A programme for the new network industries

Abstract

Digitalisation is transforming network industries. The new data layer on top of infrastructures and transport services improves efficiency in the management of traditional networks. However, traditional network managers can be disrupted as their infrastructures and services become intermediated by digital platforms in situation to create more powerful network effects by coordinating previously fragmented or isolated infrastructures and services (indirect and data network effects). As a matter of fact, digital platforms present the transformative characteristics of network industries: network effects, efficiency, scale, concentration, market power, etc. Digital platforms are ‘the new network industries’. This paper identifies the key challenges of digitalisation for traditional network industries and defines a research programme for the new network industries.