The 100 members of the Wireless Power Consortium are competing in all parts of the value chain, from IC design to providing certification services.

Competition between the members is driving investments in R&D. To survive you have to innovate.

The eco system build around the Qi specification drives innovation in 3 ways:

1. Guaranteed interoperability makes it possible to introduce new types of wireless chargers without risk. Customers will understand that is works when the product has the Qi logo.
2. The Qi specification allows for product differentiation. Designers of wireless chargers have freedom to do whatever their application needs, as long as charger is compatible with all Qi receivers.
3. The consortium agreement between the members of the Wireless Power Consortium makes sure that all members have access to each others essential patents.

Read more about it in yesterday's presentation at the wireless power summit.

Visteon Technologies joined the Wireless Power Consortium today.

They are the 100th member of the WPC.

Huawei joined the Wireless Power Consortium today.

They are the 99th member of the WPC.

Wireless power is adopted easily in some applications. Toothbrushes, for example, and in UV lamps for water desinfection. But penetration in offices and living rooms is limited today, even though consumer tests show that users like wireless power very much.

The problem with wireless power in offices and living rooms is that the perceived value increases with the number of different products that can be charged wirelessly. In other words, only few consumers are prepared to pay US$ 50 for a dedicated charger. That perception changes when a wireless charger services many products.

In economics this effect is called a 'network externality'. Products with a strong network externality benefit from co-operation between companies. Consumers see more value when many companies introduce products that work together. That's why companies work together on the standardization of wireless power. They all benefit from increased sales.

Products with strong a network externality are hard to introduce in the market. On the other hand, once successful, the interface tends to stay around. New products benefit from interoperability with the installed base, and the perceived value of alternative solutions remains low.

When network externalities are strong it is, therefore, risky to invest in products that don't work with the established standard. It can be surprisingly expensive to go against the flow.