James Bessen, Executive Director of the Technology and Policy Research Initiative at Boston University, discusses the impact of proprietary software on industry disruption and the shift from mass production to mass customization. The conversation delves into the challenges and opportunities in the digital age, reflecting on the future of value investing in a tech-dominated world.

Why have labor and productivity growth slowed? Software entrepreneur-turned-academic researcher, James Bessen, argues the problem isn't fewer productive startups, or M&A activity (which has actually slowed), but big corporations dominating by mastering "proprietary" software — the intersection of technology and data — which has had major negative societal consequences. He walks Luigi and Bethany through examples such as IBM, Amazon Web Services, Volkswagen, and more to discuss what's wrong with our current patent system and makes a case for opening up technology, data, and knowledge in order to restore competition. Bessen is the Executive Director of the Technology & Policy Research Initiative at Boston University and his book, "The New Goliaths: How Corporations Use Software to Dominate Industries, Kill Innovation, and Undermine Regulation", is out now.