Leverage distribution from proprietary systems

In contrast to the podcast example above, where any platform that adopted RSS could instantly have the supply side of the chicken and egg problem solved, Substack did the opposite: it solved the demand side by ensuring all of its consumers already had a way to read newsletter content. This is a really smart strategy, and so as a platform, it has... See more

Standards help teams save time and money by giving them a common language for how their products can interact with other products, eliminating the need to build each component within a market or re-define how systems communicate with each other.

Benefits of standardization

Example: RSS (Really Simple Syndication)SS has long been the backbone of podcasts, providing a powerful distribution mechanism that enables creators to publish their audio from a single endpoint and immediately syndicate their content to any consumption platform that wants to ingest it.

Trade-offs Since adopting RSS saves podcast listening apps an enormous amount of time and money by not forcing them to reinvent the way content flows through the podcasting ecosystem, it means the barriers to finding an audience for these apps is lower. As a result, many of these apps exist, and thus a tremendous amount of market fragmentation has... See more

To publish audio via RSS, a creator (or podcasting platform, on the creator’s behalf) must publish the podcast in a specific format and include only the parameters defined within the standard, such as a URL pointing to the podcast’s cover art, a list of episodes, and so on.

It’s important to remember that customers like using products based on standards because doing so offers them choice and data portability. If a standards-based product happens to break through market fragmentation, it’s important to maintain the benefits users got from the standard in the first place, otherwise you risk alienating your users and... See more

Think about Spotify’s podcast business as an example. A few years ago, the streaming audio giant evolved from being only a music service to being one for other categories of audio, such as podcasts. Given the content and experience differences between music and podcasts, many hoped the company would launch a dedicated podcast listening app to offer... See more