Piracy in a two-sided software market

This paper studies the impact of software piracy in a two-sidedmarket setting. Software platforms attract developers and users to maximize their profits. The equilibrium price structure is affected by piracy: license fees to developers are higher with more software protection but the impact on user prices is ambiguous. A conflict between platforms and software developers over software protection may arise: whereas one side benefits from better protection, the other party loses out. Under platform compatibility, this conflict is no longer present.

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Year of publication:	2013
Authors:	Rasch, Alexander ; Wenzel, Tobias
Publisher:	Düsseldorf : Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE)
Subject:	developer \| piracy \| platform \| software \| two-sided markets

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Series:	DICE Discussion Paper ; 85
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
ISBN:	978-3-86304-084-0
Other identifiers:	737326204 [GVK] hdl:10419/70093 [Handle] RePEc:zbw:dicedp:85 [RePEc]
Classification:	L11 - Production, Pricing, and Market Structure Size; Size Distribution of Firms ; L86 - Information and Internet Services; Computer Software
Source:	EconStor

Persistent link: https://www.econbiz.de/10010311632