The Return of Vertical Integration

In recent decades, the trend has been toward vertical disintegration: Instead of trying to control all of the upstream and downstream activities in their value chain, companies have outsourced most of the activities and focused on their core competencies. But now, the pendulum is swinging back toward vertical integration. Which companies are leading this abrupt and unexpected shift? What are the implications for businesses, consumers, and investors? We’ll provide the answers.

A century ago, the titans of in.....