alt Hacker NewsNever had a zune, but I did have an iPod. I am willing to accept Zune was superior. But its just an example that, yea, often times the superior solution doesn't actually win. There is a huge list of better technology that lost out to worst technology. Which is why I find it funny the claim that the market is optimal in choosing winners and loosers.
The market is optimal, you're failing to value brand perception and any social effects as a price factor
Androids are probably better than iPhones. But you may lose a first date with a girl for sending a message with green bubbles instead of blue bubbles, so people buy iPhones. The iPhone is worth more than the Android, in this example.