"I’m reading a research paper [PDF] by Nicholas Economides (NYU) and Evangelos Katsamakas (Fordham) called “Linux vs. Windows: A comparison of application and platform innovation incentives for open source and proprietary software platforms.” Long title, but the conclusion of the paper is relatively brief:

In our model, firms and developers invest to improve the quality of the platform or the application and expand the demand by users of these software products. When the operating system is proprietary, the platform provider and the application provider invest only in their own product to maximize their profit. When the operating system is open source, there is no platform provider firm, but the users invest in the platform to maximize their user surplus and their development reputation, which depends on the success of the platform measured by its adoption."

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