How to approach 5G policies 4.1. Utilizing the power of opening of tech standards, platforms and networks The technology, media, internet and to somewhat lesser degree the telecom industry have one thing in common. They innovate, aiming to create a unique product proposition to the customer, such as the best smartphone, the most liked news portal, the best search engine or the best mobile network. Scale economies usually significantly limit the number of winners or even survivors in such markets. For products with easy cross-border sales, ranging from smartphones, software up to social networks, markets eventually become dominated by global leaders such as Microsoft, Google, Apple or Samsung, unless these companies face regulatory hurdles and local alternatives are proactively promoted (for instance in the internet markets in China and to some extent in Russia). This winner-takes-it-all phenomenon poses significant challenges to free market economies, especially as the technology industries keep expanding their influence in the overall economies. Outcomes when the winning companies create significant user dependence on proprietary products and services, which may not be compatible with each other, do not seem ideal. That said dominant tech, internet and telecom companies are usually opening their hardware, platforms and networks to smaller companies, at least to some degree. This creates so called ‘ecosystems’ in which multiple innovators, service providers and other businesses use technologies, platforms or networks of the leading providers to conduct their own business (e.g. app designers using the Apple store, businesses using Google data to target their customers, or content providers using networks of the established wireless operators). The phenomenon of technology standard, platform and network opening is very powerful. As shown in Fig. 15 the opening of the PC technology to multiple producers led to a massive boom in personal computing, which transformed the world’s industry and office work (Industry 3.0). Open internet networks at the IP layer, also called net neutrality, was a key prerequisite for global spread of online consumer services including social networks. The open nature of the Android system and the app stores played a key role in advancing the wireless service industry. 5G as an opportunity to reform 29

Select target paragraph3

Connect to a paragraph
Connect to an entity
Disable highlights
Add to table of contents