Abstract
In this paper, we outline some potential conflicts that platform owners and software developers face in mobile application markets. Our arguments are based on comments captured in specialized online discussion forums, in which developers gather to share knowledge and experiences. The key findings indicate conflicts of interests, including 1) intra-platform competition, 2) discriminative promotion, 3) entry prevention, 4) restricted monetization, 5) restricted knowledge sharing, 6) substitution, and 7) strategic technology selection. Opportunistic platform owners may use their power to discriminate between third-part software developers. However, there are also potential strategic solutions that developers can apply; for example diversification (multi-homing), syndication and brand building.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
Katz, M.L., Shapiro, C.: Systems Competition and Network Effects. The. Journal of Economic Perspectives 8(2), 93–115 (1994), doi:10.2307/2138538
Gawer, A.: Platform dynamics and strategies: from products to services. In: Gawer, A. (ed.) Platforms, Markets and Innovation. Edward Elgar Publishing, Cheltenham (2009)
Mian, S.Q., Teixeira, J., Koskivaara, E.: Open-Source Software Implications in the Competitive Mobile Platforms Market. In: Skersys, T., Butleris, R., Nemuraite, L., Suomi, R. (eds.) I3E 2011. IFIP AICT, vol. 353, pp. 110–128. Springer, Heidelberg (2011)
VisionMobile Report, Developer Economics 2012 (2012), http://www.visionmobile.com/product/developer-economics-2012/ (retrieved)
Eisenmann, T., Parker, G., Van Alstyne, M.: Opening platforms: how, when and why? In: Gawer, A. (ed.) Platforms, Markets and Innovation. Edward Elgar Publishing, Cheltenham (2009)
Schilling, M.: Protecting or diffusing a technology platform: tradeoffs in appropriability, network externalities, and architectural control. In: Gawer, A. (ed.) Platforms, Markets and Innovation. Edward Elgar Publishing, Cheltenham (2009)
Boudreau, K., Hagiu, A.: Platform rules: multi-sided platforms as regulators. In: Gawer, A. (ed.) Platforms, Markets and Innovation. Edward Elgar Publishing, Cheltenham (2009)
Salminen, J., Hytönen, A.: Viral coefficient – Unveiling the Holy Grail of online marketing. In: Proceedings of Theoretical and Applied Aspects of Cybernetics, Kiev, November 12-16 (2012)
Parker, G., Van Alstyne, M.: Innovation, Openness, and Platform Control (SSRN Scholarly Paper No. ID 1079712). Social Science Research Network, Rochester (2008), http://papers.ssrn.com/abstract=1079712 (retrieved)
Lehdonvirta, V.: Virtual Item Sales as a Revenue Model: Identifying Attributes that Drive Purchase Decisions (SSRN Scholarly Paper No. ID 1351769). Social Science Research Network, Rochester (2009)
von Hayek, F.A.: The use of knowledge in society. American Economic Review (1945)
Simon, H.A.: Rational choice and the structure of the environment. Psychological Review 63(2), 129–138 (1956)
Author information
Authors and Affiliations
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2013 Springer-Verlag Berlin Heidelberg
About this paper
Cite this paper
Salminen, J., Teixeira, J. (2013). Fool’s Gold? Developer Dilemmas in a Closed Mobile Application Market Platform. In: Järveläinen, J., Li, H., Tuikka, AM., Kuusela, T. (eds) Co-created Effective, Agile, and Trusted eServices. ICEC 2013. Lecture Notes in Business Information Processing, vol 155. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-39808-7_11
Download citation
DOI: https://doi.org/10.1007/978-3-642-39808-7_11
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-642-39807-0
Online ISBN: 978-3-642-39808-7
eBook Packages: Computer ScienceComputer Science (R0)