Nearlynet
Clay Shirky: Permanet, Nearlynet, and Wireless Data
The permanet strategy is to start with a service that is good but expensive, and to make it cheaper. The nearlynet strategy is to start with a service that is lousy but cheap, and to make it better [...] The operator of a cheap but lousy service has more incentive to improve quality than the operator of a good but expensive service does to cut prices.
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check this out
Very interesting concept, I never thought of it like that before.