Ex-lawyer turned relationship coach

Modern Society’s Most Important Law

In the spring of 1970, John Bergey was a guest on Johnny Carson’s Tonight Show and revealed the world’s first digital watch. It had no hands or dial. Just a blank screen pressed into a clunky piece of metal that fit around your wrist.

And it cost more than a car.

Despite the price, the digital timepiece caught on. Anyone with deep enough pockets could be seen flaunting the new space-age jewelry.

The Pulsar Time Computer, as it was called, was such a success that a score of tech companies raced to produce their own line of LED watches. Often selling for over $2.000 a pop, the new watchmakers thought they would get filthy rich.

But one firm had a better idea. Texas Instruments studied the market and saw an opportunity to take everything from its rivals except their kitchen sinks.

How?

By losing money on every sale.

Texas Instrument’s idea was ingenious. By selling watches for less than cost, the newcomer could sell the same quality watches as the rest, but for a fraction of the price.

Naturally, everyone who craved a dial-less timepiece shopped at Texas Instruments.

As the demand for the affordable watch went through the roof, the wily latecomer increased production.

And as more watches rolled off the factory conveyor belt, the cheaper the product got.

Although Texas Instruments sold digital tickers for over a $1.000 less than the competition, they were now making a profit.

And within ten years, digital watches went from costing thousands of dollars to just a few bucks.

This story echoes the mechanism of the 21st century most important law, invented only two decades earlier: Moore’s Law.

Gorden Moore noticed a trend in technological advancement, and in a paper about the future of computers he wrote that anything digital would get faster, smaller and cheaper.

To be more precise, he said that processing speeds would double every two years. That’s growth at an exponential level.

To put the math into perspective, your $800 smartphone will cost a mere eight bucks twenty years from now.

But Gorden’s theory goes far beyond protecting your wallet. Moore’s Law will change the world.

Machines building machines. Computerised clothes. Even brain implants.

How am I so certain?

Because despite expert opinion claiming it wouldn’t happen, all our technological advancements followed the path Gorden Moore thought up in 1965.

In the 70s, Ken Olson, president of the then most successful computer company, didn’t see any need or use for a computer in someone’s home.

And three decades later, Steve Balmer talked smack about Apple, saying there was no chance the iPhone would get any significant market share. “No chance,” said the Microsoft CEO.

While we can’t predict what’s coming next, we can safely assume anything with a chip will get better and cheaper.

The question is:

How do you prepare yourself for the imminent career disrupting event, if you don’t know what form the uprooting technology is going to take?

By Jeroen Elsing
Ex-lawyer turned relationship coach