SMART COMPANIES TRY TO COMMODITIZE THEIR PRODUCTS’ COMPLEMENTS
Joel Sposky quoted in the paper // Commmoditize your complement
All else being equal, demand for a product increases when the prices of its complements decrease.
…In general, a company’s strategic interest is going to be to get the price of their complements as low as possible. The lowest theoretically sustainable price would be the commodity price - the price that arises when you have a bunch of competitors offering indistinguishable goods.
So: Smart companies try to commoditize their products’ complements. If you can do this, demand for your product will increase and you will be able to charge more and make more.