Big data: Bringing competition policy to the digital era – GAWER – November 2016 OECD discussion

Bringing Competition Policy in the Digital Age Understanding Digital Platforms Prof. Annabelle Gawer OECD Hearing on Big Data, 29 Nov 2016, Paris

Introduction Platform Fundamentals: How Platforms create value

What is Different about Data-Enabled Econ Activities: Consumers generate data

Recommendation: Reduce market distortions at the global level

Agenda

2 © Annabelle Gawer 2016. Please do not share or post without permission and without attribution

© Annabelle Gawer 2016. Please do not share or post without permission and without attribution

Some of my publications on digital platforms

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© Annabelle Gawer 2016. Please do not share or post without permission and without attribution 5

Platforms Examples



Platforms: From INSIDE to OUTSIDE the Firm


Platform Technologies

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Innovation platforms are technologies that facilitate the development of complementary innovation in innovation ecosystems

• Re-Use: Economies of

scope in innovation • Connect: Sharing IP and

tools to connect (APIs) => Reducing barriers to entry for complementors in complementary innovation

• Be a Magnet: Reduced search cost of complementary innovators


Platform Economics Platform Business Models for computer-mediated transactions

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Dating Bars

Amazon market-place

Transactional

Air BnB

UBER

Google

ARM

Intel micro-processor

The platform serves as an intermediary for direct exchange or transactions, subject to network effects

Innovation

The platform serves as a technological foundation on top of which other firms develop complementary innovations

Facebook for Developers

Apple iOS Apple App Store

Google Android

Facebook SAP

NetWeaver

Innovation Platforms

Transaction Platforms

Match.com Google Play

Apple

AUTOSAR Qualcomm

PLATFORMS


Service Data

Consumes

Produces

Improves experience

One data set and common semantic

Users generate data as they consume data

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User

Platform Fundamentals: How Platforms create value • Economics & Design • Transaction & Innovation • Network Effects, Market Power, Barriers to Entry: Debunking myths

What is Different about Data-Enabled Econ Activities: Consumers generate data • Consumers are not just consumers: also producers, and co-innovators

• Different roles of Data: Input, Process technology, Output, Expression of free Speech Recommendation: Reduce market distortions at the global level • Difficult trade-offs along multiple non-commensurate dimensions, role for public-interest bodies

• Don't re-invent Antitrust, but Antitrust is Silo-ed: Link it up with other protection agencies • Global regulator of Data and a Global Competition Authority

Summary

11 © Annabelle Gawer 2016. Please do not share or post without permission and without attribution

Thank you!

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Presentations & Public Speaking

Big data: Bringing competition policy to the digital era – GAWER – November 2016 OECD discussion