ICML 2025: Navigating Two-Sided Platform Dynamics with AI-Driven Policy Design

By AI Job Spot Staff


Published on November 10, 2025| Vol. 1, Issue No. 1

Summary

Haruka Kiyohara, Fan Yao, and Sarah Dean presented their paper, "Policy Design for Two-sided Platforms with Participation Dynamics," at ICML 2025. The research investigates how participation dynamics function within two-sided markets or platforms. This briefing is an excerpt from an interview where Haruka Kiyohara discusses the core concepts of such platforms, elaborates on the paper's key contributions, and details the experimental methodologies employed to test their findings.

Why It Matters

This research is critically important for anyone operating or studying the digital economy's foundational structures: two-sided platforms. These platforms, ranging from ride-sharing apps and delivery services to online marketplaces to app ecosystems, thrive or fail based on the balanced participation of both user groups. Understanding "participation dynamics" is paramount; for instance, a lack of drivers cripples a ride-hailing service, just as a shortage of developers deters users from an app store. The delicate balance and interdependence between supply and demand sides necessitate sophisticated policy design.

For AI professionals, this work highlights a crucial intersection of machine learning, economics, and real-world strategic policy design. AI and ML algorithms are increasingly deployed to optimize various aspects of these platforms, including dynamic pricing, personalized recommendations, and targeted incentives. Kiyohara's research likely explores how AI can be leveraged to craft more effective policies that proactively manage and balance user engagement on both sides of a platform, preventing churn and fostering sustainable growth. This isn't just an academic exercise; it has direct implications for platform profitability, competitive advantage, and user experience. Professionals in data science, product management, and strategic planning within tech companies will find insights here invaluable for designing robust, adaptable platforms. Furthermore, for policymakers and regulators, understanding these AI-driven dynamics is essential for ensuring fair market practices, preventing monopolistic behaviors, and protecting consumer and worker rights in an increasingly AI-driven platform economy.

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