Technology Evolution Prediction Using Lotka–Volterra Equations

Abstract

During the development planning of a new product, designers and entrepreneurs rely on the prediction of product performance to make business investment and design strategy decisions. Moore's law and the logistic S-curve model help make such predictions but suffer several drawbacks. In this paper, Lotka–Volterra equations are used to describe the interaction between a product (system technology) and the components and elements (component technologies) that are combined to form the product. The equations are simplified by a relationship table and maturation evaluation in a two-step process. The performance data of the system and its components over time are modeled by simplified Lotka–Volterra equations. The methods developed here allow designers, entrepreneurs, and policy makers to predict the performances of a product and its components quantitatively using the simplified Lotka–Volterra equations. The methods also shed light on the extent of performance impact from a specific module (component technology) on a product (system technology), which is valuable for identifying the key features of a product and for making outsourcing decisions. Smartphones are used as an example to demonstrate the two-step simplification process. The Lotka–Volterra model of technology evolution is validated by a case study of passenger airplanes and turbofan aero-engines. The case study shows that the data fitting and predictive performances of Lotka–Volterra equations exceed those of extant models.