Worth a Read: Innovation and Investment in IP Interconnection (PDF)

1. Decentralization of the Internet: the emergence of national and regional Internet Exchanges facilitates private peering
arrangements by increasing number of ISPs’ access networks edges in one central location.
2. Commoditization of IP Interconnect prices (falling IP transit, CDN or router costs) led to substitutability of IP Interconnection
products and countervailing powers in the IP Interconnection value chain.
3. Proliferation of Content Delivery Networks: Content & Application Providers leverage the increased value of their Internet
content by building proprietary caching server parks or, alternatively, using independent, commercial CDN services that are
located close to the ISPs’ access networks.
Still, the majority of Internet traffic is progressively being concentrated to a limited number of large Content & Application Providers
and a few wholesale carriers. In 2013, 35 networks carried 50% of all Internet traffic in North America, down from 150 networks in
2009. The concentration of IP traffic is a major evolution in the IP Interconnection value chain, and has the potential to influence the
negotiating power among connectivity stakeholders and affect the current equilibrium in the Internet ecosystem.

Worth a Read: What Really Happened with Vista

I do not claim to have had unique insight during this period. I was frustrated by the focus on these managed code layers and their uselessness for most Office scenarios but I could not articulate the strategic issues clearly. In fact, the OS innovations in iOS were what made it so clear in retrospect how wrong-headed the overall world view driving this work was.

Worth a Read: There Is No Free Market for Electricity

Understanding the sector is not just important because electricity is important; the market for electricity is really a window into the workings of the modern administrative state. The economic regulation of the sector often blurs the line between government and business, turning each into the other’s client. Even in places where competitive features exist, the marketplace is still designed by government and warped by subsidies. Today there is no genuinely free market for electricity.