Defining Markets for Multi-Sided Platforms: The Case of Search Engines

Posted by Social Science Research Network Defining Markets for Multi-Sided Platforms: The Case of Search Engines By Thomas Hoppner (Technical University Wildau) Abstract:     Despite the rise of two- or multi-sided platforms in the digital sector, there is not yet an established antitrust policy for defining relevant markets that involve such platforms. Difficulties arise in […]

Network Effects: March to the Evidence, Not to the Slogans

Posted by Social Science Research Network Network Effects: March to the Evidence, Not to the Slogans By David S. Evans (Global Economics Group) & Richard Schmalensee (MIT) Abstract:        Though network effects are important for multisided platforms, the simple winner-take-all notion that they always give larger platforms an insurmountable advantage over smaller rivals […]

JULY-10(2)

In this issue: This issue, organized by guest editor Glen Weyl, concerns one of the hottest topics in antitrust and economics—two-sided markets. Understanding the distinction between conventional and two-sided markets is a necessary challenge for practitioners, corporate executives, and regulators alike; our writers investigate some of these differences. Lapo Filistrucchi questions how many markets are, […]

CPI 3(1)

Antitrust with Intellectual Property Damien Geradin, Anne Layne-Farrar, Apr 19, 2007 The Logic and Limits of Ex Ante Competition in a Standard-Setting Environment Some scholars have questioned the process by which cooperative standards are typically set, worrying about the potential for anticompetitive market power to come hand in hand with pro-competitive interoperability. Richard Gilbert, Apr […]

The Two Sides of the Cartes Bancaires Ruling: Assessment of the Two-Sided Nature of Card Payment Systems Under Article 101(1) TFEU and Full Judicial Scrutiny of Underlying Economic Analysis

Frederic Pradelles, Andreas Scordamaglia-Tousis, Jan 30, 2015 The European Court of Justice recently delivered two seminal rulings in Groupement des Cartes Bancaires v Commission and MasterCard v Commission. These two judgments brought much awaited clarification to the application of Article 101 of the Treaty on the Functioning of the European Union (“TFEU”) in two important […]

Competition, Innovation, and Dynamic Change in the Internet Information Search Industry

This article is part of a Chronicle. See more from this Chronicle R. Shyam Khemani, Aug 22, 2014 At the core of the widely acknowledged economic and social benefits accruing from the internet are the internet search engines such as Bing, Google, and Yahoo!, among several others. These search engines act as intermediaries by providing […]

Both Sides Now: A Brief Reflection on the Two-Sided Market Debate

James Musgrove, Jun 13, 2013 At the 2013 American Bar Association Section of Antitrust Law Spring Meeting I had the honor to chair a session entitled Both Sides Now: What’s Special About Two Sided Markets? The program benefitted from the participation of some of the leading legal and economic thinkers on this issue, including Dr. […]

The Antitrust Economics of Free

David Evans, May 20, 2011 This article examines antitrust analysis when one of the possible subject products of an antitrust or merger is ordinarily offered at a zero price. It shows that businesses often offer a product for free because it increases the overall profits they can earn from selling the free product and a […]

Emergence of Global Search Engines: Trends in History and Competition

Manish Agarwal, David Round, May 20, 2011 The web search market is an example of a two-sided market where internet users account for one side and the advertisers for the other. Given the increased regulatory scrutiny faced by the web search market, this paper uses the two-sided market framework to analyze the market structure and the behavioral trends on […]

Jeffrey Rohlfs’ 1974 Model of Facebook: An Introduction and Reprint

Richard Schmalensee, May 17, 2011 Jeffrey Rohlfs’ pioneering 1974 study of demand in the presence of network externalities, which make each actor’s demand for some good or service depend in part on whether others purchase it, laid the foundation for a huge academic literature that has had a major impact on antitrust policy. The government’s case in U.S. […]