The Hustle’s Post

Transcript

Here's a product that is used, I believe, 6 billion times a day. It's a barcode invented by these two guys, Norman Woodland and Bernard Silver. These guys are inspired by Morse code, thin lines and thick lines. We can create like an infinite number of unique tags for something at the same time. In another part of the world, you get the invention of the laser, really great way to scan something. And then in the third part of the world, grocery stores are having a really tough time sort of by hand keeping track of all the inventory they have. There's so many units, it's taking so many hours, labor so slow. So they create the ad hoc committee for the Uniform Grocery Product Identification Code, and they come together and they create the barcode and they change the shape of it, the rectangular shape that we all know and love today. And there became what's known today as GS1, the nonprofit that issues these barcodes. You now need to use their system, which means they have infinite pricing leverage and they charge a bit ton for these barcodes. Last year, $81,000,000 in revenue, a set of lines that they're selling for $90,000, 000 a year.