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Monday, October 31, 2005

Is Close networks are the only Solution?

Evslin's post deals with the question of incentive to open any network for other companies use. In his post Evslin describe the incentives for companies to build "walled Garden" around there network.

The arguments, describing why companies would want to prevent other companies from accessing their network, making perfect sense only if the access to the network is free for everyone. However it doesn't necessarily need to be so: a company can charge different rates for different use of their services. The smaller company (or in Evslin's terminology the n+1 company) then needs to decide if the price it pays worth entering the network.

This is not a new approach, telecom companies developed many ways to charge for traffic on their networks - the economical incentive for cooperation is big enough.


Fractals of Change: Bubble 2.0 Bubble 2.0 – Why There’s a Wall Around Your Garden





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