> Microsoft are showing that it can be done, but I wonder if Facebook has the capacity to do great things. Perhaps the lesson from MS is that only a new leader can rescue such a mired company.
No, the lesson from MS (and IBM, Oracle and SAP) is that once you have a large enough moat of captive users who can't really move away, you can just "go on" and deliver crap to your users as long as the quality of the competition stays below the quality of your crap. And if there is someone coming close, buy them up.
The problem of FB is that there is, at the core, nothing except the "network effect" that creates such a moat. No multi-year contracts with governments or megacorps worth billions of dollars, no source of recurring revenue other than ads, there is nothing that fundamentally ties customers - both "end users" and advertisers - to Facebook.
No, the lesson from MS (and IBM, Oracle and SAP) is that once you have a large enough moat of captive users who can't really move away, you can just "go on" and deliver crap to your users as long as the quality of the competition stays below the quality of your crap. And if there is someone coming close, buy them up.
The problem of FB is that there is, at the core, nothing except the "network effect" that creates such a moat. No multi-year contracts with governments or megacorps worth billions of dollars, no source of recurring revenue other than ads, there is nothing that fundamentally ties customers - both "end users" and advertisers - to Facebook.