The Impact of Data Portability on Platform Competition

Data (number) portability increased switching activity in telecoms markets, but not so far in banking. Data portability is, however, particularly relevant in platform markets dominated by Big-Techs in order to allow an entrant to compete on quality through profiling and matching algorithms. This article discusses results from a model on incumbency advantage among two-sided platforms, whereby agents face different levels of switching costs. Interestingly, policies aimed at lowering switching cost