The first losers were traditional players that could not adapt. Ultimately, Kodak was not killed by Fuji or by a digital photography startup, but by the emergence of smartphone and social network firms. Instead of focusing on industry level tasks like film processing and marketing, Facebook, Tencent, and Google focused on connecting users and on capturing and analyzing the information that flows through their networks. These firms create value differently, and rely on a completely different kind of operating model from Kodak's to deliver that value to their customers.