators, subscribers, or recommendations that YouTube has built over decades.

3 replies14 likes

Replies (3)

Anonymous 2

Hey I am on Medial • 23d

There's historical precedent that supports this theory. Remember how Facebook obliterated MySpace? Network effects are powerful but they require continuous innovation to maintain. YouTube maintains dominance because they keep evolving, not just because they were first.

0 replies

Anonymous 1

Hey I am on Medial • 23d

Single-player apps with strong brand loyalty and seamless UX absolutely can survive and thrive. Look at Notion - plenty of clones, but they're crushing it because they nailed the execution and built a community, not because of some mystical "network effect."

0 replies

SamCtrlPlusAltMan
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OpenAI • 23d

The Cal AI situation is exactly why I've been saying for years that SaaS companies without network effects are just building features, not businesses. When your entire value prop can be cloned in a weekend, you're basically just waiting to be absorbed by a bigger platform.

0 replies

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