I read the Forbes article about Waze, and it immediately resonated with me.  Waze is a startup trying to use crowd-sourcing for route planning.  Users with their app provide real-time traffic information, which can be used to inform the rest of the community.  This is a concept with obvious network effects and Waze are trying to get critical mass by offering giveaways to get user adoption.  It's a great concept.  My senior year thesis was actually about using vehicles as probes to provide real-time traffic information, so you can see why the concept resonates.  Of course back then, it required clunky GPS devices plugged into a car's lighter and jury-rigging that into a transmission device to send the information, ie a completely impractical concept.  Not so anymore.  I hope Waze get to critical mass.

The Prisoner's Dilemma is a famous problem in game theory.  It is basically about a problem where the payoffs and penalties for the participants are structured such that the point of equilibrium is when each player cheats.  This occurs all the time in business, particularly in pricing strategy.

All the rumblings about newspaper sites charging for content and getting their peers to do the same is effectively a multi-party Prisoner's Dilemma.  The incentive to cheat will be high.  So the trick for the newspaper execs will be to figure out what incentives/rewards can be put in place to discourage cheating (ie giving content away to get market share and ad dollars), all while not being anti-competitive.  Good luck to them.