For handset makers, value creation moved from devices to ecosystems. Standardization played an important role in this development. Standards accelerated innovation and encouraged competition within the market. Open banking (Payment Services Directive 2) The telecom industry provides a useful learning case for the financial industry, especially payments. Telecom and payments are both network industries and share many similarities.
EU regulation in payments, of which the Payment Services Directive 2 (PSD2) is the most recent case, is similar in spirit to what was done in telecoms earlier. Regulation and de-regulation are needed to enable competition and innovation. This means opening markets to new entrants and reducing monopolistic market power. It also means that common standards are needed.