Betamax

Alternative video format to VHS.

Widely considered to be technically superior to VHS however, VHS gained popularity due to it’s standard being open, allowing anyone to create a VHS video tape. On the other hand Mr. Betamax was an uncontrollable evangelical censor and in the true style of power crazed madman all videos had to be created by him and pass his requirements, so no porn on betamax.

This i consider to be proof that open standards are a must in the creation of successful products whether they be hardware, software or whatever and also that people naturally shy away from control.