“In 1876, an internal memo at Western Union dismissed Alexander Graham Bell’s telephone with the assertion: ‘This ‘telephone’ has too many shortcomings to be seriously considered as a means of communication.’ Little did they know, this so-called novelty would soon render their telegraph system obsolete and revolutionize global communication.”
Throughout history, groundbreaking innovations have often been met with skepticism, ridicule, or outright dismissal. The irony is palpable: the very technologies that disrupt industries and redefine societies frequently start as ideas that seem impractical, unnecessary, or even absurd. This paradox raises an intriguing question: Why do true disruptors never look like a good bet at first glance?
The Automobile: Trading Horses for Horseless Carriages
At the turn of the 20th century, the horse was the backbone of transportation, agriculture, and industry. When automobiles—referred to as “horseless carriages”—first appeared, they were noisy, expensive, and unreliable. In 1903, the president of the Michigan Savings Bank advised Henry Ford’s lawyer, Horace Rackham, “The horse is here to stay, but the automobile is only a novelty—a fad.”1
Early cars couldn’t match the reliability or simplicity of horses. Roads were unpaved, fuel stations were nonexistent, and mechanics were scarce. Investing in automobiles seemed foolish when horses had served humanity well for millennia. However, innovators like Henry Ford envisioned a future where cars were affordable and accessible. The introduction of the assembly line in 1913 reduced costs and transformed the automobile from luxury to necessity, reshaping urban planning, commerce, and culture.
The Flush Toilet: Bringing the Outhouse Indoors
In the 19th century, the idea of installing a toilet inside the home was met with disbelief and disgust. Why would anyone want to bring a foul-smelling outhouse indoors? Early indoor plumbing was costly and complicated, requiring significant changes to a home’s structure. Critics argued it was an unnecessary luxury for the wealthy.
However, the Great Stink of London in 1858, caused by the Thames River’s pollution, highlighted the urgent need for better sanitation.2 Inventors like Sir John Harington and later Thomas Crapper improved flush toilet designs, making them more efficient and sanitary.3 Over time, indoor plumbing became a hallmark of modern living, drastically improving public health and urban sanitation.
The Helicopter: An Aircraft Without a Purpose
When the first practical helicopters were developed in the 1930s and 1940s, many questioned their utility. Fixed-wing aircraft were faster, could carry more passengers, and had longer ranges. Igor Sikorsky, a pioneer in helicopter design, faced skepticism over his “flying machine” that could hover and fly vertically.4
Initially, helicopters were expensive to produce and had limited applications. Critics saw them as impractical for commercial use. However, their unique abilities soon found niches in medical evacuations, military operations, and search and rescue missions. Today, helicopters are indispensable in industries ranging from law enforcement to offshore oil drilling, proving that their perceived lack of purpose was a short-sighted assessment.
The Personal Computer: A Toy for Hobbyists
In 1977, Ken Olsen, founder of Digital Equipment Corporation, famously said, “There is no reason anyone would want a computer in their home.”5 At the time, computers were massive machines used by corporations and governments. The idea of a personal computer seemed unnecessary.
When Apple introduced the Apple I and II, and later when IBM released its personal computer, skeptics doubted there was a market beyond hobbyists and tech enthusiasts. Early PCs were expensive and had limited functionality. Yet, visionaries like Steve Jobs and Bill Gates believed in a future where personal computing would be ubiquitous.
The development of user-friendly interfaces and productivity software transformed PCs into essential tools for business and personal use. By the mid-1990s, computers had become commonplace in homes and offices, fundamentally changing how we work, learn, and communicate.
The Smartphone: Combining a Phone and a Computer?
Before the iPhone’s debut in 2007, the idea of combining a phone with a computer seemed unnecessary to many. BlackBerry devices catered to business users, but the mass market was content with simple cell phones. Steve Ballmer, then CEO of Microsoft, laughed at the iPhone, saying, “There’s no chance that the iPhone is going to get any significant market share.”6
The iPhone’s introduction redefined the mobile phone, integrating internet connectivity, multimedia, and a vast ecosystem of applications. Smartphones have since become central to daily life, affecting industries like photography, music, and navigation. The initial skepticism now seems astonishing in hindsight.
Streaming Services: Who Needs Digital Movies?
When Netflix began its streaming service in 2007, the dominant model was renting physical DVDs. The idea of streaming movies over the internet faced challenges: limited broadband speeds, data caps, and licensing hurdles. Traditional media companies doubted consumers would prefer digital rentals over owning physical copies.
Blockbuster, then a giant in video rentals, declined an offer to purchase Netflix for $50 million in 2000.7 Blockbuster’s CEO dismissed the threat, believing customers preferred the in-store experience. As streaming technology improved, Netflix’s model proved superior, leading to Blockbuster’s bankruptcy in 2010. Today, streaming services are the norm, and content consumption has shifted dramatically towards on-demand platforms.
The Electric Vehicle: Beyond Early Skepticism
Electric vehicles (EVs) have existed since the 19th century but were overshadowed by gasoline cars due to limitations in battery technology. In the late 20th century, EVs were considered impractical—plagued by short ranges, long charging times, and high costs.
When Elon Musk invested in Tesla Motors, many saw it as a risky venture. Early models were expensive, and the infrastructure for charging was minimal. Critics argued that EVs would remain niche products.
Advancements in battery technology, increased environmental awareness, and strategic investments in charging infrastructure have propelled EVs into the mainstream. Major automakers are now shifting focus to electric models, and governments worldwide are setting targets to phase out internal combustion engines.8
Disruption Lies in Unseen Potential
“The reasonable man adapts himself to the world,” wrote George Bernard Shaw. “The unreasonable one persists in trying to adapt the world to himself. Therefore, all progress depends on the unreasonable man.”
True disruptors challenge the status quo and envision possibilities others cannot see. Their ideas often seem impractical or unnecessary because they defy conventional wisdom. Yet, history shows that these “bad bets” can lead to transformative change.
Investors, consumers, and industry leaders may initially dismiss disruptive technologies due to perceived risks or lack of immediate utility. However, it’s precisely these qualities that allow disruptors to redefine markets and create new paradigms. The pattern is clear: innovations that seem like poor bets often have the most significant impact when they address needs people didn’t know they had or solve problems in ways previously unimagined.
The lesson is twofold. For innovators, persistence in the face of skepticism is crucial. For observers, keeping an open mind can prevent missed opportunities. As we look to the future, the next big disruptor may already be among us—unnoticed, underestimated, and poised to change the world.
References
Footnotes
University of Michigan. (n.d.). Henry Ford and Innovation.
Smithsonian Institution. (2008). The Great Stink of 1858.
Wenzler, E. (2018). Thomas Crapper: Myth & Reality.
Sikorsky Archives. (n.d.). Igor Sikorsky and the Development of the Helicopter.
The New York Times. (1992, December 29). Ken Olsen Ponders His Legacy.
Mac Daily News. (2007, April 30). Microsoft CEO laughs off iPhone.
Forbes. (2021, December 10). A Look Back At Why Blockbuster Really Failed, And Why It Didn’t Have To.
International Energy Agency. (2021). Global EV Outlook 2021.