“…We conceptualize an ego‐system as a traditional business setting in which firms pursue a closed innovation strategy and create competitive advantages by being closed to exchanging productive innovation resources (Chesbrough, 2003; Chesbrough & Appleyard, 2007; Laursen & Salter, 2014). As such, firms stick to a closed model for several reasons, such as easy governance mechanisms (Zobel & Hagedoorn, 2020), low risk of knowledge leakage (Arora et al, 2016), being better protected from imitation (Alexy et al, 2018), low coordination cost (Boudreau, 2010; Greenstein, 1996), greater freedom to establish financial and technological trajectories (Almirall & Casadesus‐Masanell, 2010), capturing maximum value from innovation (Foege et al, 2019), and no anxieties related to the vulnerabilities of openness (e.g., Arora et al, 2016; Laursen & Salter, 2014; Ritala & Stefan, 2021; Zobel & Hagedoorn, 2020). Innovating firms operating within an ego‐system prefer strong IP rights to protect knowledge and create barriers that sustain exclusivity.…”