Annika Stöhr and Oliver Budzinski (Economic Theory Group) as well as Josefine Dölker (Economic Policy Group) published an online contribution to the CeCo platform, dealing with competition and antitrust issues. The paper “Strategic Over-Supply in Music Streaming” analyzes new strategies of the music industry that are observable on streaming platforms, especially over-supply. Record companies with artists enjoying superstar status tend to flood streaming platforms with “new” content, which often is a marginal derivation from existing content or even just a combination of already available contents. This may secure supracompetitive rents and establish entry barriers. The contribution takes a glimpse into an ongoing research project.
