Beware The Platform Monopoly Trap

In modern enterprise software development, the implementation of an Internal Developer Platform (IDP) is often seen as a consolidation play. By centralising development tools, services, and workflows, organisations aim to streamline operations and increase efficiency. However, this centralisation inherently creates the risk of a monopoly emerging within the enterprise, wherein a single platform holds the keys to development resources. While this might initially seem beneficial, it can lead to significant drawbacks reminiscent of classic economic monopolies.

Monopolies, in any form, tend to prioritise their own existence and expansion over the needs of their users. This self-serving behaviour is precisely what authorities aim to curb through regulation in broader markets. In the context of an enterprise, an IDP that becomes a monopolistic entity can quickly lose sight of developer needs, becoming rigid and unresponsive to evolving requirements. When such a platform ceases to meet the diverse and dynamic needs of its users, developers are often left with little choice but to seek alternative solutions – the much maligned and misunderstood ‘developer workaround’.

The emergence of competing platforms within an organisation is a clear indicator that the existing system is failing to satisfy user demands. Such competition isn't inherently negative; rather, it could signify a healthy ecosystem where developers are empowered to innovate and build tools that better meet their specific needs. While that competitive environment could foster a culture of continuous improvement and responsiveness, it is counter to the reasonable desire of leaders to consolidate, de-duplicate and increase efficiency – in particular with capabilities that require significant investment, like Internal Developer Platforms.

This competitive behaviour must not be suppressed, instead it should be redirected; this is where the concept of Platform-as-a-Product (PaaP) can help. PaaP means treating the internal platform with the same care and strategy as an external product, focusing on user experience, (in this case Developer Experience or DevEx), continuous improvement, and alignment with user needs. This approach ensures the platform evolves based on feedback and competition, much like any successful product in the market.

Being product-centric means focusing on user experience and user requirements (UX/UR). In a competitive market, products must vie for attention and adoption by continually enhancing their features and usability. This principle applies to Internal Developer Platforms as well. Allowing developers the freedom to create their own solutions within the scope of the IDP can catalyse a competitive dynamic, pushing a platform team to deliver superior capabilities that genuinely address user needs. This competition ensures that the platform has an incentive to innovate, and remains relevant and valuable.

Another important concept in platform design is "Paved Roads"; it embodies the idea of providing well-defined, optimised paths for common tasks. These Paved Roads offer significant advantages by simplifying and accelerating development processes for standard use cases. The danger that leads to a monopoly lies in making these paths mandatory; when Paved Roads transform into Railways—fixed routes with no room for deviation—they stifle innovation and limit the flexibility that developers need to tackle unique challenges.

Guardrails, on the other hand, are mechanisms that provide guidance and safety without restricting freedom. They ensure that developers can explore and innovate while maintaining certain standards and best practices. For success, a platform must balance Paved Roads and Guardrails, offering clear, efficient paths for typical scenarios while still allowing the flexibility to deviate when necessary. This is achieved by recognising different needs and modelling use-cases that allow varying amounts of flexibility, with an appropriate adaptation of governance for each type of use-case.

IDP’s must empower developers to build their own tools and solutions when needed, fostering a competitive environment that drives continuous improvement. By doing so, platform teams can focus on delivering capabilities that truly meet user needs, ensuring the platform evolves in response to its users rather than becoming a stagnant monopoly.

Ultimately, the key to avoiding The Platform Monopoly Trap is to ensure that Paved Roads are optional and flexible. This approach not only enhances developer satisfaction and productivity but also ensures the IDP remains a valuable asset to the organisation.

If you'd like to discuss this, I'd love to talk to you.

Read part 2: The Olympics-themed Platform Development Internal Competition Problem