The Coasian Floor for a massive scaled company is huge.

· Bits and Bobs 4/28/25
  • The Coasian Floor for a massive scaled company is huge.
    • The Coasian Floor is the minimum addressable market necessary for a company to bother building a feature.
    • Because UIs are expensive to build, companies have to debate for hundreds of hours about what to build.
    • As the number of users goes up, the scale of the downside goes up.
    • But also as the company gets larger, the coordination cost gets super-linearly higher.
    • That means that as the amount of usage scales, the Coasian Floor of a feature goes up at an accelerating rate.
    • That means that as companies get larger, there's an ever-bigger set of features they'd never bother implementing within their origin.[og][oh][oi]
    • Only the origin owner can implement features in their origin, so those features simply can't exist.

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