IDEAS home Printed from https://ideas.repec.org/p/snv/dp2009/2013108.html
   My bibliography  Save this paper

Evolution of the Software-as-a-Service Innovation System Through Collective Intelligence

Author

Listed:
  • Kibae Kim

    (College of Engineering, Seoul National University)

  • Jorn Altmann

    (College of Engineering, Seoul National University)

Abstract

One of the notable trends in the software industry is that software vendors provide their software on a platform as a service. Software users consume those software services or compose new services by combining those existing software services. The software vendors, their services, software users, and the platform represent an open innovation system. Collective intelligence is the underlying mechanism for the cooperation between the users of the system, i.e. their continuous reuse of existing software services for the creation of new services. A successfully working software services system is a system that is continuously adapted by its users to meet their needs. The evolution of this software-as-a-service (SaaS) innovation system and the behavior of SaaS users within this system are still unknown. In this paper, we describe the evolution of a SaaS network. The SaaS network consists of nodes (i.e. software services with open interfaces) and links (i.e. the co-development relationships of software services with open interfaces). The results suggest that the SaaS network has gradually grown into a scale-free network with a slight concavity in its cumulative degree distribution. The results also suggest that the topology characteristics are invariant over time except for the early time periods. Furthermore, the results suggest that the SaaS network is not as open (i.e. inter-operable) as its technology let us expect. Considering these results, we imply that SaaS innovation is achieved by platform providers striving to capture users with a few, leading SaaS services. That means, SaaS innovation is not achieved through the possibilities of potential combinations between any kind of SaaS services as could be expected theoretically. These findings are expected to stir further research on the actual structure of open innovation systems that are driven by collective intelligence.

Suggested Citation

  • Kibae Kim & Jorn Altmann, 2013. "Evolution of the Software-as-a-Service Innovation System Through Collective Intelligence," TEMEP Discussion Papers 2013108, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Dec 2013.
  • Handle: RePEc:snv:dp2009:2013108
    as

    Download full text from publisher

    File URL: http://temep-repec.my-groups.de/DP-108.pdf
    File Function: First version, 2013
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Kibae Kim & Jorn Altmann & Junseok Hwang, 2010. "Measuring and Analyzing the Openness of the Web2.0 Service Network for Improving the Innovation Capacity of the Web2.0 System through Collective Intelligence," TEMEP Discussion Papers 201057, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Mar 2010.
    2. Henkel, Joachim, 2006. "Selective revealing in open innovation processes: The case of embedded Linux," Research Policy, Elsevier, vol. 35(7), pages 953-969, September.
    3. Wagner, Caroline S. & Leydesdorff, Loet, 2005. "Network structure, self-organization, and the growth of international collaboration in science," Research Policy, Elsevier, vol. 34(10), pages 1608-1618, December.
    4. Walter, Jorge & Lechner, Christoph & Kellermanns, Franz W., 2007. "Knowledge transfer between and within alliance partners: Private versus collective benefits of social capital," Journal of Business Research, Elsevier, vol. 60(7), pages 698-710, July.
    5. Yuhai Tu, 2000. "How robust is the Internet?," Nature, Nature, vol. 406(6794), pages 353-354, July.
    6. Kibae Kim & Jorn Altmann & Junseok Hwang, 2010. "The Impact of the Subgroup Structure on the Evolution of Networks: An Economic Model of Network Evolution," TEMEP Discussion Papers 201056, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Feb 2010.
    7. Fu, Feng & Liu, Lianghuan & Wang, Long, 2008. "Empirical analysis of online social networks in the age of Web 2.0," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 387(2), pages 675-684.
    8. Barabási, A.L & Jeong, H & Néda, Z & Ravasz, E & Schubert, A & Vicsek, T, 2002. "Evolution of the social network of scientific collaborations," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 311(3), pages 590-614.
    9. Junseok Hwang & Jorn Altmann & Kibae Kim, 2009. "The Structural Evolution of the Web2.0 Service Network," TEMEP Discussion Papers 200914, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Sep 2009.
    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. Kibae Kim & Jörn Altmann & Sodam Baek, 2015. "Role of Platform Providers in Software Ecosystems," TEMEP Discussion Papers 2015120, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Jan 2015.
    2. Somayeh Koohborfardhaghighi & Jörn Altmann, 2015. "A Network Formation Model for Social Object Networks," Springer Books, in: Zhenji Zhang & Zuojun Max Shen & Juliang Zhang & Runtong Zhang (ed.), Liss 2014, edition 127, pages 615-625, Springer.
    3. Netsanet Haile & Jörn Altmann, 2016. "Structural analysis of value creation in software service platforms," Electronic Markets, Springer;IIM University of St. Gallen, vol. 26(2), pages 129-142, May.
    4. Kibae Kim & Wool-rim Lee & Jorn Altmann, 2014. "SNA-Based Innovation Trend Analysis in Software Service Networks," TEMEP Discussion Papers 2014115, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Aug 2014.
    5. Netsanet Haile & Jorn Altmann, 2015. "Value Creation in Software Service Platforms," TEMEP Discussion Papers 2015123, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Sep 2015.

    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. Kibae Kim & Jörn Altmann, 2015. "Effect of Homophily on Network Formation," TEMEP Discussion Papers 2015121, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Mar 2017.
    2. Kibae Kim & Jorn Altmann & Junseok Hwang, 2010. "An Analysis of the Openness of the Web2.0 Service Network Based on Two Sets of Indices for Measuring the Impact of Service Ownership," TEMEP Discussion Papers 201067, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Oct 2010.
    3. Kibae Kim & Jorn Altmann & Junseok Hwang, 2010. "Measuring and Analyzing the Openness of the Web2.0 Service Network for Improving the Innovation Capacity of the Web2.0 System through Collective Intelligence," TEMEP Discussion Papers 201057, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Mar 2010.
    4. Kim, Kibae & Jung, Sungdo & Lee, Changjun & Hwang, Junseok, 2013. "Structure of technology evolution: The way on which ICT industry emerged in Korea," 24th European Regional ITS Conference, Florence 2013 88508, International Telecommunications Society (ITS).
    5. Kibae Kim & Wool-rim Lee & Jorn Altmann, 2014. "SNA-Based Innovation Trend Analysis in Software Service Networks," TEMEP Discussion Papers 2014115, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Aug 2014.
    6. Juthasit Rohitratana & Jorn Altmann, 2010. "Agent-Based Simulations of the Software Market under Different Pricing Schemes for Software-as-a-Service and Perpetual Software," TEMEP Discussion Papers 201064, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Jul 2010.
    7. Kibae Kim & Jorn Altmann, 2011. "A Complex Network Analysis of the Weighted Graph of the Web2.0 Service Network," TEMEP Discussion Papers 201178, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Jul 2011.
    8. Kibae Kim & Jorn Altmann & Junseok Hwang, 2010. "The Impact of the Subgroup Structure on the Evolution of Networks: An Economic Model of Network Evolution," TEMEP Discussion Papers 201056, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Feb 2010.
    9. Lemarchand, Guillermo A., 2012. "The long-term dynamics of co-authorship scientific networks: Iberoamerican countries (1973–2010)," Research Policy, Elsevier, vol. 41(2), pages 291-305.
    10. Lilian Cervo Cabrera & Carlos Eduardo Caldarelli & Marcia Regina Gabardo Camara, 2020. "Mapping collaboration in international coffee certification research," Scientometrics, Springer;Akadémiai Kiadó, vol. 124(3), pages 2597-2618, September.
    11. Kim, Jinseok & Diesner, Jana, 2015. "The effect of data pre-processing on understanding the evolution of collaboration networks," Journal of Informetrics, Elsevier, vol. 9(1), pages 226-236.
    12. J. Sylvan Katz & Guillermo Armando Ronda-Pupo, 2019. "Cooperation, scale-invariance and complex innovation systems: a generalization," Scientometrics, Springer;Akadémiai Kiadó, vol. 121(2), pages 1045-1065, November.
    13. Luka Kronegger & Anuška Ferligoj & Patrick Doreian, 2011. "On the dynamics of national scientific systems," Quality & Quantity: International Journal of Methodology, Springer, vol. 45(5), pages 989-1015, August.
    14. Leonardo Costa Ribeiro & Márcia Siqueira Rapini & Leandro Alves Silva & Eduardo Motta Albuquerque, 2018. "Growth patterns of the network of international collaboration in science," Scientometrics, Springer;Akadémiai Kiadó, vol. 114(1), pages 159-179, January.
    15. Fabio Landini & Franco Malerba & Roberto Mavilia, 2015. "The structure and dynamics of networks of scientific collaborations in Northern Africa," Scientometrics, Springer;Akadémiai Kiadó, vol. 105(3), pages 1787-1807, December.
    16. Graf, Holger & Kalthaus, Martin, 2018. "International research networks: Determinants of country embeddedness," Research Policy, Elsevier, vol. 47(7), pages 1198-1214.
    17. Sodam Baek & Kibae Kim & Jorn Altmann, 2014. "Role of Platform Providers in Service Networks: The Case of Salesforce.com AppExchange," TEMEP Discussion Papers 2014112, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised May 2014.
    18. Alberto Pepe & Marko A. Rodriguez, 2010. "Collaboration in sensor network research: an in-depth longitudinal analysis of assortative mixing patterns," Scientometrics, Springer;Akadémiai Kiadó, vol. 84(3), pages 687-701, September.
    19. Alireza Abbasi & Liaquat Hossain & Shahadat Uddin & Kim J. R. Rasmussen, 2011. "Evolutionary dynamics of scientific collaboration networks: multi-levels and cross-time analysis," Scientometrics, Springer;Akadémiai Kiadó, vol. 89(2), pages 687-710, November.
    20. Bar-Ilan, Judit, 2008. "Informetrics at the beginning of the 21st century—A review," Journal of Informetrics, Elsevier, vol. 2(1), pages 1-52.

    More about this item

    Keywords

    Software-as-a-Service; Service Composition; Composite Services; Mashup; Network Evolution; Scale-Free Network; Openness; Collective Intelligence; Software Industry; Software Platforms.;
    All these keywords.

    JEL classification:

    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:snv:dp2009:2013108. 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: Jorn Altmann (email available below). General contact details of provider: https://edirc.repec.org/data/tesnukr.html .

    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.