just like cooking.
You can only go so far improving on what you’ve done before by getting better and better ingredients. Sometimes you just need better recipes.
So I would argue that Google really does have a better product than the competition — not because we have more or better ingredients, but because we have better recipes. And we are continuously improving those recipes precisely because we know the competition is only a click away. We can’t fall back on economies of scale, or switching costs, or network effects, to isolate us from the competition.