Patent protection would take years to be approved. Even if it is approved, how they can prevent their ideas being stolen during the application.
Also, ideas are often not worthy. Big tech can come up better solution better execution so how can one protect their ideas ?
For example, in the early stage of youtube, big tech have all the resources to recreate a similar platform but why didnt they do that ? If youtube was not just popular at that time, will their ideas silently stolen by big giant ?
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This is a thoughtful question and actually one of the things that investors consider when they are evaluating a startup.
In the lingo of the startup world, it’s called a “moat” — like a body of water around a castle that makes it harder for attackers to approach.
As other commenters have noted, patents are one kind of moat. Software patents are also usually broad (see Amazon’s famous “one click” patent) so if you can get one you are protected, for a time.
But what really creates a moat is how you execute on the idea. A company that’s been built around an idea that’s filled with hungry people who are dedicated to it will often create a superior product to a bigger company who assigns a team of less hungry people who don’t really have any attachment to the idea. Good execution creates a good product which creates good adoption. In many cases, there’s a lock-in effect. Google could create a copy of Facebook no problem but they can’t make users switch to their copy. In the case of Facebook, its widespread adoption is a moat.
Being the first solder on the beach isn’t a great way to stay alive and many startups who were first in their category died out … but being the first company in a space to become so big that you can’t be unseated is. Investors will often see that as your ultimate moat and want to give you money (in exchange for an ownership interest) so you can spend it get big fast. If you can get a head start on bigger companies and you can get big quickly you can win.
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