Jeffrey McManus

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What is a Platform Business?

April 11th, 2007 · No Comments · Collaboration, Content, Community, Platforms

I was dusting off the Platform Associates web site this afternoon and I ran across this. It’s sort of a manifesto for what I wanted to do with the consultancy. Normally when I re-read this kind of writing six months later it looks hackneyed to me, but I think it pretty well captures what I was going for:

The term "platform" is used in a variety of contexts. Early on, it was often a synonym for "operating system," but today it’s used to describe a variety of scenarios.

Platform businesses create an environment of promiscuous integration as a way to
accelerate operations, get closer to customers and partners, unlock innovation,
and discover efficiencies.

Platform businesses have a number of attributes in common. These include:

  • Platforms are open. A "proprietary platform" isn’t.
  • Platforms can be built upon.
  • No one should have to ask you permission or pay you money to start building on your platform (although platforms can ultimately be both commercial and non-commercial).
  • Platforms attract communities of builders. To thrive, these communities should be managed and nurtured.
  • Building a community around your platform enables you to build your business more effectively with the enthusiastic help of customers, suppliers and partners.
  • Platforms scale efficiently. Self-service access and low barriers to entry are a cornerstone of this.
  • Platforms do not discriminate between small and large builders. Some platforms enable small builders to compete on a level playing field and disrupt incumbent businesses.
  • A platform is a two-way contract between the platform provider and the builders that utilize the platform.
  • Platforms can be managed in a way that encourages positive outcomes for the Platform business as well as customers and builders.
  • Platforms can facilitate unexpected outcomes. This is usually a good thing, if it’s managed properly.

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  3. Technology Platform Content Strategies

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