Platform Market Power Kenneth Bamberger Orly Lobel April

Platform Market Power Kenneth Bamberger & Orly Lobel April 20, 2017, International House, UC Berkeley

What is the Digital Platform Economy? • • Sharing Economy Collaborative Economy Peer-2 -Peer Economy (P-2 -P) Human-2 -Human (H-2 -H) The Access Economy The Pooling Economy The Gig Economy Mesh Economy An eco-system driven by wifi tech and data analytics creating large scale multi-sided end user networks disrupting production, consumption, finance & education

Web 3. 0

4 Families of Platforms Search Engines Social Networks Retail Service

Airbnb in SF source: http: //www. forbes. com/sites/tomiogeron/2012/11/0 9/study-airbnb-had-56 -million-impact-on-san-francisco/

Regulatory Challenges • • • Tax Zoning Employment & Labor Laws Safety & Health Equality & Access Consumer Protection Liability & Insurance Licensing & Permitting Copyright, IP Privacy Concerns

Reshaping/Eliminating the Traditional Boundaries of Legal Doctrine

A Framework for the Foundational Platform Inquiry: Beneficial Economic/ Tech Innovation? Or Undesirable Regulatory Arbitrage?

Platform Pricing A. Price Fixing & the Platform Employment Structure B. Algorithm Bots & Price Discrimination C. Predatory Pricing Claims “growth first, revenue later”

Market Dominance A. First Mover Advantage – “Category Kings” B. Switching Costs & Lock-In C. Scale & Network Effects

Platform Big Data A. Big Data as Competitive Advantage B. Expansion into New Markets C. Privacy & Competition

Platform Market Power Kenneth Bamberger & Orly Lobel Thank You! April 20, 2017, International House, UC Berkeley