Technological change and regional restructuring in Boston's route 128 area

During the 1980s and early 1990s, the importance of small firm growth and industrial districts in Italy became the focus of a large number of regional development studies. According to this literature, successful industrial districts are characterized by intensive cooperation and market producer-user interaction between small and medium-sized, flexibly specialized firms (Piore and Sabel, 1984; Scott, 1988). In addition, specialized local labor markets develop which are complemented by a variety of supportive institutions and a tradition of collaboration based on trust relations (Amin and Robins, 1990; Amin and Thrift, 1995). It has also been emphasized that industrial districts are deeply embedded into the socio-institutional structures within their particular regions (Grabher, 1993). Many case studies have attempted to find evidence that the regional patterns identified in Italy are a reflection of a general trend in industrial development rather than just being historical exceptions. Silicon Valley, which is focused on high technology production, has been identified as being one such production complex similar to those in Italy (see, for instance, Hayter, 1997). However, some remarkable differences do exist in the institutional context of this region, as well as its particular social division of labor (Markusen, 1996). Even though critics, such as Amin and Robins (1990), emphasized quite early that the Italian experience could not easily be applied to other socio-cultural settings, many studies have classified other high technology regions in the U.S. as being industrial districts, such as Boston s Route 128 area. Too much attention has been paid to the performance of small and medium-sized firms and the regional level of industrial production in the ill-fated debate regarding industrial districts (Martinelli and Schoenberger, 1991). Harrison (1997) has provided substantial evidence that large firms continue to dominate the global economy. This does not, however, imply that a de-territorialization of economic growth is necessarily taking place as globalization tendencies continue (Storper, 1997; Maskell and Malmberg, 1998). In the case of Boston, it has been misleading to define its regional economy as being an industrial district. Neither have small and medium-sized firms been decisive in the development of the Route 128 area nor has the region developed a tradition of close communication between vertically-disintegrated firms (Dorfman, 1983; Bathelt, 1991a). Saxenian (1994) found that Boston s economy contrasted sharply with that of an industrial district. Specifically, the region has been dominated by large, vertically-integrated high technology firms which are reliant on proprietary technologies and autarkic firm structures. Several studies have tried to compare the development of the Route 128 region to Silicon Valley. These studies have shown that both regions developed into major 2 agglomerations of high technology industries in the post-World War II period. Due to their different traditions, structures and practices, Silicon Valley and Route 128 have followed divergent development paths which have resulted in a different regional specialization (Dorfman, 1983; Saxenian, 1985; Kenney and von Burg, 1999). In the mid 1970s, both regions were almost equally important in terms of the size of their high technology sectors. Since then, however, Silicon Valley has become more important and has now the largest agglomeration of leading-edge technologies in the U.S. (Saxenian, 1994). Saxenian (1994) argues that the superior performance of high technology industries in Silicon Valley over those in Boston is based on different organizational patterns and manufacturing cultures which are embedded in those socio-institutional traditions which are particular to each region. Despite the fact that Saxenian (1994) has been criticized for basing her conclusions on weak empirical research (i.e. Harrison, 1997; Markusen, 1998), she offers a convincing explanation as to why the development paths of both regions have differed.1 Saxenian s (1994) study does not, however, identify which structures and processes have enabled both regions to overcome economic crises. In the case of the Boston economy, high technology industries have proven that they are capable of readjusting and rejuvenating their product and process structures in such a way that further innovation and growth is stimulated. This is also exemplified by the region s recent economic development. In the late 1980s, Boston experienced an economic decline when the minicomputer industry lost its competitive basis and defense expenditures were drastically reduced. The number of high technology manufacturing jobs decreased by more than 45,000 between 1987 and 1995. By the mid 1990s, however, the regional economy began to recover. The rapidly growing software sector compensated for some of the losses experienced in manufacturing. In this paper, I aim to identify the forces behind this economic recovery. I will investigate whether high technology firms have uncovered new ways to overcome the crisis and the extent to which they have given up their focus on self-reliance and autarkic structures. The empirical findings will also be discussed in the context of the recent debate about the importance of regional competence and collective learning (Storper, 1997; Maskell and Malmberg, 1998). There is a growing body of literature which suggests that some regional economies During the 1980s and early 1990s, the importance of small firm growth and industrial districts in Italy became the focus of a large number of regional development studies. According to this literature, successful industrial districts are characterized by intensive cooperation and market producer-user interaction between small and medium-sized, flexibly specialized firms (Piore and Sabel, 1984; Scott, 1988). In addition, specialized local labor markets develop which are complemented by a variety of supportive institutions and a tradition of collaboration based on trust relations (Amin and Robins, 1990; Amin and Thrift, 1995). It has also been emphasized that industrial districts are deeply embedded into the socio-institutional structures within their particular regions (Grabher, 1993). Many case studies have attempted to find evidence that the regional patterns identified in Italy are a reflection of a general trend in industrial development rather than just being historical exceptions. Silicon Valley, which is focused on high technology production, has been identified as being one such production complex similar to those in Italy (see, for instance, Hayter, 1997). However, some remarkable differences do exist in the institutional context of this region, as well as its particular social division of labor (Markusen, 1996). Even though critics, such as Amin and Robins (1990), emphasized quite early that the Italian experience could not easily be applied to other socio-cultural settings, many studies have classified other high technology regions in the U.S. as being industrial districts, such as Boston s Route 128 area. Too much attention has been paid to the performance of small and medium-sized firms and the regional level of industrial production in the ill-fated debate regarding industrial districts (Martinelli and Schoenberger, 1991). Harrison (1997) has provided substantial evidence that large firms continue to dominate the global economy. This does not, however, imply that a de-territorialization of economic growth is necessarily taking place as globalization tendencies continue (Storper, 1997; Maskell and Malmberg, 1998). In the case of Boston, it has been misleading to define its regional economy as being an industrial district. Neither have small and medium-sized firms been decisive in the development of the Route 128 area nor has the region developed a tradition of close communication between vertically-disintegrated firms (Dorfman, 1983; Bathelt, 1991a). Saxenian (1994) found that Boston s economy contrasted sharply with that of an industrial district. Specifically, the region has been dominated by large, vertically-integrated high technology firms which are reliant on proprietary technologies and autarkic firm structures. Several studies have tried to compare the development of the Route 128 region to Silicon Valley. These studies have shown that both regions developed into major 2 agglomerations of high technology industries in the post-World War II period. Due to their different traditions, structures and practices, Silicon Valley and Route 128 have followed divergent development paths which have resulted in a different regional specialization (Dorfman, 1983; Saxenian, 1985; Kenney and von Burg, 1999). In the mid 1970s, both regions were almost equally important in terms of the size of their high technology sectors. Since then, however, Silicon Valley has become more important and has now the largest agglomeration of leading-edge technologies in the U.S. (Saxenian, 1994). Saxenian (1994) argues that the superior performance of high technology industries in Silicon Valley over those in Boston is based on different organizational patterns and manufacturing cultures which are embedded in those socio-institutional traditions which are particular to each region. Despite the fact that Saxenian (1994) has been criticized for basing her conclusions on weak empirical research (i.e. Harrison, 1997; Markusen, 1998), she offers a convincing explanation as to why the development paths of both regions have differed.1 Saxenian s (1994) study does not, however, identify which structures and processes have enabled both regions to overcome economic crises. In the case of the Boston economy, high technology industries have proven that they are capable of readjusting and rejuvenating their product and process structures in such a way that further innovation and growth is stimulated. This is also exemplified by the region s recent economic development. In the late 1980s, Boston experienced an economic decline when the minicomputer industry lost its competitive basis and defense expenditures were drastically reduced. The number of high technology manufacturing jobs decreased by more than 45,000 between 1987 and 1995. By the mid 1990s, however, the regional economy began to recover. The rapidly growing software sector compensated for some of the losses experienced in manufacturing. In this paper, I aim to identify the forces behind this economic recovery. I will investigate whether high technology firms have uncovered new ways to overcome the crisis and the extent to which they have given up their focus on self-reliance and autarkic structures. The empirical findings will also be discussed in the context of the recent debate about the importance of regional competence and collective learning (Storper, 1997; Maskell and Malmberg, 1998). There is a growing body of literature which suggests that some regional economies an develop into learning economies which are based on intra-regional production linkages, interactive technological learning processes, flexibility and proximity (Storper, 1992; Lundvall and Johnson, 1994; Gregersen and Johnson, 1997). In the next section of this paper, I will discuss some of the theoretical issues regarding localized learning processes, learning economies and learning regions (see, also, Bathelt, 1999). I will then describe the methodology used. What follows is a brief overview of how Boston s economy has specialized in high technology production. The main part of the paper will then focus on recent trends in Boston s high technology industries. It will be shown that the high technology economy consists of different subsectors which are not tied to a single technological development path. The various subsectors are, at least partially, dependent on different forces and unrelated processes. There is, however, tentative evidence which suggests that cooperative behavior and collective learning in supplierproducer- user relations have become important factors in securing reproductivity in the regional structure. The importance of these trends will be discussed in the conclusions

Early computing and data processing in Malta

Malta has been a heavy user of computers only since the 1980s, following the availability of the personal computer. Before that date, the diffusion of computers in Malta was slow. This paper describes the supply and application of computers from the late 1960s until the early 1980s. The state of computing and the slow take-up of computers is analysed and explained. The paper concludes with an explanation for 'fake off' in the 1980s.peer-reviewe

A NASA family of minicomputer systems, Appendix A

This investigation was undertaken to establish sufficient specifications, or standards, for minicomputer hardware and software to provide NASA with realizable economics in quantity purchases, interchangeability of minicomputers, software, storage and peripherals, and a uniformly high quality. The standards will define minicomputer system component types, each specialized to its intended NASA application, in as many levels of capacity as required

The Microcomputer Catalyst

Microcomputer it is a word many of us first heard only a couple of years ago. Yet the technology this word represents holds promise of tremendous change. The changes catalyzed by microcomputing and its associated technologies may alter the fundamental nature of information handling in all its forms. This, of course, means that libraries and information centers will be profoundly affected by this new technology. This paper attempts to indicate some possible directions of the changes prompted by microcomputing technology. However, these ideas are offered only with the disclaimer that technology in this area is developing so rapidly that no one involved in computing can fully understand its implications. Hardware designers and software engineers involved in microcomputing are themselves still attempting to discern the values and possible uses of microcomputers. The only "given" most would agree upon is the recognition that microcomputers will alter the basic manner in which computers are used and viewed in our society.published or submitted for publicatio

The dynamics of computerization in a social science research team : a case study of infrastructure, strategies, and skills

This paper examines the dynamics of Computerization in a PC-oriented research group through a case study. The time and skill in integrating computing into the labor processes of research are often significant "hidden costs" of computerization. Computing infrastructure plays a key role in reducing these costs may be enhanced by careful organization. We illustrate computerization strategies that we have found to be productive and unproductive. Appropriate computerization strategies depend as much on the structuring of resources and interests in the larger social setting, as on a technical characterization of tasks

The space science data service: A study of its efficiencies and costs

Factors affecting the overall advantages and disadvantages of a centralized facility for both the data base and processing capability for NASA's Office of Space Science programs are examined in an effort to determine the best approach to data management in the light of the increasing number of data bits collected annually. Selected issues considered relate to software and storage savings, security precautions, and the phase-in plan. Information on the current mode of processing and on the potential impact of changes resulting from a conversion to a space science data base service was obtained from five user groups and is presented as an aid in determining the dollar benefits and advantages of a centralized system

Clustering in ICT: From Route 128 to Silicon Valley, from DEC to Google, from Hardware to Content

One of the pioneers in academic entrepreneurship and high-tech clustering is MIT and the Route 128/Boston region. Silicon Valley centered around Stanford University was originally a fast follower and only later emerged as a scientific and industrial hotspot. Several technology and innovation waves, have shaped Silicon Valley over all the years. The initial regional success of Silicon Valley started with electro-technical instruments and defense applications in the 1940s and 1950s (represented by companies as Litton Engineering and Hewlett & Packard). In the 1960s and 1970s, the region became a national and international leader in the design and production of integrated circuit and computer chips, and as such became identified as Silicon Valley (e.g. Fairchild Semiconductor, and Intel). In the 1970s and 1980s, Silicon Valley capitalised further on the development, manufacturing and sales of the personal computer and workstations (e.g. Apple, Silicon Graphics and SUN), followed by the proliferation of telecommunications and Internet technologies in the 1990s (e.g. Cisco, 3Com) and Internet-based applications and info-mediation services (e.g. Yahoo, Google) in the late 1990s and early 2000s. When the external and/or internal conditions of its key industries change, Silicon Valley seemed to have an innate capability to restructure itself by a rapid and frequent reshuffling of people, competencies, resources and firms. To characterise the demise of one firm leading, directly or indirectly, to the formation of another and the reconfiguration of business models and product offerings by the larger companies in emerging industries, Bahrami & Evans (2000) introduced the term `flexible recycling.’ This dynamic process of learning by doing, failing and recombining (i.e. allowing new firms to rise from the ashes of failed enterprises) is one of the key factors underlying the dominance of Silicon Valley in the new economy.ICT;Clusters;Networks;Academic entrepreneurship;MIT;Silicon Valley;Stanford University;Flexible recycling;Route 128

High-speed laser anemometer system for intrarotor flow mapping in turbomachinery

A fringe-type laser anemometer with innovative features is described. The innovative features include: (1) rapid, efficient data acquisition processes, (2) detailed graphic display of data being accumulated, and (3) input laser-beam positioning that allows greater optical access to the intrarotor region. Results are presented that demonstrate the anemometer's capability in flow mapping within a transonic axial-flow compressor rotor

Where are the world's top 100 I.T. firms - and why?

Various publications tabulate and publish lists of the ?top 100? information-technology (I.T.) firms. The July 1997 issue of PD Magazine, for example, has a list showing that most of the world?s key firms in computing, software, semiconductors, and related fields are American. They are also heavily concentrated in such western states as Texas, Utah, Washington, and of course California. The distribution of firms and entrepreneurs is markedly different from 15 years ago. For example, the December 1997 Upside Magazine list of the top 100 people in I.T. contains only three individuals from supposedly ?high-tech? Massachusetts ? or no more than the number predicted by the state?s share of the US population. The paper will extend my work tracking the westward rebirth of American computing since the early 1980s. It will complement the employment shifts I have already documented with new mappings of firms and entrepreneurs. The hypotheses is that the PC revolution spurs a regional realignment of US computing away from the more hierarchical and bureaucratized firms of the Northeast to flatter, more agile, and more entrepreneurial firms in the younger economic cultures of the West. A look at the specific enterprises and entrepreneurs will illuminate the process by which the US regained its leadership in I.T. within the world economy.

SPARCS: Stream-processing architecture applied in real-time cyber-physical security

In this paper, we showcase a complete, end-To-end, fault tolerant, bandwidth and latency optimized architecture for real time utilization of data from multiple sources that allows the collection, transport, storage, processing, and display of both raw data and analytics. This architecture can be applied for a wide variety of applications ranging from automation/control to monitoring and security. We propose a practical, hierarchical design that allows easy addition and reconfiguration of software and hardware components, while utilizing local processing of data at sensor or field site ('fog computing') level to reduce latency and upstream bandwidth requirements. The system supports multiple fail-safe mechanisms to guarantee the delivery of sensor data. We describe the application of this architecture to cyber-physical security (CPS) by supporting security monitoring of an electric distribution grid, through the collection and analysis of distribution-grid level phasor measurement unit (PMU) data, as well as Supervisory Control And Data Acquisition (SCADA) communication in the control area network