The Many Faces of Absorptive Capacity: Spillovers of Copper Interconnect Technology for Semiconductor Chips

Kwanghui Lim, Melbourne Business School

Abstract

A case study of copper interconnect technology suggests that absorptive capacity exist in three forms: disciplinary, domain specific and encoded. Each involves different ways of managing R&D and linking internal to external research. Disciplinary absorptive capacity requires a firm to actively engage with the scientific community, while protecting domain-specific knowledge. Domain-specific absorptive capacity depends upon influencing disciplinary research at universities and consortia, then capturing domain knowledge through collaboration and hiring. As technology develops, it becomes encoded, and absorption depends increasingly upon integrating knowledge from suppliers. Hence, absorptive capacity is a multifaceted construct that is heavily shaped by the type and maturity of technology absorbed. capacity depends upon influencing disciplinary research at universities and consortia, then capturing domain knowledge through collaboration and hiring. As a technology develops, it becomes encoded, and absorption depends increasingly upon integrating knowledge from suppliers. Hence, absorptive capacity is a multifaceted construct that is heavily shaped by the type and maturity of technology absorbed.