Application of Metcalfe’s law to VRENAR Network Funding

Metcalfe’s law applied to VRENAR for funding purposes


Document Purpose

The VRENAR System

Core Arguments

Research Evidence

The VRENAR System

Business Case

Document & Systems Engineering Methodology

Model Based Design (MBD)

Model Based Systems Engineering (MBSE)

Metcalfe’s Law

“There Oughta Be A Law”, Bob Metcalfe, The New York Times, 15 July, 1996's_law

Metcalfe’s value function — The factor p.

“Facebook creates much more value than is captured and monetized by Facebook selling ads”

Planning conservatively — the use of worst case values

Network Value

The Case for Combining the IOTA and VRENAR networks

Paper [1]

“Tencent and Facebook Data Validate Metcalfe’s Law”

Paper [2]

“Metcalfe’s law after 40 years of ethernet”

Paper [3]

“Metcalfe’s law: Not so wrong after all”

“Briscoe et al. make two related mistakes. For one, they reason in static terms and apparently fail to realise that interconnection alters the networks’ competitive positions and may, over time, very well impact their market shares. Second, Briscoe et al. mainly reason in aggregate terms, whereas the strategic implicatons are best analysed by looking at the utility of individual users and how this utility would be affected by interconnection.”

“In markets that are subject to network effects, size matters. Hence, networks can create value for their members and for themselves by opting for interoperability and, in this way, in effect turning two or more networks into one bigger network. However, intuition would dictate (1) that such interconnection is most likely to materialise when networks are roughly equal size (and thus have similar gains) and (2) that, in the other case, an established, dominant network has less reason to interconnect than a new, fledgeling competitor — unless the latter can compensate the former by means of so called side payments.”

Metcalfe’s law applied to combined Networks

Illustration of Combined Networks from Sparx Enterprise Architect toolset

Combined Network Model Derivation

Netoid Formulation

Mathworks Simulink(TM) Plot of Tencent, Facebook, and forecasted VRENAR shown together

Minimum acceptable income rate (MaiR)

Evaluating Human Information

“Did not show an iota of interest”

Rate of rewards control

Network Value Revenue

Acceleration and Deceleration Expansion Phases

Network Dividends & Rewards Distribution


Adaptive P


Suggested Further Research for all Interested Parties





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