Abstract In network industry, there is always fierce competition between alternative technologies. It is believed traditionally that due to network effect the result of technological competition is one technology becoming the dominant standard of the whole industry, and the users of the technology are locked in the technology, which cannot lead to optimal equilibrium result. Therefore it is necessary for the government to interfere in technological competition. However, traditional idea neglects the function of the sponsors of technology, spontaneous coordination between users and diversified preference of users, which can solve technology lock-in caused by network effect to some degree. Therefore, the government should not intervene in the technological competition of network products excessively, but should protect intellectual property rights well，provide more market information and guarantee the autonomous selection right of users
2011, Vol. 28 
