Apple Thinks Start-Up

My favorite gadget blog, Gizmodo, writes about Sony's troubles as a diversified hardware and software/media company and how Apple, with the iPod, built the product we used to expect from Sony:

Companies like Apple can build the best gadgets without having to worry about whether or not MP3 players depress CD sales. The lesson here might be to not to try to do more than one thing well; electronics companies should just be electronics companies and media companies should just be media companies.

This outlines nicely why diversified companies are always going to be vulnerable to focused start-ups. And let's face it... Apple is succeeding because it returned to thinking like a start-up. Steve Jobs does run a content business too (Pixar), but has been able to keep its agenda separate from Apple's (much to Michael Eisner's dismay).