Kirkland & Ellis to spend $500mn building its own AI technology https://www.ft.com/content/1825bb59-7b28-460d-b009-ee3cea5dbac3?syn-25a6b1a6=1 // It isn't difficult to see why an industry leader would want to seek a competitive advantage in a rapidly changing platform transition. History sees this as a challenge.
It is difficult to see how one firm outside of the technology leaders could move faster or more adroitly than an entire industry. It is probably too soon to make this bet and down the road there will likely be a challenging legacy transition to what become commercial and broadly deployed platform elements.
One can look across major platform or app categories and see industry leaders trying to "roll their own" and find few sustainable advantages or successes but a lot of legacy. The challenge is how industry leaders have a tough time seeing themselves beholden to making a single bet on a nascent market. At the same time the lack of being deep in technology makes it difficult for them to see the full breadth of innovation and how dynamic a system it is.
Many companies tried to build their own cross-platform operating systems, their own database, their own e-commerce platforms, or CRM or ERP. Companies have tried to roll their own on everything from transaction processors to load balancers to document management. In every example I can think of any advantage they had early on was outpaced by category innovation in the marketplace or by the plethora of connections to an new ecosystem that were too broad and difficult to do on their own.
#1252Yash Patil@YPATIL125