Network effects didn’t save MySpace, instead companies need to constantly adapt or risk disruption.

Historically many companies seemed like they had a much deeper moat when the real risk comes out of left field. Blockbuster didn’t die because a competitor suddenly opened a lot of stores instead the basic economics underpinning their business model changed.

Nvidia faces similar risks because they depend on access to world class fabs at reasonable prices. If hypothetically Intel suddenly develops a much better node and then keeps executing Nvidia could be left in the dust with little recourse.