The iPhone introduction back in 2007 is a classic example of how digital advancement disrupts business.
Digital disruption goes far beyond a social media channel or a digital platform, it’s more like a vortex that attracts every part of the business model and absorbs it.
This interview with Microsoft’s former CEO Steve Ballmer following the introduction of the first iPhone shows how digital disruption can change the face of an industry.
Priced at 500 dollars versus 99 dollars for competing cell phones, the iPhone could still transform the phone industry being the first smart phone available, even though Apple had zero presence in the cell phone industry prior to the launch.
In 2013, worldwide sales of smartphones surpassed sales of the more basic (and generally cheaper) feature phone devices for the first time (read more here)