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The phrase 'differentiates itself by' is correct and usable in written English.
It is typically used when comparing and contrasting two or more things, and means to draw a distinction between them. For example: "The restaurant differentiates itself by offering both traditional and fusion cuisine in the same menu."
Exact(43)
The Times differentiates itself by taking a stand for civility in public discourse".
AWS differentiates itself by having the densest network of sensing equipment.
But rather than focusing on ease of use, DarkWallet differentiates itself by amping up the features which made bitcoin so tempting to those trying to opt out of normal society.
In summary, the anti-PlGF antibody showed comparable efficacy as well-characterized VEGF-inhibitor on the process of vascular leakage, but differentiates itself by also reducing inflammation and fibrosis, without triggering a neurodegenerative response.
The Times differentiates itself by taking a stand for civility in public discourse, sometimes at an acknowledged cost in the vividness of an article or two, and sometimes at the price of submitting to gibes.
OpenSky differentiates itself by focusing on a lot of under-the-radar designers, and recently teamed up with the Council of Fashion Designers of America to promote members who specialize in accessories.
Similar(17)
Authorizer's Assistant supports the company's strategy to differentiate itself by offering individualized credit limits.
"If a browser can differentiate itself by saying 'we provide you better privacy tools,' I think they'll increase adoptions".
And in an era when many people choose a carrier on price alone, Cingular is trying to differentiate itself by offering, yes, singular features.
While more similar to Facebook in its crisper design, it also tries to differentiate itself by establishing Myspace as a more distinct, youth-focused brand.
And in New York, they cannot vary price by a person's age, either.Despite all these rules, Oscar hopes to differentiate itself by making good care easier to find.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com