Companies like Airbnb and BlaBlaCar, are only the start of eroding traditional business shares of the market.  

This is according to Arun Sundarajan, Professor of Information, Operations & Management Sciences at NYU Stern Business School, who appeared at the 2016 World Government Summit.

“You can book a free seat to travel anywhere in Europe in someone else’s car. BlaBlaCar carried more people than trains in France, creating this capacity without a single dollar into infrastructure investment, apart from creating the digital platform,” he said. “We’re entering an economy where sharing personal space occasionally blurs the lines with the professional.”

What he termed new crowed-based capitalism would provide greater efficiency for HR, capital, and more interaction.

“We’re at the early stages of this economy, governments role on regulating it will change, they can’t police all of them, instead there will be a lot more self-regulation,” Sundarajan opined.

Whilst the concept would create a more equal society through shared ownership structures, the challenge was to create a social safety net for the increasing number of voluntary freelancers, he added.