Analysis of Firms’ Incentives to Control the Standard Development Process
29 Pages Posted: 10 Apr 2020
Date Written: March 20, 2020
We study how competitive, technological and network incentives influence firms participation behaviour within the standard development process. We focus on firms representing architecture-level and implementer-level positions in the wireless telecommunications industry value chain. We also investigate how the value of a firm’s proprietary technology influences its participation behaviour. We find evidence that firms representing architecture and implementer-level positions are more likely to promote technical features. Furthermore, we find that firms representing the architecture-level and implementer-level positions with more valuable proprietary technology are more likely to promote technical features than their intra-segmental competitors with less valuable proprietary technology. These findings have important implications for the emerging stream of research on standards development organizations.
Keywords: standard development organizations, wireless telecommunications, proprietary technology
JEL Classification: L14, L24, D23
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