Steven Frank, co-founder of Panic software who make great Mac software including Transmit and Coda blogs about how a product succeeds in the marketplace.

From the post: "My current hypothesis is that there are at least three positions of prominence in each segment—three ways to be number one, if you will: The First One, The Free One, and The Good One." Full blog post here: The First, The Free and The Good...

We would tend to agree with that one.