Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/233243 
Year of Publication: 
2008
Series/Report no.: 
Discussion paper No. 27
Publisher: 
Aboa Centre for Economics (ACE), Turku
Abstract: 
I investigate the effect of open source on standardization outcomes in a market with positive network externalities. In a closed source world, it seems reasonable to assume that the probability of a standard being chosen is positively correlated with its quality. Open source may weaken or invert this relationship by giving Bertrand competition losers a second chance. It however follows that though open source leads to more competition and more standardization, the chosen standard will be the same as when open source is not an option.
Subjects: 
open source software
FLOSS
standardization
network externalities
competition
JEL: 
H41
L12
L86
L96
Document Type: 
Working Paper

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