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Exploring transport

and urban governance

in a platform-driven world

by Kevin Webb

@kvnweb

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The “platform” questions we’re grappling with today are fundamentally about how “connectivity” shapes our communities.

Let’s unpack connectivity three ways...

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  • Connectivity as a technology

  • Connectivity as a business

  • Connectivity as a public good

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  • Connectivity as a technology

  • Connectivity as a business

  • Connectivity as a public good

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?

MaaS

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Connectivity is not the “the Internet”

We’ve dealt with the impact of connective technologies before.

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Proximity is a form of connectivity

Cities are fundamentally

a connective technology

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New connective technologies change how we experience proximity

They lessen our dependence on spatial proximity, allowing us to organize around new forms social and conceptual proximity

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Connective technologies change more than just how we connect or move: they reorganize the spatial, social, and economic structures of how we live

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  • Connectivity as a technology

  • Connectivity as a business

  • Connectivity as a public good

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Connectivity is infrastructural:

its purpose is to enable others to do more

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Businesses that operate infrastructure raise unique questions:

  • How do we decide who operates infrastructure?
  • How do we ensure infrastructure serves the public, and the public good?

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While railroads laid the foundation for modern infrastructure regulation, communications technology has changed the mechanics and role of connective infrastructure

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We moved from supply coordination via control of physical infrastructure, to the coordination of demand as form of infrastructure

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Supply-side vs demand-side coordination

Infrastructure coordinates supply

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Supply-side vs demand-side coordination

Infrastructure

coordinates demand

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The turning point from supply to demand coordination: airline ticketing

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Global Distribution Systems (GDSs)

and “Screen Bias”

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As airline ticketing evolved it developed two market-coordinating superpowers:

  • Aggregating demand to coordinate supply
  • “Personalized” distribution and pricing

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Demand-side market coordination and “personalization” techniques pioneered by the airline industry now define the modern Internet economy

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Why should the urban policy community think about evolving forms of market power?

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The “map” is at the core of emerging forms of urban connectivity and coordination

But the word “map” is inadequate for describing the thing we’re actually building...

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It’s part

yellow pages...

(discovery infrastructure?)

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It’s part social network..

(coordination infrastructure?)

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It’s part sales channel...

(distribution infrastructure?)

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[Hypothesis:] we need to move the urban policy discourse from “maps” to “markets”

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  • Connectivity as a technology

  • Connectivity as a business

  • Connectivity as a public good

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Changes in connective technologies, and emergent connective business models force us to confront these questions:

  • How do we decide who operates infrastructure?
  • How do we ensure infrastructure serves the public, and the public good?

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If we frame urban policy questions around understanding of market power...

...none of these problems are new.

We already have the tools to address this type of challenge.

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What regulatory tools can we use to shape the impact of platform technologies in cities?

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Existing leverage points:

Physical infrastructure

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  • Capital investment

  • Street/curb regulations

  • Pricing and subsidies for use infrastructure

Existing leverage points:

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People,

Vehicles

& Goods

Existing leverage points:

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  • Driver and vehicle licensing

  • Operating subsidies for services

Existing leverage points:

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Markets &

Business

structures

Existing leverage points:

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Existing leverage points:

  • Pricing & utility regulation

  • Labor & consumer protection

  • Antitrust

  • Public Investment

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Regulation of infrastructure/space

Existing leverage points:

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Regulation of business/markets

Existing leverage points:

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Important (but narrow) tools

  • Driver and vehicle licensing

  • Operating subsidies for services

  • Capital investment

  • Street/curb regulations

  • Pricing and subsidies for use infrastructure

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Expansive (yet under discussed) tools

  • Pricing & utility regulation

  • Labor & consumer protection

  • Antitrust

  • Public Investment

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Fair pricing, transparency, and competition:

Limit rent-seeking, pricing discrimination, and ensure markets allow open competition wherever possible

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We need innovation in pricing regulation

Industrial-era pricing regulations are focused on supply-side coordination and reducing power of supplier trusts. Today we need demand-side pricing regulation.

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Create new kinds of public utilities

Ensure that core infrastructure, particularly where there there are efficiencies from centralization, or opportunities for capture

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We need a more dynamic approach to infrastructure regulation, and innovation in governance

Picking the right layers of infrastructure is crucial, as is knowing when/how to unwind

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Complex, tightly integrated systems are capturable

Instead of top-down “platforms” we need bottom-up infrastructure, that enables everyone to do (and understand) more.

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Labor protection/regulation is a powerful lever

Today’s emergent urban technologies have redefined labor obligations, just like past

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High-tech algorithm for reducing VMT:

Require that all businesses carry their full labor costs on-balance sheet

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Privacy regulations are consumer protection regulations

They reduce information asymmetries, amplify pricing regulation, and enable transparent, open competition.

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As part of defining our right to personal privacy, we need to define a right to collective action and agency through shared information. These are two sides of the same coin.

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Emerging forms of algorithmic governance depend on collective insight and data. If we build those systems on privacy-protecting approaches to measurement, everyone can participate.

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We need to make bold public technical investments in that commodify core infrastructure, ensuring it serves as a building block for others, and prevents capture.

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The opportunity: we have the tools we need to understand and manage the power of “connective platforms”

The risk: we miss the forest for the trees, and treat today’s challenges as a technical problems