[derobert]

Just like Yahoo (the established player at the time) bought Google out in the early 2000s, right? http://news.cnet.com/8301-10784_3-6071461-7.html

And then how Yahoo failed to compete with AdWords because of corporate politics, worries about existing revenue streams, etc.? http://www.wired.com/wired/archive/15.02/yahoo.html

Disruption doesn't only happen from a head-on challenge. Effective disruption is often not considered relevant until its way too late, and often couldn't be acquired even if seen. Consider how Craigslist destroyed the newspaper classifieds business, and that buying Craigslist would not have helped a newspaper at all.