Prof. Dr. Michael Latzer
University of Zurich, Switzerland
Assessments of and predictions regarding media convergence in general, and of technical configurations, uses and impact of future broadband infrastructures in particular, have changed drastically during the past decade. Currently, fermented by rapid innovations in mobile communication and IP networks, the debate focuses, inter alia, on radically changing communications platforms (e.g. on hybrid and “infrastructure-less” mobile networks),
on novel network structures (e.g. peer-to-peer networks) and respective service developments (e.g. voice over IP). Altogether they could lead to a massive process of Schumpeterian „creative destruction“ in the convergent communication sector with destructive impact on existing industry structures in telecommuncations, broadcasting and publishing, on social organization, and communication patterns. However, assessments differ substantially: Various theoretical concepts on innovations are applied, and different interpretations of these concepts are suggested to grasp technology-driven changes in the convergent communications sector.
Objectives & Content
Based on a review of the literature, this paper provides an assessment of the various approaches to the analysis of innovations in the convergent communications sector, highlights commonalities and differences, and discusses the contribution of different concepts and models to the understanding of current and future communications developments.
The paper focuses in particular on concepts underlying “disruptive technologies” and “radical innovations” for assessing the impact of mobile IP network innovations such as WiFi, WiMAX, mesh technologies and ad hoc networks.
Radical innovations, as opposed to incremental innovations, are characterized by the use of new technologies, by high uncertainty and risks and by discontinuous developments. Their technological basis might be disruptive, which denotes a special case of Schumpeterian „creative destruction“: the phenomenon that even technologically inferior technologies (such as mobile IP networks), could eventually prevail over established technologies. In combination with novel business models, disruptive technologies could displace incumbents if they continue to focus their efforts on established „sustaining“ technologies, and only strive to increase the performance of existing products.
The combined application of these and other innovation theoretical approaches provides insight into possible trajectories of (mobile) IP networks, into consequences for established public networks, into future market structures, service developments, changing communication patterns, social implications and regulatory challenges.
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