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While past research on software platform has recognized the existence of cross-side network effects (CNEs) between the application side and the user side, little is known about the asymmetry between the CNEs of the two sides on each other. Informed by a perspective of complex adaptive systems, this study theorizes how the user-to-application CNE is temporally different from the application-to-user CNE, and how these CNEs may be influenced by the governance mechanisms of the platform. We empirically test our theoretical arguments using a longitudinal data about a leading software browser. Our first main finding is the temporal asymmetry between the user-to-application CNE and the application-to-user CNE. Specifically, while the increased installed base of end users has a primarily long-term impact on the growth of application number and variety, the increased number and variety of applications have primarily short-term impacts on the growth of end users. Our second finding is that the length of application review time weakens the long-term user-to-application effect, but not the short-term application-to-user effect. Third, we also find that frequent platform updating can significantly weaken both the long-term user-to-application CNE and the short-term application-to-user CNE. Our study generates important theoretical and practical implications.

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E xtant research considers the IT governance choice to be a trade-off between the cost-efficiency of centralization and the responsiveness provided by local information processing. This view predicts that firms tend to decentralize IT governance in more uncertain environments. We investigate this issue by studying the relationship between environmental uncertainty and IT infrastructure governance in a sample of business units from Fortune 1000 companies. The key proposition in this paper is that the relationship between environmental uncertainty and decentralization in IT infrastructure governance is best characterized as a curvilinear relationship. That is, when environmental uncertainty increases from low to high, firms tend to first decentralize their IT infrastructure decisions to the business units to enhance their responsiveness; and then centralize their IT infrastructure decisions to the headquarters as uncertainty increases further, to achieve the benefits of coordination and to mitigate the potential agency problem in uncertain environments. Moreover, the study proposes that business unrelatedness between business units and their headquarters moderates the curvilinear relationship between environmental uncertainty and IT infrastructure governance. We find that both the propositions are supported by the data.