Value in technology evolution: case mobile peer‐to‐peer communications

Abstract

PurposeMobile peer‐to‐peer communications is an essential phase in the evolution of mobile communications technologies, motivating this research which aims to focus on how established industry stakeholders and new entrants can adapt themselves to the new situation.Design/methodology/approachBased on existing literature, the authors identified three distinctive evolution paths for mobile peer‐to‐peer communications and developed an analysis framework for their comparison. The authors validated the analysis by conducting a questionnaire study among domain experts, and analyzed its results using statistical analysis.FindingsInternet‐driven evolution has high value proposition, is profitable and has subscription fees as an important revenue model. Telecom‐driven evolution creates value, leverages markets, leverages competence, is likely to encounter regulatory intervention and benefits all customer segments. Proprietary evolution has a successful revenue model, results in alliances of competitors and is competence‐enhancing to mobile device vendors.Research limitations/implicationsFuture work consists mainly of analyzing quantitatively the implications of the new technologies when they become readily available and evaluating the value analysis framework in other applicable cases.Practical implicationsInternet‐driven evolution enables new business opportunities to independent service operators and equipment vendors by enabling opportunities in profiting from sales of advanced devices and networks. Telecom‐driven evolution benefits mostly incumbent mobile network operators. Proprietary evolution enables limited competition against incumbent actors by independent service operators.Originality/valueThis study is one of the first journal publications on mobile peer‐to‐peer communications from a holistic techno‐economic point of view, beneficial to both academics and practitioners.