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The Founders' List: Mind the Moat: Notes on 7 Powers (written by Hamilton Helmer) from Flo Crivello (Founder & CEO Teamflow)
The NFX Podcast
Two Things You Need to Know About Network Effects
Being number one pays, especially in those industries with very low marginal costs. Economies of scale are the defining forces of the software industry. Building software costs the same regardless of the number of people buying it. That results in a massive scale advantage. Virality means that each user you sign up will tend to attract more users in turn. Those terrible online games that used to spam your friend's walls on facebook didn't have network effects.
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