Reed's law: Difference between revisions

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Note a common criticism based on Dunbar's Number.
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:"[E]ven Metcalfe's law understates the value created by a group-forming network [GFN] as it grows. Let's say you have a GFN with ''n'' members. If you add up all the potential two-person groups, three-person groups, and so on that those members could form, the number of possible groups equals 2<sup>''n''</sup>. So the value of a GFN increases exponentially, in proportion to&nbsp;2<sup>''n''</sup>. I call that Reed's Law. And its implications are profound."
 
==Criticism==
 
Other analysts of network value functions, including [[Andrew Odlyzko]] and [[Eric S. Raymond]], have argued that both Reed's Law and Metcalfe's Law overstate network value because they fails to account for the restrictive impact of human cognitive limits on network formation. The research around [[Dunbar's Number]] implies a limit on the number of inbound and outbound connections a human in a group-forming network can manage, so that the actual maximum-value structure is much sparser than the set-of-subsets measured by Reed's law or the complete graph measured by Metcalfe's Law.
 
== See also ==