Technology and Markets for Knowledge: Knowledge Creation, Diffusion and Exchange within a Growing Economy

221 Pages·2001·5.243 MB·English

by  Bernard Guilhon (auth.), Bernard Guilhon (eds.)

TECHNOLOGY AND
MARKETS FOR KNOWLEDGE
KNOWLEDGE CREATION, DIFFUSION AND EXCHANGE
WITHIN A GROWING ECONOMY
Economics of Science, Technology and Innovation
VOLUME 22
Series Editors
Cristiano Antonelli, University o/Torino, Italy
Bo Carlsson, Case Western Reserve University, U.S.A.
Editorial Board:
Steven Klepper, Carnegie Mellon University, U.S.A.
Richard Langlois, University o/Connecticut, U.S.A.
J.S. Metcalfe, University 0/ Manchester, U.K.
David Mowery, University o/California, Berkeley, U.S.A.
Pascal Petit, CEPREMAP, France
Luc Soete, Maastricht University, The Netherlands
The titles published in this series are listed at the end of this volume.
TECHNOLOGY AND
MARKETS FOR KNOWLEDGE
KNOWLEDGE CREATION, DIFFUSION AND
EXCHANGE WITIDN A GROWING
ECONOMY
edited by
Bernard Guilhon
Universite de la Mediterranee, France
KLUWER ACADEMIC PUBLISHERS
Boston I Dordrecht I London
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Library of Congress Cataloging-in-Publication Data
Technology and markets for knowledge: knowledge creation, diffusion, and exchange
within a growing economy I edited by Bernard Guilhon.
p. cm. --(Economics of science, technology, and innovation; v. 22)
Includes bibliographical references (p.) and index.
ISBN 0-7923-7202-6 (alk. paper)
1. Intellectual capital. 2. Intellectual capital--Case studies. 3. Knowledge--Economic
aspects. 4. Knowledge--Economic aspects--Case studies. I. Guilhon, Bernard. II. Series.
HD53 .T43 2001
338.4'7001--dc21 00-048694
Copyright © 2001 by Kluwer Academic Publisher
All rights reserved. No part of this publication may be reproduced, stored in a
retrieval system or transmitted in any form or by any means, mechanical, photo
copying, recording, or otherwise, without the prior written permission of the publisher,
Kluwer Academic Publishers, 101 Philip Drive, Assinippi Park, Norwell,
Massachusetts 02061
Printed on acid-free paper
Printed in the United States of America
CONTENTS
List of Figures .......................................................................v ii
List of Tables ......................................................................... ix
List of Contributors .................................................................x i
Acknowledgments .................................................................. xiii
Foreword
Cristiano Antonelli .......................................................... xv
Preface
Bernard Guilhon......................................................... xix
Part I The theoretical analysis ofthe markets for knowledge ............ l
1. How to Characterize Markets for Knowledge?
Bernard Guilhon ....................................................... 3
2. The Emergence of the Quasi-Markets for Knowledge
Bernard Guilhon ...................................................... 21
3. The Working of Markets for Knowledge
Bernard Guilhon ......•............................................... 41
Part IT Sectoral Applications ..................................................... 69
4. The Market for Knowledge in the Chemical Sector
Fabrizio Cesaroni and Myriam Mariani ............................. 71
5. The Market for Knowledge in Bio-pharmaceuticals
Daisy Rhuguet and Christophe Silvy ................................ 99
6. Innovative Labor and Intellectual Property Market in the
Semiconductor Industry
Raja Attia, Isabelle Davy and Roland Rizoulieres ................. 137
vi
7. Evolution of Markets in the Software Industry
Suma S. Athreye .................•........•.......................... 181
Conclusion
Bernard Guilhon .....••....•..••••.•...........•••.....•........•.•. 201
Index ......................................................................... 205
LIST OF FIGURES
Chapter 1, 2 & 3
Figure 1: Modes of knowledge conversion.
Figure 2: Place and role of specialized firms in knowledge production.
Figure 3: Knowledge production and knowledge flows.
Figure 4: The changing shape of innovation process.
Figure 5: The management of knowledge by firms.
Chapter 4
Figure 1: Use of proprietary technologies (largest European, North Ameri
can and Japanese companies).
Chapter 5
Figure 1: Growth in U.S domestic R&D and abroad, 1980-2000.
Figure 2: New products approved in USA from 1987 to 1998.
Figure 3: Improvement in research methodology.
Figure 4:The drug development and approval process in the '90s.
Figure 5: Total development time from synthesis to approval.
Figure 6: Complementary knowledge bases and knowledge transfer.
Figure 7: Evolution of biotechnological agreements with reference to differ
ent types of partnerships for the period between 1982 and 1999.
Figure 8: Knowledge exchange in 1999.
Chapter 6
Figure 1: Semiconductor market segments in 1999.
Figure 2: The three paradigms in the semiconductor industry.
Figure 3: From simple product to complex system.
Figure 4: Disintegration of IC production.
Figure 5: Young's cumulative dynamics.
Figure 6: The design gap crisis.
Figure 7: The growing trend of IP reuse.
Figure 8: Pervasiveness of IP in ASICs.
Figure 9: Internal creation vs purchase of physical libraries.
Figure 10: IP Market Evolution.
viii
Figure 11: The various means of protecting IPs and their applications in the
value chain.
Figure 12: The danger ofleaks during the design and transfer ofIPs.
Figure 13: Money flow within the se industry.
Figure 14: Market shares for embedded RISe processor cores.
Figure 15: Licensing revenue model.
Figure 16: Repeat business is at the heart of ARM's success.
Figure 17: ARM's revenue flow.
Chapter 7
Figurel :Software history eras (including foundation dates of selected major
players).
LIST OF TABLES
Chapter 1, 2 & 3
Table 1. Expenditure on R&D as a % of sales (ethical medicines), American
pharmaceutical companies, 1970-1998
Table 2. The growth in contract research and development in the UK: 1985-
1995 (millions of £)
Table 3. Expenditure on R&D (millions of £)
Table 4. Inherent tradability of different assets
Table 5. Technological payments and BERD in France and United Kingdom
Ratio T.P.IBERD in % 1981-1996
Table 6. Categories of KIBS
Table 7. Sales of the ten first world suppliers of services (million dollars)
Table 8.0utsourcing market value: selected industries (4 KIBS) ($ million -
year: 1996)
Table 9. Selection of business services, United-Kingdom 1996
Table 10. Selection of business services, France, 1995
Chapter 4
Table 1. Most frequently licensed product and process technologies (1980-
1997)
Table 2. Inter-firm agreements: 1990-1997 (Shares of total number of
agreements by chemical Sector)
Table 3. Licenses: value and number by sector: 1990-1997 (Millions of dol
lars)
Table 4. Shares of total number of licenses: 1990-1997
Table 5. Licensing agreements: 1980-1997 (Shares of total licenses by type
of licensor and region).
Table 6. Licensing agreements: 1980-1997 (Shares of total licenses by type
of licensor and licensee)
Table 7. Market share of SEFs - Engineering services: 1980-1990 (Shares of
total number of plants by region).
Table 8. Market share of SEFs - Licenses: 1980-1990 (Shares of total Num
ber of plants by region)
x
Chapter 5
Table 1. Market share and net profit ratio in pharmaceuticals and in automo-
tive in 1996
Table 2. Market Share of Top Ten in Pharmaceuticals (1998)
Table 3. Classification of pharmaceutical products
Table 4. Blockbusters sales of top 10 pharmaceutical firms (1996)
Table 5. Evolution of exchange partners from 1982 to 1999 (%)
Table 6a. Biotechnological knowledge exchanges between DBFs and LDFs
Table 6b. Biotechnological knowledge exchange between LDF
Table 6c. Biotechnological knowledge exchange between DBF
Chapter 6
Table 1. End uses of semiconductors
Table 2. Top 10 semiconductor manufacturers
Table 3. Combined evolution of technical characteristics and investment in
drams
Table 4. The evolution of the knowledge base features
Table 5. Fabless revenue vs semiconductor revenue
Table 6. The economics of independent IP
Table 7. Number of patents applied for from national offices
Table 8. The breakdown of costs
Chapter 7
Table 1. Domestic consumption of software and computer services in the
United States, Japan, and Western Europe ($ billion)
Table 2. Entry barriers for different types of European software producers
(average scores)