Evolution Of Internet Content Providers Compete Game Analysis

To begin with, this paper gave a systematic review of the development process ofChina’s Internet content providers. Then an evolutionary game model of the marketcompetition between China’s ICP companies was built in the paper. This paperdescribed the competitive behaviors of ICP enterprises as ‘innovate’ and ‘copy’, in thesame time, as the two alternative strategies to build the model. In the analysis of theresults of the game, the paper found the game may follow two different evolutionarypaths converge to two different evolutionary stable equilibriums.For the current competitive landscape of China’s Internet industry, which smallbusinesses have to versus giants. Focused on long-term impactions, the paper comparesthe two different evolutionary stable equilibriums on the development of Internetindustry, and analyzed the effect of every variable in the model take to lead the game toequilibrium.Finally, the paper drew conclusions that the government should keep ICPenterprises take active part in market competition, and hold government regulation morerelaxed.It was emphasized ICP enterprises should choose a strategies that will benefitthe entire Internet industry in long term in the paper.