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Urmo Keskel's avatar

In my experience, companies often kill their products too late. I believe this is partly due to the stubbornness and resilience of Estonians. We don't want to give up on things, even if they don't seem to bring the desired results. We keep trying, hoping the rocket will take off. In my experience, discontinuing a product always brings a good feeling - it creates room for doing other things and, often, companies struggle with spreading their attention too thinly across many topics.

I would also highlight here example of successful exit in my career - the sale of the DigiDoc portal from SK ID Solutions to Dokobit. Initially, the DigiDoc portal was created simply as a demo environment for digital signing to promote its use. It became surprisingly popular, but supporting it was not SK's main focus - our revenue came from issuing and using EID, not from the portal itself. Dokobit, on the other hand, had a similar environment and it was their main business - so we decided to sell the DigiDoc portal to them at a small price.

Everyone won from that deal:

- SK was able to focus on its core business, while EID usage did not decline as the portal continued to be operated by Dokobit.

- Dokobit gained a large number of subcribers, a significant portion of whom likely converted into paying customers.

- End users received a better digital signing environment because Dokobit was more interested in investing in it than SK was (since it was their main business).

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Urmo Keskel's avatar

This is a great example of successful product termination and offering the same value as part of another solution. In addition to Google having one less products to maintain, it can be assumed that integrating podcasts into Google Music will generally bring more users there. This opens up the opportunity to also earn from music listening (assuming that some podcast content listeners will convert to also music content listeners), and thereby attract users from competitors like Spotify.

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