Six Challenges in Platform Licensing and Open Innovation

Geoffrey Parker and Marshall van Alstyne
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Geoffrey Parker: Tulane University and Boston University / MIT
Marshall van Alstyne: Tulane University and Boston University / MIT

Communications & Strategies, 2009, vol. 1, issue 74, 17-36

Abstract: This article describes six common challenges of design, incentives, and governance that arise in establishing platform businesses. It also proposes solutions. It considers, for example, how to open a platform to decentralized innovation yet still earn a return; how to incorporate best-of-breed innovations from different sources while avoiding problems of multi-party hold-up; and how to encourage sources of good ideas to contribute those ideas despite the risk of losing them to owners of indispensible complements. We express these issues and solutions as a reduced set of tradeoffs useful for managing information and technology property.

Keywords: licensing; open source; free software; dual licensing; platform; intellectual property. (search for similar items in EconPapers)
JEL-codes: K11 L86 O31 O32 O33 O34 (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

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http://repec.idate.org/RePEc/idt/journl/CS7401/CS74_PARKER_VAN_ALSTYNE.pdf

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