No industry is immune to digital disruption, and anyone who looks no further than their existing competition or country needs a wake up call from someone close, before a Hyperscale Business creates the shock and awe that has disrupted so many stable organisations in recent years.
Hyperscale businesses enjoy unprecedented operating leverage, which overshadows what traditional businesses can achieve. Innovation and digital is at the heart of what they do, whereas many traditional businesses are still dipping their toes in the water. Just look at the comparison below to see how hyperscale outperforms traditional.
Top 3 car makers
Nominal revenues: $250 billion
Market capitalisation: $36 billion
1.2 million employees
Silicon Valley 2014
Nominal revenues: $247 billion
Market capitalisation: $1 trillion
Hyperscale ecosystems range from large corporations to individual users or app developers. These are the companies, individuals and networks that are led by a new breed of leader who is doing the disrupting, as opposed to those waiting to be disrupted.
Discover more from McKinsey about competition at the digital edge.