nep-ict New Economics Papers
on Information and Communication Technologies
Issue of 2007‒04‒28
three papers chosen by
Walter Frisch
University Vienna

  1. Vertical Integration and Dis-integration of Computer Firms: A History Friendly Model of the Co-evolution of the Computer and Semiconductor Industries. By Franco Malerba; Richard Nelson; Luigi Orsenigo; Sidney Winter
  2. Collective management of intellectual property rights By Dequiedt, V.; Menière, Y.; Trommetter, M.
  3. Information Technology Use and Productivity at the Individual Level By Gandal, Neil; King III, Charles; Van Alstyne, Marshall W.

  1. By: Franco Malerba (Cespri, Bocconi University, Milano, Italy.); Richard Nelson (Columbia University, New York, USA.); Luigi Orsenigo (University of Brescia and CESPRI, Bocconi University, Milan, Italy.); Sidney Winter (Wharton School, University of Pennsylvania, Philadelphia, USA.)
    Abstract: In this paper we present a history-friendly model of the changing vertical scope of computer firms during the evolution of the computer and semiconductor industries. The model is “history friendly”, in that it attempts at replicating some basic, stylized qualitative features of the evolution of vertical integration on the basis of the causal mechanisms and processes which we believe can explain the history. The specific question addressed in the model is set in the context of dynamic and uncertain technological and market environments, characterized by periods of technological revolutions punctuating periods of relative technological stability and smooth technical progress. The model illustrates how the patterns of vertical integration and specialization in the computer industry change as a function of the evolving levels and distribution of firms’ capabilities over time and how they depend on the co-evolution of the upstream and downstream sectors. Specific conditions in each of these markets – the size of the external market, the magnitude of the technological discontinuities, the lock-in effects in demand – exert critical effects and feedbacks on market structure and on the vertical scope of firms as time goes by.
    Keywords: Industrial Dynamics, Vertical Integration, Specialization, Technology.
    JEL: O30 L10 L60
    Date: 2006–12
    URL: http://d.repec.org/n?u=RePEc:cri:cespri:wp191&r=ict
  2. By: Dequiedt, V.; Menière, Y.; Trommetter, M.
    Abstract: This paper proposes a common analysis for a large set of multilateral agreements that are used to collectively manage intellectual property in industries as different as biotechnologies or information technologies. It discusses how these agreements, based on existing intellectual property institutions, can encourage innovation either by facilitating technology transfers or by improving the organization of collective innovation processes. In the first part we explain how the collective management of intellectual property rights can be used to facilitate arm’s length technology transfers. Its objective is then to facilitate the access to information about variety, to reduce negotiation costs and to optimize the management of prices. In the second part we explain how the collective management of intellectual property rights can be used to improve the innovation production processes by proposing a wide set of organizational structures ranging from centralized organizations that rely heavily on planning, to decentralized organizations that use incentives to motivate participants. As a conclusion, we highlight new challenges for competition policy generated by those tools.
    Keywords: INTELLECTUAL PROPERTY RIGHT;CONSORTIA;BIOTECHNOLOGY;OPEN SOURCE;SOFTWARE
    JEL: D23
    Date: 2007
    URL: http://d.repec.org/n?u=RePEc:gbl:wpaper:200703&r=ict
  3. By: Gandal, Neil; King III, Charles; Van Alstyne, Marshall W.
    Abstract: We employ a unique data set on white-collar workers that combines direct observations of individual use of information technology as well as objective information on individual performance. The main hypothesis we examine is whether heavier users of IT are more productive, and if heavier users of IT are indeed more productive, how does this increase in productivity manifest itself? Our results suggest that, controlling for other factors, the size of an individual’s internal email network is more highly correlated with revenues generated by that individual than age, experience or education. Further, the number of unique electronic contacts is more significant than the number of messages, external network size, and all other measures of email communication including declared time spent on email. Additionally, even after accounting for the individual’s number of unique contacts within the firm, the social network measure of “betweenness” is also highly correlated with revenues. We attribute the strength of these results to the fine grain detail of the data on this form of task-based white collar work.
    Keywords: information technology; productivity; social networks
    JEL: J24 L86 O14
    Date: 2007–04
    URL: http://d.repec.org/n?u=RePEc:cpr:ceprdp:6260&r=ict

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