Academic Journal
Strategic Drivers of Core Expansion on Software Platforms: Evidence from Apple iOS.
| Τίτλος: | Strategic Drivers of Core Expansion on Software Platforms: Evidence from Apple iOS. |
|---|---|
| Συγγραφείς: | Halckenhaeusser, André, Forderer, Jens, Heinzl, Armin, Henfridsson, Ola |
| Πηγή: | Information Systems Research (INFORMS); Jun2026, Vol. 37 Issue 2, p1222-1241, 20p |
| Θεματικοί όροι: | Technological innovations, Satisfaction, Business ecosystems, Computing platforms, Industrial concentration, Computer software developers |
| Εταιρία/Οντότητα: | Apple Inc. |
| Reviews & Products: | iOS (Operating system) |
| Περίληψη: | Software platforms rely on a core-periphery structure; platform owners provide foundational code that third-party developers extend with complementary software. This structure creates strong incentives for platform owners to cooperate with third-party developers. Yet, platform firms, like Apple, intermittently expand their core by integrating peripheral functionality—for instance, flashlight or screen-time tracking in iOS. If ecosystems thrive on cooperation, why do platform owners expand into niches at the apparent expense of developers? Using a comprehensive data set of all Apple iOS core expansions from 2012 to 2020, we find that expansions systematically target underperforming niches—those with low user satisfaction, limited innovation activity, and high market concentration. Stand-alone apps tend to occur in niches with low innovation, whereas integrated core features focus on niches with low user satisfaction and high concentration. For policymakers, these insights inform regulatory discussions on platform power and the design of public interventions. For platform owners and third-party developers, the findings highlight characteristics of ecosystem niches that are vulnerable to core expansion, supporting strategic decisions regarding cooperation, competition, and innovation investment. By linking niche characteristics to core expansion strategies, this study provides actionable guidance for regulating and managing evolving platform ecosystems. Software platforms are extensible systems built on a core-periphery model, where the platform owner provides a foundational code base that third-party developers can leverage for complementary apps. This model incentivizes software platform owners to enlarge the overall value generated by the ecosystem, thereby increasing their share of the revenues, rather than competing directly with third-party developers by offering apps themselves. As part of this strategy, platform owners nevertheless intermittently expand their core to cover functionality that has once resided in the periphery. What are the drivers behind such core expansion into ecosystem niches? We meticulously assembled a large-scale data set of all Apple's core expansions on the iOS platform from 2012 to 2020, encompassing both stand-alone apps and features integrated into the core, to examine these drivers. The findings support our hypotheses that niches characterized by low user satisfaction, low levels of innovation efforts, and higher market concentration are more likely to be targets for core expansion. Core expansion through stand-alone apps manifests in niches with low levels of innovation efforts, whereas core expansion through integration of features into the platform core manifests in niches with low user satisfaction and high market concentration. Our study extends the software platform literature by hypothesizing and testing the drivers behind a platform owner's core expansion into ecosystem niches. History: Anandasivam Gopal, Senior Editor; Yuliang Yao, Associate Editor. Funding: J. Forderer acknowledges funding from the Deutsche Forschungsgemeinschaft [Grant 453186120]. Supplemental Material: The online appendix is available at https://doi.org/10.1287/isre.2023.0347. [ABSTRACT FROM AUTHOR] |
| Copyright of Information Systems Research (INFORMS) is the property of INFORMS: Institute for Operations Research & the Management Sciences and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.) | |
| Βάση Δεδομένων: | Complementary Index |
| FullText | Text: Availability: 0 |
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| Header | DbId: edb DbLabel: Complementary Index An: 194875276 RelevancyScore: 1162 AccessLevel: 6 PubType: Academic Journal PubTypeId: academicJournal PreciseRelevancyScore: 1162.4189453125 |
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| Items | – Name: Title Label: Title Group: Ti Data: Strategic Drivers of Core Expansion on Software Platforms: Evidence from Apple iOS. – Name: Author Label: Authors Group: Au Data: <searchLink fieldCode="AR" term="%22Halckenhaeusser%2C+André%22">Halckenhaeusser, André</searchLink><br /><searchLink fieldCode="AR" term="%22Forderer%2C+Jens%22">Forderer, Jens</searchLink><br /><searchLink fieldCode="AR" term="%22Heinzl%2C+Armin%22">Heinzl, Armin</searchLink><br /><searchLink fieldCode="AR" term="%22Henfridsson%2C+Ola%22">Henfridsson, Ola</searchLink> – Name: TitleSource Label: Source Group: Src Data: Information Systems Research (INFORMS); Jun2026, Vol. 37 Issue 2, p1222-1241, 20p – Name: Subject Label: Subject Terms Group: Su Data: <searchLink fieldCode="DE" term="%22Technological+innovations%22">Technological innovations</searchLink><br /><searchLink fieldCode="DE" term="%22Satisfaction%22">Satisfaction</searchLink><br /><searchLink fieldCode="DE" term="%22Business+ecosystems%22">Business ecosystems</searchLink><br /><searchLink fieldCode="DE" term="%22Computing+platforms%22">Computing platforms</searchLink><br /><searchLink fieldCode="DE" term="%22Industrial+concentration%22">Industrial concentration</searchLink><br /><searchLink fieldCode="DE" term="%22Computer+software+developers%22">Computer software developers</searchLink> – Name: SubjectCompany Label: Company/Entity Group: Su Data: <searchLink fieldCode="CO" term="%22Apple+Inc%2E%22">Apple Inc.</searchLink> – Name: SubjectProduct Label: Reviews & Products Group: Su Data: <searchLink fieldCode="PS" term="%22iOS+%28Operating+system%29%22">iOS (Operating system)</searchLink> – Name: Abstract Label: Abstract Group: Ab Data: Software platforms rely on a core-periphery structure; platform owners provide foundational code that third-party developers extend with complementary software. This structure creates strong incentives for platform owners to cooperate with third-party developers. Yet, platform firms, like Apple, intermittently expand their core by integrating peripheral functionality—for instance, flashlight or screen-time tracking in iOS. If ecosystems thrive on cooperation, why do platform owners expand into niches at the apparent expense of developers? Using a comprehensive data set of all Apple iOS core expansions from 2012 to 2020, we find that expansions systematically target underperforming niches—those with low user satisfaction, limited innovation activity, and high market concentration. Stand-alone apps tend to occur in niches with low innovation, whereas integrated core features focus on niches with low user satisfaction and high concentration. For policymakers, these insights inform regulatory discussions on platform power and the design of public interventions. For platform owners and third-party developers, the findings highlight characteristics of ecosystem niches that are vulnerable to core expansion, supporting strategic decisions regarding cooperation, competition, and innovation investment. By linking niche characteristics to core expansion strategies, this study provides actionable guidance for regulating and managing evolving platform ecosystems. Software platforms are extensible systems built on a core-periphery model, where the platform owner provides a foundational code base that third-party developers can leverage for complementary apps. This model incentivizes software platform owners to enlarge the overall value generated by the ecosystem, thereby increasing their share of the revenues, rather than competing directly with third-party developers by offering apps themselves. As part of this strategy, platform owners nevertheless intermittently expand their core to cover functionality that has once resided in the periphery. What are the drivers behind such core expansion into ecosystem niches? We meticulously assembled a large-scale data set of all Apple's core expansions on the iOS platform from 2012 to 2020, encompassing both stand-alone apps and features integrated into the core, to examine these drivers. The findings support our hypotheses that niches characterized by low user satisfaction, low levels of innovation efforts, and higher market concentration are more likely to be targets for core expansion. Core expansion through stand-alone apps manifests in niches with low levels of innovation efforts, whereas core expansion through integration of features into the platform core manifests in niches with low user satisfaction and high market concentration. Our study extends the software platform literature by hypothesizing and testing the drivers behind a platform owner's core expansion into ecosystem niches. History: Anandasivam Gopal, Senior Editor; Yuliang Yao, Associate Editor. Funding: J. Forderer acknowledges funding from the Deutsche Forschungsgemeinschaft [Grant 453186120]. Supplemental Material: The online appendix is available at https://doi.org/10.1287/isre.2023.0347. [ABSTRACT FROM AUTHOR] – Name: Abstract Label: Group: Ab Data: <i>Copyright of Information Systems Research (INFORMS) is the property of INFORMS: Institute for Operations Research & the Management Sciences and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract.</i> (Copyright applies to all Abstracts.) |
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| RecordInfo | BibRecord: BibEntity: Identifiers: – Type: doi Value: 10.1287/isre.2023.0347 Languages: – Code: eng Text: English PhysicalDescription: Pagination: PageCount: 20 StartPage: 1222 Subjects: – SubjectFull: iOS (Operating system) Type: general – SubjectFull: Apple Inc. Type: general – SubjectFull: Technological innovations Type: general – SubjectFull: Satisfaction Type: general – SubjectFull: Business ecosystems Type: general – SubjectFull: Computing platforms Type: general – SubjectFull: Industrial concentration Type: general – SubjectFull: Computer software developers Type: general Titles: – TitleFull: Strategic Drivers of Core Expansion on Software Platforms: Evidence from Apple iOS. Type: main BibRelationships: HasContributorRelationships: – PersonEntity: Name: NameFull: Halckenhaeusser, André – PersonEntity: Name: NameFull: Forderer, Jens – PersonEntity: Name: NameFull: Heinzl, Armin – PersonEntity: Name: NameFull: Henfridsson, Ola IsPartOfRelationships: – BibEntity: Dates: – D: 01 M: 06 Text: Jun2026 Type: published Y: 2026 Identifiers: – Type: issn-print Value: 10477047 Numbering: – Type: volume Value: 37 – Type: issue Value: 2 Titles: – TitleFull: Information Systems Research (INFORMS) Type: main |
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