I recommend reading the comments to that blog post. They make very valid points and make the post much more interesting. There is a place for innovation in big companies, just most of them are bad at nurturing it (excluding Google).

i tend to agree with the premise that their key skill is now to spot the right start-up. making a large company run well is tough too - customer service, billing, shareholders etc are all tough problems. i think a large company is at its heart a billing engine, an optimisation engine for a particular niche of the market - and that's OK. Their big problem is figuring out when they're niche is going the way of the dodo, or when they aren't as good at their niche as they thought they were. different companies doing their niche best, it's an optimisation of roles.