PurposeWhile existing literature offers valuable insights into social media knowledge, absorptive capacity, and competitive intelligence, it does not fully address the integrated activities involved in generating valuable knowledge. This study aims to address this gap by investigating how high-tech companies leverage knowledge acquired from social media, mediated through absorptive capacity, to generate valuable competitive intelligence.Design/methodology/approachA total of 270 valid responses were collected from high-tech company managers through an online survey. PROCESS Model 4, employing 5,000 bootstrap samples and 95% confidence intervals, was used to assess the constructs of interest. Using the Knowledge-Based View, this approach tested the mediating role of companies' absorptive capacity in the association between knowledge acquisition from social media and competitive intelligence processes.FindingsThe results indicate that knowledge acquisition from social media, both directly and indirectly (through absorptive capacity), positively influences competitive intelligence processes, including collection and analysis.Practical implicationsAcquiring knowledge from social media does not necessarily lead to superior intelligence in companies. This study helps managers focus on enhancing companies' absorptive capacity for more effective competitive intelligence processes.Originality/valueThis study investigates the role of absorptive capacity in terms of the connection between acquiring knowledge from social media and competitive intelligence. The findings have significant theoretical and managerial implications, providing valuable insights that could help high-tech company managers improve intelligence generation in their companies.