| Title | Forecasting information sharing and smart connected platform operation model selection strategy \ |
| Author | GUO Songbo; AI Xingzheng; HU Weitao; HE Haojia; TANG Hua |
| Abstract | The smart connected platform is the core carrier of "Germany's Industry 4.0" and "Made in China 2025", and the integration of automation and digital technologies has become a strategic high point for companies and even industries to compete. The platform supply chain of hardware platforms, software vendors and consumers enable real-time information sharing and cooperation among all actors. A smart connected platform with "hardware + software" not only facilitates interactions and transactions between consumers and third-party software vendors, but also promotes the purchase of hardware products and thus applications by consumers. In recent years, information technology has reshaped the way companies interact with vendors and customers, enabling efficient forecasting information sharing between companies, for example, Tesla can forecast sales trends by providing point-of-sale data to software vendors. However, each company that forms part of a platform supply chain wants to maximize its own profits, and there are cases where companies with information advantages are reluctant to share private information. The article investigates the problem of forecasting information sharing and the choice of a smart connected platform operation model. Firstly, the paper constructs a benchmark model of the smart connected platform for software vendor and hardware platform to research the problem of forecasting information sharing strategy and platform operation mode selection strategy. Assuming that both the hardware platform and the software vendor enjoy a priors knowledge of the market distribution and can each observe imperfect demand forecasts, the software vendor decides whether to share forecast information with the hardware platform. When the choice is to share forecasting information S, both the hardware platform and the software vendor have all the forecasting information; when the choice is not to share forecasting information N, the hardware platform and the software vendor only have their own forecasting information. In addition, regarding the choice of operation mode for the smart interconnection platform, it is assumed that there are three operation modes for the hardware platform, including proprietary, open and integrated. In the proprietary platform operation mode P, the hardware platform and the software vendor determine the product prices separately, and the hardware platform charges the software vendor a commission; in the open platform operation mode O, the hardware platform and the software vendor determine the product prices separately, but the hardware platform does not charge the software vendor a commission; in the integrated platform operation mode C, the platform itself determines the prices of the hardware and software products. Based on this, this paper constructs six smart connected platform operation models: . Secondly, the equilibrium results of the six smart connected platform operation models are solved. Equilibrium platform operation model selection, pricing and platform performance decisions are explored. The conditions for reaching equilibrium for proprietary, open and integrated platform operation models without and with forecasting information sharing are identified. The results of the research suggest that in the smart connected platform market, engaging in forecasting information sharing does not always improve platform system performance. When forecasting information is shared, the selection of an integrated platform operation model allows for more efficient use of market forecasting information to optimize the performance of the smart connected platform system. In addition, the proprietary platform operating model is optimal when market forecasting capabilities are weak and software complementary strengths are strong. No forecasting information sharing is optimal under the open platform operating model. No forecasting information sharing is optimal under the integrated platform operation model when market forecasting capability is strong. In summary, the paper investigates the impact of forecasting information sharing on the choice of platform operation model, which can not only help companies gain advantages in the complex market of smart connected platforms, but also provide new ideas for future research on platform operation model and platform performance. |
| Keywords | Smart connected platform; Forecasting information sharing; Hardware platform; Platform performance; Platform operation mode |
| Issue | Vol. 40, No. 1, 2026 |
Title
Forecasting information sharing and smart connected platform operation model selection strategy \
Author
GUO Songbo; AI Xingzheng; HU Weitao; HE Haojia; TANG Hua
Abstract
The smart connected platform is the core carrier of "Germany's Industry 4.0" and "Made in China 2025", and the integration of automation and digital technologies has become a strategic high point for companies and even industries to compete. The platform supply chain of hardware platforms, software vendors and consumers enable real-time information sharing and cooperation among all actors. A smart connected platform with "hardware + software" not only facilitates interactions and transactions between consumers and third-party software vendors, but also promotes the purchase of hardware products and thus applications by consumers. In recent years, information technology has reshaped the way companies interact with vendors and customers, enabling efficient forecasting information sharing between companies, for example, Tesla can forecast sales trends by providing point-of-sale data to software vendors. However, each company that forms part of a platform supply chain wants to maximize its own profits, and there are cases where companies with information advantages are reluctant to share private information. The article investigates the problem of forecasting information sharing and the choice of a smart connected platform operation model. Firstly, the paper constructs a benchmark model of the smart connected platform for software vendor and hardware platform to research the problem of forecasting information sharing strategy and platform operation mode selection strategy. Assuming that both the hardware platform and the software vendor enjoy a priors knowledge of the market distribution and can each observe imperfect demand forecasts, the software vendor decides whether to share forecast information with the hardware platform. When the choice is to share forecasting information S, both the hardware platform and the software vendor have all the forecasting information; when the choice is not to share forecasting information N, the hardware platform and the software vendor only have their own forecasting information. In addition, regarding the choice of operation mode for the smart interconnection platform, it is assumed that there are three operation modes for the hardware platform, including proprietary, open and integrated. In the proprietary platform operation mode P, the hardware platform and the software vendor determine the product prices separately, and the hardware platform charges the software vendor a commission; in the open platform operation mode O, the hardware platform and the software vendor determine the product prices separately, but the hardware platform does not charge the software vendor a commission; in the integrated platform operation mode C, the platform itself determines the prices of the hardware and software products. Based on this, this paper constructs six smart connected platform operation models: . Secondly, the equilibrium results of the six smart connected platform operation models are solved. Equilibrium platform operation model selection, pricing and platform performance decisions are explored. The conditions for reaching equilibrium for proprietary, open and integrated platform operation models without and with forecasting information sharing are identified. The results of the research suggest that in the smart connected platform market, engaging in forecasting information sharing does not always improve platform system performance. When forecasting information is shared, the selection of an integrated platform operation model allows for more efficient use of market forecasting information to optimize the performance of the smart connected platform system. In addition, the proprietary platform operating model is optimal when market forecasting capabilities are weak and software complementary strengths are strong. No forecasting information sharing is optimal under the open platform operating model. No forecasting information sharing is optimal under the integrated platform operation model when market forecasting capability is strong. In summary, the paper investigates the impact of forecasting information sharing on the choice of platform operation model, which can not only help companies gain advantages in the complex market of smart connected platforms, but also provide new ideas for future research on platform operation model and platform performance.
Keywords
Smart connected platform; Forecasting information sharing; Hardware platform; Platform performance; Platform operation mode
Issue
Vol. 40, No. 1, 2026
References