Question: When you’ve joined the $100+ billion market cap club, what do you do next? Answer: You start invading the other members’ territories (e.g., Amazon is now chasing the digital advertising business that Facebook and Google make billions of dollars from) AND you hire a bunch of pricey lawyers to defend you against antitrust suits.
This club is pretty exclusive today, with American members including mainly Alphabet/Google, Amazon, Apple, Facebook, IBM, Intel, Microsoft, and Netflix. They are so big that to grow significantly they have to look for other big markets (like cloud computing or self-driving cars or Hollywood-type movies) to enter, and most of those big markets are already occupied by other club members or non-member already-large specialists. What are the bloopers here? A classical one would be monopoly/oligopoly pricing and/or restraint of trade. But perhaps more important might be the opportunities lost by a failure to allocate capital to creating useful NEW-AND-DIFFERENT products and services.