IDEAS home Printed from https://ideas.repec.org/a/spr/anresc/v71y2023i3d10.1007_s00168-022-01181-3.html
   My bibliography  Save this article

The emergence of artificial intelligence in European regions: the role of a local ICT base

Author

Listed:
  • Jing Xiao

    (Lund University)

  • Ron Boschma

    (Utrecht University
    University of Stavanger)

Abstract

The purpose of this study is to investigate how a regional knowledge base of information and communication technologies (ICTs) influences the emergence of artificial intelligence (AI) technologies in European regions. Relying on patent data and studying the knowledge production of AI technologies in 233 European regions in the period from 1994 to 2017, our study reveals three results. First, ICTs are a major knowledge source of AI technologies, and their importance has been increasing over time. Second, a regional knowledge base of ICTs is highly relevant for regions to engage in AI inventing. Third, the effects of a regional knowledge base of ICTs are stronger for regions that have recently caught up regarding AI inventing. Our findings suggest that ICTs play a critically enabling role for regions to diversify into AI technologies, especially for regions’ catching up in terms of AI inventing.

Suggested Citation

  • Jing Xiao & Ron Boschma, 2023. "The emergence of artificial intelligence in European regions: the role of a local ICT base," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 71(3), pages 747-773, December.
    • Handle: RePEc:spr:anresc:v:71:y:2023:i:3:d:10.1007_s00168-022-01181-3
    DOI: 10.1007/s00168-022-01181-3
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s00168-022-01181-3
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s00168-022-01181-3?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Frank Neffke & Martin Henning & Ron Boschma, 2011. "How Do Regions Diversify over Time? Industry Relatedness and the Development of New Growth Paths in Regions," Economic Geography, Taylor & Francis Journals, vol. 87(3), pages 237-265, July.
    2. Ron Boschma & Koen Frenken, 2011. "The emerging empirics of evolutionary economic geography," Journal of Economic Geography, Oxford University Press, vol. 11(2), pages 295-307, March.
    3. Armey, Laura E. & Hosman, Laura, 2016. "The centrality of electricity to ICT use in low-income countries," Telecommunications Policy, Elsevier, vol. 40(7), pages 617-627.
    4. Koen Frenken & Ron A. Boschma, 2007. "A theoretical framework for evolutionary economic geography: industrial dynamics and urban growth as a branching process," Journal of Economic Geography, Oxford University Press, vol. 7(5), pages 635-649, September.
    5. Ron Boschma & Asier Minondo & Mikel Navarro, 2013. "The Emergence of New Industries at the Regional Level in S pain: A Proximity Approach Based on Product Relatedness," Economic Geography, Taylor & Francis Journals, vol. 89(1), pages 29-51, January.
    6. Ron Boschma & Pierre-Alexandre Balland & Dieter Franz Kogler, 2015. "Relatedness and technological change in cities: the rise and fall of technological knowledge in US metropolitan areas from 1981 to 2010," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 24(1), pages 223-250.
    7. Sandro Mendonca, 2006. "The Revolution Within: Ict And The Shifting Knowledge Base Of The World'S Largest Companies," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 15(8), pages 777-799.
    8. Ajay Agrawal & Joshua Gans & Avi Goldfarb, 2019. "The Economics of Artificial Intelligence: An Agenda," NBER Books, National Bureau of Economic Research, Inc, number agra-1, October.
    9. Hausmann, Ricardo & Hidalgo, César A., 2010. "Country Diversification, Product Ubiquity, and Economic Divergence," Scholarly Articles 4554740, Harvard Kennedy School of Government.
    10. Fulvio Castellacci & Davide Consoli & Artur Santoalha, 2020. "The role of e-skills in technological diversification in European regions," Regional Studies, Taylor & Francis Journals, vol. 54(8), pages 1123-1135, July.
    11. Susanto Basu & John G. Fernald, 2008. "Information and communications technology as a general purpose technology: evidence from U.S. industry data," Economic Review, Federal Reserve Bank of San Francisco, pages 1-15.
    12. Felicia Fai & Nicholas Von Tunzelmann, 2001. "Scale And Scope In Technology: Large Firms 1930/1990," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 10(4), pages 255-288.
    13. Jeroen Content & Koen Frenken, 2016. "Related variety and economic development: a literature review," European Planning Studies, Taylor & Francis Journals, vol. 24(12), pages 2097-2112, December.
    14. Ron Boschma, 2017. "Relatedness as driver of regional diversification: a research agenda," Regional Studies, Taylor & Francis Journals, vol. 51(3), pages 351-364, March.
    15. C. A. Hidalgo & B. Klinger & A. -L. Barabasi & R. Hausmann, 2007. "The Product Space Conditions the Development of Nations," Papers 0708.2090, arXiv.org.
    16. Ron Boschma & Carlo Gianelle, 2014. "Regional Branching and Smart Specialisation Policy," JRC Research Reports JRC88242, Joint Research Centre.
    17. Maryann P. Feldman & Dieter F. Kogler & David L. Rigby, 2015. "rKnowledge: The Spatial Diffusion and Adoption of rDNA Methods," Regional Studies, Taylor & Francis Journals, vol. 49(5), pages 798-817, May.
    18. Nicola Cortinovis & Jing Xiao & Ron Boschma & Frank G van Oort, 2017. "Quality of government and social capital as drivers of regional diversification in Europe," Journal of Economic Geography, Oxford University Press, vol. 17(6), pages 1179-1208.
    19. Ron A. Boschma & Koen Frenken, 2006. "Why is economic geography not an evolutionary science? Towards an evolutionary economic geography," Journal of Economic Geography, Oxford University Press, vol. 6(3), pages 273-302, June.
    20. Ron Boschma, 2017. "Relatedness as driver behind regional diversification: a research agenda," Papers in Evolutionary Economic Geography (PEEG) 1702, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jan 2017.
    21. Jing Xiao & Ron Boschma & Martin Andersson, 2018. "Industrial Diversification in Europe: The Differentiated Role of Relatedness," Economic Geography, Taylor & Francis Journals, vol. 94(5), pages 514-549, October.
    22. David L. Rigby, 2015. "Technological Relatedness and Knowledge Space: Entry and Exit of US Cities from Patent Classes," Regional Studies, Taylor & Francis Journals, vol. 49(11), pages 1922-1937, November.
    23. Bernardo S Buarque & Ronald B Davies & Ryan M Hynes & Dieter F Kogler, 2020. "OK Computer: the creation and integration of AI in Europe," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 175-192.
    24. Arne Isaksen, 2015. "Industrial development in thin regions: trapped in path extension?," Journal of Economic Geography, Oxford University Press, vol. 15(3), pages 585-600.
    25. Gaston Heimeriks & Ron Boschma, 2014. "The path- and place-dependent nature of scientific knowledge production in biotech 1986–2008," Journal of Economic Geography, Oxford University Press, vol. 14(2), pages 339-364.
    26. Koen Frenken & Frank Van Oort & Thijs Verburg, 2007. "Related Variety, Unrelated Variety and Regional Economic Growth," Regional Studies, Taylor & Francis Journals, vol. 41(5), pages 685-697.
    27. repec:ulb:ulbeco:2013/283916 is not listed on IDEAS
    28. Josh Lerner & Scott Stern, 2012. "The Rate and Direction of Inventive Activity Revisited," NBER Books, National Bureau of Economic Research, Inc, number lern11-1, October.
    29. Jacques Bughin & Nicolas van Zeebroeck, 2018. "Artificial intelligence: Why a digital base is critical," ULB Institutional Repository 2013/367869, ULB -- Universite Libre de Bruxelles.
    30. Colombelli, Alessandra & Krafft, Jackie & Quatraro, Francesco, 2014. "The emergence of new technology-based sectors in European regions: A proximity-based analysis of nanotechnology," Research Policy, Elsevier, vol. 43(10), pages 1681-1696.
    31. Sandro Montresor & Francesco Quatraro, 2017. "Regional Branching and Key Enabling Technologies: Evidence from European Patent Data," Economic Geography, Taylor & Francis Journals, vol. 93(4), pages 367-396, August.
    32. Colombelli, Alessandra & Krafft, Jackie & Quatraro, Francesco, 2014. "The emergence of new technology-based sectors in European regions: A proximity-based analysis of nanotechnology," Research Policy, Elsevier, vol. 43(10), pages 1681-1696.
    33. Cohen, Wesley M & Levinthal, Daniel A, 1989. "Innovation and Learning: The Two Faces of R&D," Economic Journal, Royal Economic Society, vol. 99(397), pages 569-596, September.
    34. Agrawal, Ajay & Gans, Joshua & Goldfarb, Avi (ed.), 2019. "The Economics of Artificial Intelligence," National Bureau of Economic Research Books, University of Chicago Press, number 9780226613338, December.
    35. Manuel Trajtenberg & Adam B. Jaffe & Michael S. Fogarty, 2000. "Knowledge Spillovers and Patent Citations: Evidence from a Survey of Inventors," American Economic Review, American Economic Association, vol. 90(2), pages 215-218, May.
    36. Philip Cooke & Bjørn Asheim & Ron Boschma & Ron Martin & Dafna Schwartz & Franz Tödtling (ed.), 2011. "Handbook of Regional Innovation and Growth," Books, Edward Elgar Publishing, number 13482.
    37. McCann, Philip, 2013. "Modern Urban and Regional Economics," OUP Catalogue, Oxford University Press, edition 2, number 9780199582006, Decembrie.
    38. Jacques Bughin & Nicolas van Zeebroeck, 2018. "Artificial intelligence: Why a digital base is critical," ULB Institutional Repository 2013/283916, ULB -- Universite Libre de Bruxelles.
    39. Anne Nygaard Tanner, 2016. "The emergence of new technology-based industries: the case of fuel cells and its technological relatedness to regional knowledge bases," Journal of Economic Geography, Oxford University Press, vol. 16(3), pages 611-635.
    40. Ron Boschma, 2005. "Proximity and Innovation: A Critical Assessment," Regional Studies, Taylor & Francis Journals, vol. 39(1), pages 61-74.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nils Grashof & Alexander Kopka, 2023. "Artificial intelligence and radical innovation: an opportunity for all companies?," Small Business Economics, Springer, vol. 61(2), pages 771-797, August.
    2. Nils Grashof & Alexander Kopka, 2023. "Widening or closing the gap? The relationship between artificial intelligence, firm-level productivity and regional clusters," Bremen Papers on Economics & Innovation 2304, University of Bremen, Faculty of Business Studies and Economics.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ron Boschma, 2018. "The geographical dimension of structural change," Papers in Evolutionary Economic Geography (PEEG) 1839, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Nov 2018.
    2. Quatraro, Francesco & Scandura, Alessandra, 2020. "Regional patterns of unrelated technological diversification: the role of academic inventors," Department of Economics and Statistics Cognetti de Martiis LEI & BRICK - Laboratory of Economics of Innovation "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio 202001, University of Turin.
    3. Moreno, Rosina & Ocampo-Corrales, Diego, 2022. "The ability of European regions to diversify in renewable energies: The role of technological relatedness," Research Policy, Elsevier, vol. 51(5).
    4. Ron Boschma, 2021. "Designing Smart Specialization Policy: relatedness, unrelatedness, or what?," Papers in Evolutionary Economic Geography (PEEG) 2128, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Sep 2021.
    5. Barbero, Javier & Diukanova, Olga & Gianelle, Carlo & Salotti, Simone & Santoalha, Artur, 2024. "Technologically related diversification: One size does not fit all European regions," Research Policy, Elsevier, vol. 53(3).
    6. Jing Xiao & Ron Boschma & Martin Andersson, 2018. "Industrial Diversification in Europe: The Differentiated Role of Relatedness," Economic Geography, Taylor & Francis Journals, vol. 94(5), pages 514-549, October.
    7. Elekes, Zoltán, 2016. "A regionális növekedés új tényezői az evolúciós gazdaságföldrajzi kutatásokban. A változatosság és a technológiai közelség [The new factors of regional growth in research into evolutionary economic," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(3), pages 307-329.
    8. Santoalha, Artur & Consoli, Davide & Castellacci, Fulvio, 2021. "Digital skills, relatedness and green diversification: A study of European regions," Research Policy, Elsevier, vol. 50(9).
    9. Wolf-Hendrik Uhlbach & Pierre-Alexandre Balland & Thomas Scherngell, 2017. "R&D Policy and Technological Trajectories of Regions: Evidence from the EU Framework Programmes," Papers in Evolutionary Economic Geography (PEEG) 1722, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Sep 2017.
    10. Jeroen Content & Nicola Cortinovis & Koen Frenken & Jacob Jordaan, 2022. "The roles of KIBS and R&D in the industrial diversification of regions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 68(1), pages 29-64, February.
    11. Jefferson Ricardo Bretas Galetti & Milene Simone Tessarin & Paulo Cesar Morceiro, 2021. "Skill relatedness, structural change and heterogeneous regions: evidence from a developing country," Papers in Regional Science, Wiley Blackwell, vol. 100(6), pages 1355-1376, December.
    12. Adam Whittle & Balázs Lengyel & Dieter F. Kogler, 2020. "Understanding Regional Branching Knowledge Diversification via Inventor Collaboration Networks," Papers in Evolutionary Economic Geography (PEEG) 2006, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Feb 2020.
    13. Pinheiro, Flávio L. & Hartmann, Dominik & Boschma, Ron & Hidalgo, César A., 2022. "The time and frequency of unrelated diversification," Research Policy, Elsevier, vol. 51(8).
    14. Ron Boschma, Lars Coenen, Koen Frenken, Bernhard Truffer & Lars Coenen & Koen Frenken & Bernhard Truffer, 2016. "Towards a theory of regional diversification," Papers in Evolutionary Economic Geography (PEEG) 1617, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Jul 2016.
    15. Kroll Henning & Neuhäusler Peter, 2020. "Recent Trends of Regional Development in China – Technological Portfolios and Economic Growth," ZFW – Advances in Economic Geography, De Gruyter, vol. 64(1), pages 14-27, March.
    16. Caviggioli, F. & Colombelli, A. & De Marco, A. & Scellato, G. & Ughetto, E., 2023. "The impact of university patenting on the technological specialization of European regions: a technology-level analysis," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    17. Lars Mewes & Tom Broekel, 2020. "Subsidized to change? The impact of R&D policy on regional technological diversification," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 65(1), pages 221-252, August.
    18. Nicola Cortinovis & Zhiling Wang & Hengky Kurniawan, 2021. "Industrial Relatedness in MNE Spillovers over Geographical Space," Papers in Evolutionary Economic Geography (PEEG) 2111, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Mar 2021.
    19. Mariane Santos Françoso & Ron Boschma & Nicholas Vonortas, 2024. "Regional diversification in Brazil: The role of relatedness and complexity," Growth and Change, Wiley Blackwell, vol. 55(1), March.
    20. Adam Whittle, 2017. "Local and Non-Local Knowledge Typologies: Technological Complexity in the Irish Knowledge Space," Papers in Evolutionary Economic Geography (PEEG) 1728, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Nov 2017.

    More about this item

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:anresc:v:71:y:2023:i:3:d:10.1007_s00168-022-01181-3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.