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1. Where Will Work Come from in the Era of the Cloud and Big Data?

Author:
John Zysman and Martin Kenney
Publication Date:
01-2015
Content Type:
Working Paper
Abstract:
Will the digital revolution, and its current manifestation in Cloud computing and platform-based work, inexorably lead to the elimination of jobs and work due to automation. Are new opportunities for work opening? Should we be thinking in terms of conventional work or is value creation the key? Certainly, nearly all firms are experiencing intense competition leading to commoditization based principally upon price. In the first section of this paper, we explore the pathways opened as cloud computing, transforms the way both goods and services are innovated, produced, and distributed. Production now has two aspects; classically understood manufacturing and ICT-enabled services, activities and virtual goods, both of which can be transformed to escape a commodity trap. As firms in advanced countries seek to sustain advantage in global markets, their efforts alter not only the terms of competition, but the character of work. The second section speculates upon the ways in which the cloud, as a platform, is transforming the nature of work, jobs, and employment. The emergence of cloud-based platforms such as, Airbnb, the Apple app store, Github, Google, LinkedIn, and Uber is redefining the forms and nature of value creation. Paradoxically, given that Google monetizes peoples’ searches, Facebook and LinkedIn monetize posts, Github monetizes open source software creation, and App stores monetize software creations, it is also possible to argue that more value than ever is being created, even while traditional notions of employment are being challenged. This suggests that as a consequence of the implementation of cloud-based strategies; an entirely new category of work organization, which we term, the “Platform Economy” is emerging.
Topic:
Science and Technology, Communications, Labor Issues, and Global Markets
Political Geography:
Global Focus

2. Escape from the Commodity Trap: Will the Production Transformation Sustain Productivity, Growth and Jobs?

Author:
John Zysman
Publication Date:
04-2014
Content Type:
Working Paper
Abstract:
The emerging transformation of the production of goods and services is dramatically altering what is produced, where, how, and who captures the value. It creates opportunities and challenges. Part I of this essay examines the transformation of production and its acceleration by Cloud Computing. A first argument is that the transformation of production, including both manufacturing and ICT-enabled services should be our focus. A second argument is that ICT enabled services are a source of distinct value in the economy. Third, it considers the distinct and contradictory challenges facing manufacturing. The fourth argument is that the transformation of production will be accelerated by the emergence of Cloud Computing as the next Information Technology Platform. Part II of the essay makes a few focused policy suggestions and considers several issues policy makers need to consider as they frame policy. The emphasis is on the role of next generation tools and competencies of “places”. The crucial policy question is how to nudge that transformation in the advanced countries toward higher value added, higher skilled, higher wage solutions.
Topic:
Economics, Science and Technology, Communications, and Global Markets
Political Geography:
Global Focus

3. The Next Epoch in Cloud Computing: Implications for Integrated Research and Innovation Strategy

Author:
John Zysman, Kenji E. Kushida, Jonathan Murray, and Patrick Scaglia
Publication Date:
09-2014
Content Type:
Working Paper
Institution:
Walter H. Shorenstein Asia-Pacific Research Center
Abstract:
The advent of Cloud computing as the new underlying global infrastructure of computing presents distinctive new opportunities and challenges for Europe. Cloud computing is transforming computing resources from a scarce to an abundant resource, driving a wave of commoditization in previously high-end software and hardware. For Europe to gain independence from US-based global scale Cloud providers, our view is that it needs to move towards a distributed model of computing with federated governance. Distributed Cloud means the distribution of computation close to the geographic location of the data and the users, as opposed to the centralized model of today. Our research and innovation strategy recommendations reflect this view.
Topic:
Science and Technology, Infrastructure, and Governance
Political Geography:
Europe

4. Cloud Computing: From Scarcity to Abundance

Author:
John Zysman, Kenji Kushida, and Jonathan Murray
Publication Date:
09-2014
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
Cloud Computing is a revolution in computing architecture, transforming not only the “where” (location) of computing, but also the “how” (the manner in which software is produced and the tools available for the automation of business processes). Cloud Computing emerged as we transitioned from an era in which underlying computing resources were both scarce and expensive to an era in which the same resources were cheap and abundant. There are many ways to implement Cloud architectures, and most people are familiar with public cloud services such as Gmail or Facebook. However, much of the impact of Cloud Computing on the economy will be driven by how large enterprises implement Cloud architectures for their own private use. Lead users are already combining private and public computing resources into new hybrid delivery models. Cloud architectures are also poised to disrupt the Information Technology (IT) industry, broadly conceived, with a new wave of commoditization. Offerings optimized for high performance in an era of scarcity are giving way to loosely coupled, elastically managed architectures making use of cheap, abundant computing resources today.
Topic:
Markets, Science and Technology, and Infrastructure

5. Diffusing the Cloud: Cloud Computing and Implications for Public Policy

Author:
John Zysman, Kenji E. Kushida, and Jonathan Murray
Publication Date:
01-2011
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
Cloud Computing is rapidly emerging as the new information technology platform. It is, however, much more than simply a new set of technologies and business models. Cloud Computing is transforming how consumers, companies, and governments store information, how they process that information, and how they utilize computing power. It can be an engine of innovation, a platform for entrepreneurship, and driver of corporate efficiency. While an increasingly commonly term, confusion remains over what exactly constitutes Cloud Computing, how the markets are unfolding, and what forces will drive their evolution and diffusion. This paper provides an overview and conceptual tools for business leaders, policymakers, and non-specialist scholars to identify, distill, and easily understand the core aspects of how Cloud Computing service markets are developing, and how an array of policy issues will influence how this new computing platform unfolds across the world.
Topic:
Globalization, International Trade and Finance, Markets, and Science and Technology

6. Cloud Computing: Policy Challenges for a Globally Integrated Innovation, Production and Market Platform

Author:
John Zysman and Jonathan Murray
Publication Date:
07-2011
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
“Cloud computing” is much more than simply a new set of technologies and business models. It is rapidly emerging as the platform that will underpin the next generation of digital products and services. Cloud Computing is transforming how consumers, companies, and governments store information, how they process and exchange that information, and how they utilize computing power. Consequently, it opens a new set of policy discussions while at the same time underling the importance of old debates.
Topic:
Government, Intelligence, Markets, and Science and Technology

7. Cutting Through the Fog: Understanding the Competitive Dynamics in Cloud Computing

Author:
John Zysman, Dan Breznitz, and Kenji E. Kushida
Publication Date:
05-2010
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
Cloud Computing is growing rapidly, and it is likely to become part of the dominant computing infrastructure for individuals, start-up firms, small-medium businesses, and large enterprises. However, as it is still an emerging set of technologies and business models, discussions of Cloud Computing have not reached the level of clarity or shared conceptions of more mature areas of computing. The purpose of this document is threefold.
Topic:
International Trade and Finance and Science and Technology

8. The Services Transformation and IT Network Regulation

Author:
John Zysman and Kenji Erik Kushida
Publication Date:
06-2008
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
There is currently a fundamental transformation of services, a transformation central to the growth of productivity and competition in the global economy. This transformation, a response to commodification generated by decomposition of production and intensified competition in global markets, is driven by developments in IT tools, the uses they are being put to, and the networks they run on. The service transformation is changing how firms add value, affecting the underlying economic activity in countries around the world.
Topic:
Government and Science and Technology
Political Geography:
Japan and South Korea

9. Innovation and Adaptability in a Digital Era: How Wealthy Nations Stay Wealthy

Author:
Tobias Schulze-Cleven, Bartholemew C. Watson, and John Zysman
Publication Date:
05-2007
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
The challenge for the advanced countries is to stay wealthy in a rapidly evolving and ever more competitive global economy. As a new digital era emerges and the mechanisms of value creation – i.e. the engines of productivity and growth – change in volatile marketplaces, wealthy nations have to find new ways to adapt. Particularly in Europe, successful adjustment has often been posed as a choice between social protection and market flexibility. In this paper, we recast this all too common framing and emphasize instead that competitive advantage for the advanced countries may be built through appropriate social policy. Upon clarifying the character of competition in the emerging digital era, we argue that the long-standing strong social protection systems particularly in many European countries could be leveraged to these countries' unique advantage in the emerging digital era. With such benefits as promoting social peace and assisting people in meeting new labour market demands, social protection systems have an important role to play in helping societies reorganize existing economic structures in support of successful adaptation to new competitive conditions.
Topic:
Economics, Globalization, International Political Economy, and Science and Technology
Political Geography:
Europe

10. Competency Based Regional Growth Strategies: Creating Value in a Digital Global Age

Author:
John Zysman, Niels Christian Nielsen, Dan Breznitz, and Derek Wong
Publication Date:
09-2007
Content Type:
Working Paper
Institution:
Berkeley Roundtable on the International Economy
Abstract:
The policy objective for governments is classic and enduring: sustain the growth of employment and productivity to assure expanding real incomes of the citizens. Success requires that “under free and fair market conditions, the community (firms and populace) can produce goods and services that meet the test of international markets while simultaneously expanding the real income of its citizens.” Yet, the logic of competition and value creation in global markets has evolved. Consequently, old strategies of simply supporting the competitiveness of particular national flag firms or chasing smokestacks are clearly obsolete, but merely investing in R or education is not sufficient, and doing nothing is a formula for decline. Regions have to conceive new strategies to find distinctive advantages to support employment and productive activity. Those strategies will need to target competencies, not particular firms or specific sectors. Our argument begins by considering the basic shifts in global markets that are altering the logic of value creation for firms; it then considers how these market shifts alter the policy choices for places and makes competency domains a necessary foundation of policy analysis.
Topic:
Globalization, International Political Economy, and Science and Technology