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Bit by Bit: Colocation and the Death of Distance in Software Developer Networks

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  • Moritz Goldbeck

    (ifo Institute & LMU Munich)

Abstract

Digital work settings potentially facilitate remote collaboration and thereby decrease geographic frictions in knowledge work. Here, I analyze spatial collaboration patterns of some 191 thousand software developers in the United States on the largest code repository platform GitHub. Despite advanced digitization in this occupation, developers are geographically highly concentrated, with 79.8% of users clustering in only ten economic areas, and colocated developers collaborate about nine times as much as non-colocated developers. However, the colocation effect is much smaller than in less digital social or inventor networks, and apart from colocation geographic distance is of little relevance to collaboration. This suggests distance is indeed less important for collaboration in a digital work setting while other strong drivers of geographic concentration remain. Heterogeneity analyses provide insights on which types of collaboration tend to colocate: the colocation effect is smaller within larger organizations, for high-quality projects, among experienced developers, and for sporadic interactions. Overall, this results in a smaller colocation effect in larger economic areas.

Suggested Citation

  • Moritz Goldbeck, 2023. "Bit by Bit: Colocation and the Death of Distance in Software Developer Networks," Rationality and Competition Discussion Paper Series 422, CRC TRR 190 Rationality and Competition.
  • Handle: RePEc:rco:dpaper:422
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    1. Justin Bloesch & Jacob P. Weber, 2023. "Congestion in Onboarding Workers and Sticky R&D," Staff Reports 1075, Federal Reserve Bank of New York.

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    More about this item

    Keywords

    geography; digitalization; networks; knowledge economy; colocation;
    All these keywords.

    JEL classification:

    • L84 - Industrial Organization - - Industry Studies: Services - - - Personal, Professional, and Business Services
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • R32 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Other Spatial Production and Pricing Analysis

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