UC Berkeley Other Recent Work Title The DVD vs . DIVX Standard War : Empirical Evidence of Vaporware Permalink

In this paper, we empirically measure the e ect of the DIVX preannouncement in the DVD market. We do this by measuring the e ect of potential (incompatible) competition on a network undergoing growth. We nd that there are network e ects in the DVD market and that the preannouncement of DIVX slowed down the adoption of DVD technology. This suggests that strategic preannouncements can indeed a ect the outcome of a standards competition.

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