But guess what? Not all Internet industries are monopolies and if we are to get to grips with industry concentration in Internet-driven industries we need to acknowledge that different digital industries are pushed by different forces. Different parts of the cloud computing world really are different and will see different levels of concentration.
What we need to do is not so much look at the sources of increasing returns to scale, which are many, but instead look for what factors might limit increasing returns and prevent the expected monopolies from forming. Any such factor will affect different digital industries in different ways. I'll just look at one factor to show what I mean.
And that's why I am inclined to agree with Carr.