Platforms like AirBnB or Uber sit somewhere between a traditional firm and a marketplace. They’re a new model of economic activity, and we’ll see a lot more of them in the future. There’s a lot of potential to equalize and democratize entrepreneurship and spread value more widely.
There’s also a blurring between the platform and regulation – things that used to be government-regulated (like taxis and hotels) now have standards set by the platform. This brings both risks and opportunities, but it boils down to the market setting its own standards. This is partly because the platforms operate globally, under many different legal jurisdictions. The platform (which is under a kind of scrutiny that, in a pre-Internet age, companies were not under – this isn’t a point made in the video) must make choices that maintain its reputation among users and providers, or risk losing business.
Reputation for individuals is also a key element of these platforms, but reputation is platform-specific (so Cory Doctorow’s “whuffie” looks unlikely).
This change also involves a move from “ownership” to “membership”, and to “crowd-based capitalism”. Collaboration between the platforms, between the members, and between the providers and users is the key to creating value.
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