{"title":"Are data markets a solution to big tech market power? A competitive analysis","authors":"Anindya Sen","doi":"10.1016/j.jge.2022.100052","DOIUrl":null,"url":null,"abstract":"<div><p>This paper explores whether the establishment of data markets based on individual data portability can result in better societal outcomes. The results suggest that markets where individuals can sell data generated through their online engagement to third parties, could result in pareto improving outcomes for subscribers to digital platforms and purchasers of targeted advertising services. Data markets would enable third parties to combine their own proprietary data with other individual level data and produce information for targeted advertising, reducing the market power of Big Tech firms. However, successful data markets require strong regulatory measures by governments that ensure privacy and that data collected by Big Tech firms are considered the property of individuals. Such policies have the potential to guarantee that the benefits of Big Data are not confined to a few large firms.</p></div>","PeriodicalId":100785,"journal":{"name":"Journal of Government and Economics","volume":"7 ","pages":"Article 100052"},"PeriodicalIF":0.0000,"publicationDate":"2022-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S2667319322000234/pdfft?md5=cb2170fdc3f9a545aed3b48f82924a39&pid=1-s2.0-S2667319322000234-main.pdf","citationCount":"1","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Government and Economics","FirstCategoryId":"1085","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S2667319322000234","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 1
Abstract
This paper explores whether the establishment of data markets based on individual data portability can result in better societal outcomes. The results suggest that markets where individuals can sell data generated through their online engagement to third parties, could result in pareto improving outcomes for subscribers to digital platforms and purchasers of targeted advertising services. Data markets would enable third parties to combine their own proprietary data with other individual level data and produce information for targeted advertising, reducing the market power of Big Tech firms. However, successful data markets require strong regulatory measures by governments that ensure privacy and that data collected by Big Tech firms are considered the property of individuals. Such policies have the potential to guarantee that the benefits of Big Data are not confined to a few large firms.
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