General Trends of Service Innovation with ICT and Their Impact on Business Innovation

The general trend of service innovation using ICT and the impact on business innovation is analyzed, which is a basic concept for conducting case studies in this book. First, service and service innovation using ICT are defined. Then service value creation mechanisms with ICTs and successful cases in each generation are illustrated. Then, we show that the ICT revolution significantly influences ICT businesses through investigating the changes of major ICT providers by using Fortune 500 data. A major reason for such changes is the changes to the service value creation mechanism with ICTs and its business model. The most important question in this book is “What are the likely business innovation with new ICT, that is, in the 3rd generation business innovation?” To consider answers to this question, we propose four viewpoints regarding business innovation with new ICTs: (1) expansion of business fields with new ICTs, (2) changes to human desires and social needs, (3) changes in the role of ICT providers, and (4) conversion of new ICTs in the technology space into values in the value space, depending on the organization’s culture and abilities.