We extend the traditional literature on bundling and the burgeoning literature on two-sided markets by presenting a theoretical monopoly model of mixed bundling in the context of the portable video game console market--a prototypical two-sided market. It is shown that the monopoly platform's...

We analyze mixed bundling in two-sided markets where installed base effects are present and find that the pricing structure deviates from traditional bundling as well as the standard two-sided markets literature - we determine prices on both sides fall with bundling. Mixed bundling acts as a...

Using data from the 128 bit video game industry this paper evaluates the effect of vertical integration and the foreclosure of complementary software to rival hardware. Foreclosure occurs when a console hardware manufacturer produces software which is incompatible with rival hardware. Estimation...

Data policies in platform environments drive choices made by firms and consumers. The distinctive feature of platform businesses is how the combination of network effects with data analytics drives choices made by platforms themselves, as well as by their complementors and consumers. We explore...

Despite the common practice of multiple standards in the high-technology product industry, there is a lack of knowledge on how compatibility between base products and add-ons affects consumer purchase decisions at the brand and/or standard level. We recognize the existence of compatibility...

Using data from the 128-bit video game industry I evaluate the impact technologically tying has on the intensity of console price competition and the incentives for hardware firms to tie their produced software to their hardware. Tying occurs when a console hardware manufacturer produces...