Manufacturing and Services BERD, 2003-2011 11 Figure 8: BERD by firm size, 2003-2011 11 Figure 9:
Services firms by R&d expenditure ranges, 2003-2011 27 4. Types of Research and development 28 Figure 35:
61 per cent of BERD was generated in the services sector in 2011. Medium and large enterprises (more than 50 employees) accounted for almost threequarters of BERD in 2011.89 per cent of BERD funding was from company funds in 2011, down from 92 per cent in 2009.
The majority of R&d personnel (63 per cent) were employed in the services sector. Medium to large companies employed two thirds of all research personnel.
58 per cent were in the services sector and 42 per cent in manufacturing. Small firms with less than 50 employees accounted for 69 per cent of all R&d active firms.
per cent of Irish firms Almost half of medium to large sized firms engaged in mid to large scale R&d activities compared with 18 per cent of small firms In both the manufacturing and services sectors,
when aggregating the subsectors up to total manufacturing and total services, pre 2007 Forfás included the following 2 sectors under manufacturing
whereas the CSO include them under services: Agriculture, Forestry, Fishing, Mining and Quarrying Electricity, gas supply, water supply, sewerage, waste management and remediation;
other service activities (I, O-U) 7. 9 9. 6 Information and communication services (J) 487.9 571.2 Financial and insurance activities (K) 157.5
R&d expenditure in the services sector increased by 15.9 million (1. 4 per cent) over 2009.
Information and communication services-€83. 3 million (17.1 per cent) Administrative and support service activities had increased an spend of €13 million,
Manufacturing and Services BERD, 2003-2011 Source: CSO databank, Forfás BERD 2003 and 2005 surveys Figure 7 highlights the shift from a manufacturing to service economy between 2003 and 2011 in expenditure on R&d.
Of total BERD in 2011,61 per cent was generated in the services sector, a complete reversal since 2003 when 61 per cent of BERD was generated in the manufacturing sector.
Also, when aggregating the subsectors up to total manufacturing and total services, pre 2007 Forfás included the following 2 sectors under manufacturing
whereas the CSO include them under services: Agriculture, Forestry, Fishing, Mining and Quarrying; and Electricity, gas supply, water supply, sewerage, waste management and remediation, construction.
2010 (est) 2011 2012 (est) €ms Manufacturing Services 265 320 278 300 326 495 519 840 1, 009 1, 325
As with R&d expenditure, the majority (63 per cent) of R&d personnel resides in the services sector in 2011,
2007 2009 2011 Manufacturing Services 4, 591 5, 125 3, 815 4, 443 6, 490 7, 442 8, 501 10,135
CSO databank, Forfás BERD 2003 and 2005 surveys Figure 22 shows Phd researchers are concentrated more in the services sector since 2009,
1, 000 1, 200 2003 2005 2007 2009 2011 Selected services Manufacturing industries FORFÁS BERD 2011/2012 ANALYSIS 21 sector.
This contrasts with the profile in 2003 when only 22 per cent of all Phd researchers were working in services.
of which 58 per cent were in the services sector and 42 per cent in manufacturing.
000 1, 500 2, 000 2003 2005 2007 2009 2011 Manufacturing Services FORFÁS BERD 2011/2012 ANALYSIS 27 Figure 33:
Services firms by R&d expenditure ranges, 2003-2011 Source: CSO databank, Forfás BERD 2003 and 2005 surveys Figure 34 shows the R&d spend categories for services firms between 2003 and 2011.
Services firms engaging in R&d have increased exponentially since 2003 from 294 firms to 926 firms in 2011.
In 2011,257 firms spent in excess of €500k on R&d activities compared with 91 firms in 2003.356 413 242 221 230 302 301 230 227 267 120 164
to installing new processes, systems and services, or to improving substantially those already produced or installed) R&d expenditure in the business sector in Ireland has been concentrated mostly in experimental development projects ranging from 50.5 per cent of total BERD in 2005 to 71.4 per cent in 2011.
CSO databank Figure 37 shows a strong focus on experimental development projects in the services sector making up almost three quarters of R&d expenditure.
The services sector now holds the majority share of total BERD, driving the increased focus overall on experimental development projects over the decade.
CSO databank Figure 45 shows the share of manufacturing and services firms engaged in joint R&d projects in 2011.
With the exception of collaborations with other firms in Ireland, services firms had higher collaboration rates with all other partners.
Overall, 36 per cent of services firms engaged in collaborative R&d compared with a third of manufacturing firms. 11%15%19%7%32%15%27%21%10%44
or other institutes in Ireland Higher education or other institutes outside Ireland Engaged in any collaboration Manufacturing Services 34 Forfás Board members Eoin O'Driscoll (Chairman) Chairman, Southwestern
Productivity in European private-sector services grew only one-third as fast as it did in the United states between 1995 and 2007,
The continued fragmentation of European markets limits the potential size of demand for European products (particularly services),
such as retail and professional services, by encouraging the adoption of ICT. Europe should focus primarily on ICT-using sectors
or services and input is typically an hour of labor, a single worker, or a combination of workers and physical capital.
for such policies would reduce its terms of trade by requiring its residents to give up some of their income to foreign consumers and/or pay higher prices for foreign goods and services. 29 Policymakers,
And its impact is pervasive as it is being used in virtually every sector, from farming to manufacturing to services to government.
and in both goods-and services-producing industries. 38 Firm level studies have shown also that PAGE 11 THE INFORMATION TECHNOLOGY
3. 6 percent for manufacturing and services firms and 62 percent for ICT firms. 69 Belgian firms that used technology from foreign sources were found to have significantly higher productivity growth. 70 These studies confirm that ICT investment goes hand in hand with firm productivity growth,
in both manufacturing and services. 73 Garcia-Muniz and Vicente look at the EU as a whole and find that ICT helps technologies spread
averaged over 2013 and 2014) 98 Limited Impacts in the Services Sector Drilling down into the lack of investment,
because services are such a large part of the European (and U s.)economy, substantially higher productivity growth in manufacturing would not be sufficient to remedy the productivity slowdown. 100 Mas argues that it is the services
and not the manufacturing industries that make the difference between the US and the EU while in the US TFP improvements in the ICT producers sectors spilled over to the other sectors of the economy (especially the ICT intensive users),
and Facebook. 125 Higher taxes on ICT-producing companies may raise the price of ICT goods and services for everyone else.
the increased provision of software through cloud-based services may change that somewhat, but scale benefits are not likely to disappear,
Therefore, the market for a firm's products or services is limited more, often to only the nation it is based in. 136
like market and non-market services, make up a much larger part of developed-country economies than ICT-producing sectors,
many professional services have national or sub-national barriers to entry based on ensuring quality of service.
both the Norwegian and Danish Data protection Authorities have issued rulings to prevent the use of cloud computing services by municipalities
the result of these kinds of policies will be to raise the costs of ICT services for firms in these nations,
European firms should have free access to the best in breed and best value IT goods and services,
and can cripple the growth of useful services. Another example is the right to be forgotten rule implemented by the European union. 186 The rule allows citizens to request that any information about them held by search engines be removed. 187 Such a rule might sound good in theory,
This is a path the United European firms should have free access to the best in breed and best value IT goods and services,
The Role of Technology, Organization and Contextual Factors in the Development of E-Government Services:
Growth of labour productivity, in per cent, Business Services Sector; accessed February 24), http://stats. oecd. org/Index. aspx?
Talking points, Information Services Group, February 2013, http://www. isg-one. com/web/research-insights/talking-points/archive/1302. asp. 116.
Executive Findings (Hfs Research, April 2013), http://www. kpmginstitutes. com/shared-services-outsourcing-institute/insights/2013/pdf/state-of-outsourcing-2013
the Contribution of medium and high-tech product exports to the trade balance, Exports of knowledge-intensive services, Sales due to innovation activities and License and patent revenues from selling technologies abroad.
2010 Economic effects 3. 2. 1 Employment in knowledge-intensive activities (manufacturing and services) as%of total employment Eurostat Eurostat 2008 2012 3. 2
. 2 Contribution of medium and high-tech product exports to the trade balance United nations United nations 2005 2012 3. 2. 3 Knowledge-intensive services exports as%total service exports
which protect new goods and services. The majority of the Innovation followers perform below average,
and Exports of knowledge-intensive services (25.1%as compared to 45.3%for the EU). Iceland is an Innovation follower
. 2. 3 Knowledge-intensive services exports as%total service exports United nations, Eurostat United nations, Eurostat 2011 South africa 3. 2. 5 License and patent
and Exports of knowledge-intensive services data are not available. Innovation Union Scoreboard 2014 33 graduates and Knowledge-intensive services exports the US has managed to improve its performance lead.
For all other indicators either the performance lead has declined or the performance gap to the EU has increased.
International co-publications, Most-cited publications, Exports of knowledge-intensive services and License and patent revenues from abroad.
Most cited publications, R&d expenditures in the public sector, Exports of knowledge-intensive services and License and patent revenues from abroad.
On the other hand South korea still has a performance lead in Knowledge-intensive services exports but the performance lead for this indicator is decreasing in favour of the EU. Only in License
from abroad, Exports of knowledge-intensive services, Patent applications and Public-private copublications. Australia is performing better than the EU on 3 indicators related to the public sector:
The performance gap on Exports of knowledge-intensive services is decreasing in favour of Australia.
and its performance gap has become smaller in 7 indicators, in particular in Patent applications, Public-private co-publications, International co-publications, Tertiary education and Exports of knowledge-intensive services.
Innovation Union Scoreboard 2014 39 knowledge-intensive services. The performance gap with the EU has increased for 9 indicators, particularly for Doctorate graduates, License and patent revenues from abroad, International co-publications and Patent applications.
Brazil is only performing better than the EU on Exports of knowledge-intensive services. 9 For most indicators
in particular In public-private co-publications, Patent applications and Exports of knowledge-intensive services. Brazil has managed to reduce its performance gap in 9 indicators
and improve its performance lead in Exports of knowledge-intensive services. The performance gap on Doctorate graduates and the Contribution of medium-high-tech product exports to the trade balance has worsened.
and other technical services) and EBOPS 284 (Other business services). Innovation Union Scoreboard 2014 41 measuring the performance of its science system;
India is only performing better than the EU in Exports of knowledgeintensive services where its share of exports is 60%higher than that of the EU. India's growth performance is mixed with growth in 4 indicators being above the EU, in particular for Mostcited publications and Public
Employment in knowledge intensive-services and Knowledge-intensive services exports. Relative weaknesses are in Community designs and Non-R&d innovation expenditures.
%Spain is performing for most indicators below the average of the EU. Relative weaknesses are in License and patent revenues from abroad and Knowledgeintensive services exports.
Relative weaknesses are in Knowledge-intensive services exports and in the Sales share of new innovations.
Strong declines in growth are observed for License and patent revenues from abroad and Knowledge-intensive services exports.
Romania performs similar to the EU for New doctorate graduates and Knowledge-intensive services exports.
Relative weaknesses are observed in Non-EU doctorate students and Knowledge-intensive services exports. Most indicators are growing in Slovenia.
Relative weaknesses are in Non-EU doctorate students and Knowledgeintensive services exports. High growth is observed for Community trademarks and Non-EU doctorate students.
Relative weaknesses are in Sales share of new innovations and Knowledge-intensive services exports. High growth in Sweden is observed for Community trademarks and Non-EU doctorate students.
Relative weaknesses are in Knowledge-intensive services exports and Innovative SMES collaborating with others. Performance in terms of growth has improved particularly for Community trademarks Non-R&d innovation expenditures
Strong declines in growth are observed in Knowledge-intensive services exports and Innovative SMES collaborating with others.
and R&d expenditures in the public sector. Declines in growth are observed only for Knowledge-intensive services exports and Non-EU doctorate students.
43 5, 56 3. 2. 3 Knowledge-intensive services exports 45,3 42,3 25,5 29,2 65,1 55,6 36,4 67,4 53,0 21,6 33,7
80 4, 25-3, 13-10,47-10,47 8, 08-3, 50 5, 92 3. 2. 3 Knowledge-intensive services exports 45,3
, 1%3. 2. 3 Knowledge-intensive services exports 1, 0%0, 1%11,7%5, 0%0, 5%1, 9%2, 9
Knowledge-intensive services exports 1, 0%-1, 6%-3, 3%3, 1%4, 0%5, 2%1, 4%2, 2%5
it identifies the origin of goods and services, guarantees consistent quality through evidence of the company's commitment vis-à-vis the consumer,
or services) and processes, is a key ingredient to innovation in manufacturing activities. Higher shares of technological innovators should reflect a higher level of innovation activities.
Many firms, in particular in the services sectors, innovate through other non-technological forms of innovation.
or ISCED6) Total employment Knowledge-intensive activities provide services directly to consumers, such as telecommunications, and provide inputs to the innovative activities of other firms in all sectors of the economy.
UN Comtrade UN Comtrade 3. 2. 3 Knowledge-intensive services exports as%of total services exports Exports of knowledge-intensive services are measured by the sum of credits in EBOPS
(Extended Balance of payments Services Classification) 207,208, 211,212, 218,228, 229,245, 253,260, 263,272, 274,278, 279,280 and 284 Total services exports as measured by credits in EBOPS 200 The indicator measures the competitiveness of the knowledge-intensive services sector.
Knowledge-intensive services are defined as NACE classes 61-62 and 64-72. These can be related to the above-mentioned EBOPS classes using the correspondence table between NACE,
ISIC and EBOPS as provided in the UN Manual on Statistics of International Trade in Services (UN, 2002).
Eurostat Eurostat 3. 2. 4 Sales of new to-market and new to-firm innovations as%of turnover Sum of total turnover of new or significantly improved products,
Services with a technical content, including technical and engineering studies, as well as technical assistance; and Industrial R&d.
-17.43-8. 35 1. 02 3. 2. 3 Knowledge-intensive services exports 45.3 17.61 61.85 35.78 35.78 73.05 31.57 48 19
70.3 74.9 81.1 92.2 89.5 108.8 104.2 73.8 81.9 90.3 3. 2. 3 Knowledge-intensive services exports 38.9 136.6 79.0 79.0
. 3 Knowledge-intensive services exports 1. 0%4. 3%5. 6%5. 6%-2. 4%-1. 8%-3. 4%0. 7
& high-tech manufacturing as%of workforce---EIS 2009 indicator no longer used 3. 2. 2 Employment in knowledge-intensive services as%of workforce---EIS 2009 indicator no longer used---3. 2. 1
Employment in knowledge-intensive activities (manufacturing and services) as%of workforce New indicator Eurostat 2008,2009
and high-tech product exports as%of total product exports Identical UN/Eurostat 2005 2009 3. 2. 4 Knowledge-intensive services exports as%of total services exports 3
. 2. 3 Knowledge-intensive services exports as%of total services exports Identical UN/Eurostat 2004 2008 3. 2. 5 Sales of new to market innovations
This indicator was introduced by the EC services to capture research performance. Data source: Science Metrix/Scopus 1. 2. 3 Non-EU doctorate holders as%of total doctorate holders of the country Numerator:
identifying certain goods or services as those produced or provided by a specific person or enterprise.
it identifies the origin of goods and services, guarantees consistent quality through evidence of the company's commitment vis-à-vis the consumer,
i e. have introduced either New or significantly improved goods or New or significantly improved services. A process innovation,
or producing goods or services, New or significantly improved logistics, delivery or distribution methods for your inputs, goods or services or New or significantly improved supporting activities for your processes, such as maintenance systems or operations
Technological innovation as measured by the introduction of new products (goods or services) and processes is key to innovation in manufacturing activities.
goods or services (i e. first time use of variable pricing by demand, discount systems, etc. An organisational innovation,
Many firms, in particular in the services sectors, innovate through other non-technological forms of innovation.
Knowledge-intensive activities provide services directly to consumers, such as telecommunications, and provide inputs to the innovative activities of other firms in all sectors of the economy.
This indicator was introduced by the EC services. Data source: Eurostat Comparison with EIS 2009: The indicator on knowledge-intensive activities replaces EIS 2009 indicators 3. 2. 1 on employment in medium-high
and hightech manufacturing and 3. 2. 2 on employment in knowledge-intensive services. The indicator is correlated highly with the EIS 2009 indicator on knowledgeintensive services but not with the EIS 2009 indicator on medium-high and high-tech manufacturing. 3. 2. 2 Medium and high technology product exports
as%of total product exports Numerator: Value of medium and high-tech exports, in national currency and current prices.
UN Comtrade/Eurostat 3. 2. 3 Knowledge-intensive services exports as%of total services exports Numerator:
Exports of knowledge-intensive services are measured by the sum of credits in EBOPS (Extended Balance of payments Services Classification) 207,208, 211,212, 218,228, 229,245, 253,254, 260,263, 272,274, 278,279, 280
Total services exports as measured by credits in EBOPS 200. Rationale: The indicator measures the competitiveness of the knowledgeintensive services sector.
The indicator is comparable to indicator 3. 2. 2 on high-tech manufacturing export performance. Knowledge-intensive services are defined as NACE classes 61-62 and 64-72.
These can be related to the above-mentioned EBOPS classes using the correspondence table between NACE, ISIC and EBOPS as provided in the UN Manual on Statistics of International Trade in Services (UN, 2002).
Data source: Eurostat (Balance of payments statistics)/ UN Service Trade 16 3. 2. 4 Sales of new to-market and new to-firm innovations as%of turnover Numerator:
Services with a technical content, including technical and engineering studies, as well as technical assistance; and Industrial R&d.
LU LU LU LU 3. 2. 3 Knowledge-intensive services exports LU LU LU LU,
it identifies the origin of goods and services, guarantees consistent quality through evidence of the company's commitment vis-à-vis the consumer,
or services) and processes, is a key ingredient to innovation in manufacturing activities. Higher shares of technological innovators should reflect a higher level of innovation activities.
Many firms, in particular in the services sectors, innovate through other non-technological forms of innovation.
Luxembourg The indicator on knowledge-intensive activities replaces the European Innovation Scoreboard indicators on employment in medium-high and high-tech manufacturing and employment in knowledge-intensive services.
IE EU TR IT BEMT LT CHHR IS CZGRLU SI PL SK BGRSNOMK LV RO 52 3. 2. 3 Knowledge-intensive services exports
as%of total services exports Knowledge-intensive services exports 0 10 20 30 40 50 60 70 80 LTHRTR IS BGSK SI HUMKPL PTATMTCHFRRSCZNL
Exports of knowledge-intensive services are measured by the sum of credits in EBOPS (Extended Balance of payments Services Classification) 207,208, 211,212, 218,228, 229,245, 253,254, 260,263, 272,274, 278,279, 280
The indicator measures the competitiveness of the knowledge-intensive services sector. The indicator is comparable to the indicator manufacturing export performance.
Knowledge-intensive services are defined as NACE classes 61-62 and 64-72. These can be related to the above-mentioned EBOPS classes using the correspondence table between NACE,
ISIC and EBOPS as provided in the UN Manual on Statistics of International Trade in Services (UN,
) At EU level about half of the total services exports are knowledge-intensive. Export shares are around 70%in Denmark, Ireland and UK,
Growth performance The export share of knowledge-intensive services has been growing at an average rate of 1. 5%for the EU27.
Lithuania and Sweden at a rate above 5%.Knowledge-intensive services exports-10%-5%0%5%10%15%20%IS LT SE RS NL BE CH FR DK
we graphically and analytically study the characteristics of international R&d centre networks 7 and the relationships between countries that import and export R&d services.
2, 25 12 Computer Services 4 2, 34 109 3, 36 13 General Industrials 4 2, 34 172 5, 30
14 Health care Equipment & Services 4 2, 34 57 1, 76 15 Household Goods & Home Construction 4 2, 34 109 3
Support Services 1 0, 58 3 0, 09 171 100 3247 100 Source: Own calculations.
or trade in R&d services can affect the existence or establishment of such linkages between a different pair of countries.
as compared to the number of countries procuring these services. A country's attractiveness as a location for R&d activities and hence its bargaining power will strongly depend on its technological uniqueness. 3. Third
The objective of the study is to document the existence of innovation gaps between the EU and its main competitors in specific ICT sub-sectors namely web services,
US companies have been the most innovative in web services. Meanwhile, Asia is much stronger than both the USA
11 2. US-EU Innovation Performance in Web Services, Display Technologies and Robotics...13 2. 1 Web services...
15 Apple key lessons...16 Google key lessons...18 Amazon key lessons...19 Skype key lessons...
Case studies Web Services, Display Technologies and Robotics...57 A1. 1 Web Services...57 Apple Corporation...
57 Amazon...60 Google...62 Skype...66 XING AG...71 6 A1. 2 Display technologies...
105 7 Executive Summary Innovation in US and EU companies was analysed in three ICT subsectors (web services, display technologies,
US companies have been the most innovative in web services. Meanwhile, Asia is much stronger than both the USA
with web services estimated at about €70 billion, flat panel displays worth about €75 billion and robotics valued at about €19 billion.
processes and services must extend, in education especially, into the industrial and graphic design industries.
The Amazon case shows the importance of the business environment, the existence of a single market and the efficiency of services.
Using a case study approach in three ICT sub-sectors (web services robotics and display technologies) the study examined the following questions:
XING in web services; Novaled, E Ink, CDT and Plastic Logic in displays; and in robotics, Shadow Robot, R. U. Robots;
Chapter 3 ends with the policy suggestions that emerge from our analysis. 13 2. US-EU Innovation Performance in Web Services,
Web services, Display technologies, Robotics. Annual global revenues for the three sub-sectors show their relative significance,
with web services estimated at about $92 billion (about €70 billion), 3 flat panel displays worth about $99 billion (about €75 billion) 4 and robotics valued at about $25 billion
Clearly US companies have acquired a dominant position in web services, quickly building on innovative breakthroughs in software, design and new business models (e g.
and other services yields an industry total of $ 92 billion. However this is open to question as all Apple's products are driven by online services,
See the web services value chain in Appendix 3 for the verticalization strategy used by Apple, Google, etc.
In web services, however, the USA does lead, owing to combinations of successful first mover advantages, network effects and increasing returns.
and eventually acquired by leading USA web services players, first ebay and now Microsoft. In the following sections we analyse in more detail the development of companies in the three sub-sectors,
and we discuss the lessons that can be learnt from the case studies. 2. 1 Web services For this sub-sector,
but overall the finance needed for a web services business will typically be millions or tens of millions of dollars,
Most capital demands are restricted to web server farms (see the web services value chain in Appendix 2) and even these can be hosted by third party data centres who offer website services for start-ups.
Second, in the web services sub-sector, a successful venture will reach break even and commercial viability relatively quickly, usually less than five years.
if a web services start-up is not profitable within five years the founders and investors will probably have moved on.
and leading on to the West Coast around Stanford and UCLA. In contrast, the EU initiatives in web services that are successful tend to occupy specialized niches in the market.
and growth as a hardware manufacturer but also because of its later reinvention and move into web services.
and so moving to integrate web services into that experience was a natural course and part of its emphasis on design for ease of use.
because Apple had noted the enormous difficulty of using MP3 players, particularly with web services and PCS, at the time.
Apple thus moved into web services coupled to its Macintosh range, creating proprietary protocols for access
The key lesson here is to create verticalization using web services as one component (see Appendix 2 on value chains.
which brought high-level personnel for technical positions, for building and then running web services in vast data centres with fast transaction processing, large customer databases and data mining for refined data analysis,
Strong network effects are important in web services for both viral marketing for retail but also networks of business angels,
(i e. national state municipality/regional) as some Member States in Europe or Asia would attempt to bring together. 21 XING-key lessons Xing is an example of a relative European success in Web services,
So if there is to be government support for new ventures in the web services sub-sector (with support for clusters, tax-breaks,
These niches may hold the best chances to thrive against heavy competition from the USA and elsewhere in mainstream web services.
The time frame for commercialization of web services is typically short only a few years; for complex technologies and where the market has yet to develop,
Japanese future robotics research is fixated on android services robots for a potential future in care and domestic service, for its aging population,
(S i) services across the USA. These suppliers have sophisticated networks for channel partners for value added resellers 29 (VARS)
and provide S i services. For instance, the robotics headquarters for ABB (a Swiss conglomerate with many machinery product and service lines) is in Beijing,
and even students to introduce robotics through business cases and technical integration services, at reduced costs to new users.
Thus web services such as Facebook, ebay, Twitter, etc have been favoured strongly by the VC community. Yet, the US VC industry has been investing in diverse sectors,
and far more recently in web services, e g. for Google. Here the protection of IPR through patents has allowed Apple to defend its position against newcomers attempting to enter some of its markets (e g. smart phones and tablets.
as seen in the robotics cases and in web services. Moreover they have increasing returns with volume across a whole sector
Note that the whole web services 40 subsector came into being and is still based on open source software for the World wide web, the internet communications and management protocols and the majority of web server operating systems (Forge, 2004).
Mach 3. 0. Note that where there are grey areas in the uses of IPR for web services
or services sold which incorporate IP from the patent pool, then it may be viewed as affordable.
and services having open source licences. This can reduces costs and increase security, especially for software for common utilities and applications
and services of today if innovation is to occur. Apple is the clearest example of this in our case studies. Note that start-ups have none of this legacy profit stratagems to fight.
Thus web services such as Facebook, Google, ebay, Twitter, etc are favoured strongly by the VC community.
The Amazon case shows the importance of the business environment, the existence of a single market and efficiency of services.
Case studies Web Services, Display Technologies and Robotics A1. 1 Web Services Apple Corporation Apple computer was founded in April 1976 in a garage in Los Altos near Cupertino
Today such innovative design is the key competitive edge in the consumer electronics sub-sector and web services.
Apple has changed radically, turning away from pure hardware and software for computing to combining bundles of web services.
The plunge into Web-based services was been designed carefully to complement the simultaneous move into pure consumer products
Thus Apple's major business segments have advanced out of hardware and software products for personal computing and graphics into global retail services, with chains, of both online and physical shops.
Its websites for interactive and download services are aimed at a higher-end mass market. The net result is verticalization:
and services that in tandem lock in the end-user (see the web value chain in Appendix 2). It provides Apple control of every stage of the‘user experience'.
and make decisions and products/services based on their inner vision. This controls the very perception of the limits and extents of an innovation.
Since 2007 it has had a successful and logical expansion into e-books with its own into e-readers (the Kindle family) combined with an e-library for charged-for titles for download as in the verticalized business mode for the web services
Now it has launched cloud computing services, based on its own business infrastructure to sell to others. The company first started in Seattle as it was low-cost, with communications giving access to the whole US continent,
and in homogeneity of business services across the EU, compared to a single set of business services in the USA-e g. availability of low cost parcel carriers in competition with the incumbent post office, at the level of the USA.
and thirdly that web services enable high margin, lowest prices-again quite challengeable. Amazon's major advantage was its original innovation,
Logistics chains of dispatch centres for warehousing and ground transport with a host of delivery services partners.
and then 62 translates those trends and needs into new products and services. Management pays careful attention at the idea/creation stage to what customers are looking for in the products they choose.
The goal is to ensure the company is delivering well-differentiated services in line with what the consumer wants.
For its next attack on other web services, it is hiring social media directors and launching into social media and games with software development.
and advertising services, as well as a plethora of online tools and platforms including: Gmail, Maps and Youtube.
Unlike other Voip services, Skype is a peer-to-peer system rather than a client server system, and makes use of background processing on computers running Skype software;
Former Skype personnel have founded tens of companies, primarily related to Internet services, some of which been successful.
Its revenues from its services announced 29 february 2012 rose by 22%over the 2010 results, to €66. 2 million.
The company provides its members with a range of networking services such as making new contacts,
It has enabled XING to evolve from a business networking platform into the web interface for a widening range of services, for business professionals around the world,
Compared say to other websites, 73 or to other services industries (utilities, mobile operators, this appears to be comparatively high).
but particularly for its proprietary OLED materials and its customized OLED products and services. Novaled also specializes in OLEDS on metal.
and Thomson, the media services and equipment group. For its supply side, there are long-term contractual agreements in Germany with Ciba Specialty Chemicals and BASF, who produce the organic dopant and transport materials
commonly known as Kodak, is an American multinational imaging and photographic equipment, materials and services company. Founded in 1880 by George Eastman,
and support services as over 50%of the robotics value chain is in systems integration and service.
It offers integration services for advanced robotics control systems, flexible automation, human-robot Interaction (HRI) and operator performance.
for robots working safely with people either in factories or in care services, e g. for the aged.
and robot suppliers in innovation projects, reasoning that its support for ideas will lead to the commercialization of products and services.
and healthcare services will also be common soon. To implement this strategy Robotdalen has concentrated on three main areas:
what business model is likely to be most successful for instance the trend to verticalization in the web services sector from device to operating system to service as a lock in mechanism in a web market. 106 1 The Web Services value chain:
Sales & After sales Generic Web Services Value Chain for a large operation (Google, Apple, Amazon,
10.2791/13458 Abstract The objective of the study is to document the existence of innovation gaps between the EU and its main competitors in specific ICT sub-sectors namely web services,
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