Recombination in the open-ended value landscape of digital innovation
Open accessAbstract
Digital innovation introduces a new open-ended value landscape to anyone seeking to generate or capture new value. To understand this landscape, we distinguish between design recombination and use recombination, explore how they play out together, and redirect the attention from products and services toward digital resources. Digital resources serve as building-blocks in digital innovation, and they hold the potential to simultaneously be part of multiple value paths, offered through design recombination and assembled through use recombination. Building on this perspective, we offer the value spaces framework as a tool for better understanding value creation and capture in digital innovation. We illustrate the framework and offer the early contours of a research agenda for information systems researchers.
AI snapshot
Written from the paper’s full text.
TL;DR
The paper distinguishes design recombination from use recombination and proposes the value spaces framework to understand value creation and capture in the open-ended landscape of digital innovation. It shifts analysis from products/services to digital resources and illustrates the framework with cloud services, home entertainment, and digital maps examples.
Key findings
- Design recombination is the firm activity of connecting digital resources into a value offer; use recombination is the activity of connecting digital resources in use to generate an individual value path. Digital resources are product-agnostic and can be part of multiple value paths through contingently obligatory relations.
- The value spaces framework organizes analysis into setting (value spaces across contents, service, networks, and device; digital resources; value connections), process (actors: firms, individuals, bots; design recombination, use recombination, paths channeling), and outcomes (value intensity, value scope, design-use value paths overlap).
- Illustrative numbers include: as of February 2012, ProgrammableWeb listed 2,337 mashups using the Google Maps API; in the Figure 4 example, use recombination U1 had overlap of 0.2, 0.2, and 0.4 with design recombinations D1, D2, and D3, while U2 had 0.8, 0.2, and 0; and D1’s five resources can be recombined in 32 ways (2^5).
- Path channeling is presented as a competitive strategy to steer value paths through particular digital resources, potentially building information assets, enabling monetization, and supporting platform emergence and network effects.
Methods
- Conceptual/theoretical paper, described as a research commentary, developing the value spaces framework rather than testing hypotheses or analyzing an empirical sample.
- Uses illustrative examples from cloud services (Microsoft OneDrive, Google Drive, Facebook Messenger), home entertainment (Amazon Echo, Spotify, Pandora), and digital maps (Google Maps, Uber, Rightmove) to explain constructs.
- Main analysis is a conceptual synthesis of digital innovation, service innovation, cocreation, network effects, and platform literatures, ending with indicative research questions.
Limitations
- The paper does not present a formal limitations section; it characterizes itself as offering the “early contours” of a research agenda and aims to stimulate debate rather than provide empirical validation.
- Evident from the text: the framework and its outcome measures—value intensity, value scope, and design-use value paths overlap—are conceptual and illustrated with examples, not tested with systematic data.
- Evident from the text: the examples are illustrative rather than sampled, and the authors call for future methodological thinking, including computational methods, to measure value paths and recombination.
Model-written summary. Check it against the paper before relying on it.
Integrity signals
Registry
Cites
Statistics
Claims the paper makes
0 of 62 cited sources checked · 0 supported · 0 flagged
- Interpretationcitation
Distinguishing design recombination from use recombination is essential for developing new perspectives on the business value of digital innovation.
“We argue that this distinction between design recombination and use recombination is pivotal to addressing the call for new perspectives on the business value of digital innovation (Kohli and Grover 2008).”
Quote in the paperNot a substantial claim0 of 1 sources checked- cites Kohli and Grover 2008
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- Interpretationreasoning
A digital resource can take on different functions depending on its relations to other resources within a value path.
“If a digital resource is part of multiple value paths, it can then assume different functions depending on the way it relates to other resources.”
Quote in the paperSubstantial claim - Interpretationreasoning
Many value connections among digital resources collectively produce multiple value paths, whether as unfolding offers or as value in use.
“The myriad of value connections made between digital resources thus collectively generate multiple value paths, either as unfolding value offers or as value in use at a particular time.”
Quote in the paperSubstantial claim - Interpretationreasoning
Path channeling is an important activity for capturing value.
“Third, in addition to design recombination and use recombination, channeling is an important activity for capturing value.”
Quote in the paperSubstantial claim - Interpretationreasoning
Value creation and capture occur through the concurrent operation of design recombination and use recombination.
“Concurrent design recombination and use recombination are the processes by which such value is created and captured.”
Quote in the paperNot a substantial claim
- Interpretationreasoning
Using digital resources rather than products or services allows finer-grained study of value creation and capture in digital innovation.
“Instead of notions such as products (Yoo et al. 2010) or services (Barrett et al. 2015;Lusch and Nambisan 2015), the notion of digital resources increases the granularity by which the creation and capture of value can be studied in digital innovation.”
Quote in the paperNot a substantial claim0 of 3 sources checked - Interpretationreasoning
Even without platform emergence, path channeling builds assets that can be monetized.
“Even when path channeling does not lead to the emergence of a platform, it builds assets that can be monetized.”
Quote in the paperSubstantial claim - Interpretationreasoning
Value connections can be established across different value spaces.
“Value connections can also be made across value spaces.”
Quote in the paperSubstantial claim - Premisecitation
Users are reflective agents who position themselves within the open-ended value landscape.
“Since users are reflective agents who situate themselves in the open-ended value landscape (Garud and Karnøe 2001;Henfridsson and Yoo 2014), we may be able to better understand their activity in generating individual value paths by focusing on the way in which they connect digital resources in use.”
Quote in the paperSubstantial claim0 of 2 sources checked- cites Garud and Karnøe 2001
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- cites Henfridsson and Yoo 2014
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- Premisecitation
Relationships among digital resources are contingently obligatory rather than logically necessary.
“Rather than being defined by logically necessary relations (cf.modularity: Baldwin and Clark 2000;Garud et al. 2003), the agnosticism of digital resources makes these relations obligatory in a contingent fashion (DeLanda 2006;Um 2016).”
Quote in the paperSubstantial claim0 of 2 sources checked- cites DeLanda 2006
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- cites Um 2016
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- Interpretationreasoning
Network effects are not independent of reflective users who actively seek to create and capture value.
“However, network effects are not independent of reflective users seeking to create and capture value.”
Quote in the paperSubstantial claim - Premisecitation
Digital resources are product-agnostic, meaning their significance in use is largely determined by their relations to other resources.
“Digital resources are agnostic in the sense that their meaning in the use situation is largely defined by their relationships to other resources.”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Yoo et al. 2010 source
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- Interpretationreasoning
Loose coupling among digital resources means that a digital innovation should not be viewed as fixed with ready-made boundaries.
“Because of the loose coupling between digital resources, there is little point thinking of a digital innovation in terms something fixed with ready-made boundaries.”
Quote in the paperNot a substantial claim - Interpretationreasoning
Path channeling can be monetized directly by charging users for access to digital resources.
“Second, the value of path channeling can be monetized more directly, as firms charge for the use of their digital resources.”
Quote in the paperNot a substantial claim - Interpretationreasoning
Novelty in digital innovation arises from recombination of digital resources performed by both firms and users.
“Novelty thus emerges around the digital innovation through recombination of digital resources performed by both firms and the users.”
Quote in the paperSubstantial claim - Interpretationreasoning
The service innovation view that value arises when an offering is useful to the customer does not exhaust the need to understand value creation and capture at the point of use.
“However, our analysis suggests that this view of how the value of digital innovation is constituted in use does not exhaust the need to understand how it is both created and captured at the point of use.”
Quote in the paperSubstantial claim - Interpretationreasoning
When a firm offers a digital resource, it may become a component of many different user value paths as users recombine and assign meaning to it.
“Contingently obligatory relationships imply that any digital resource, when provided as part of a firm's offering, may become a constituent of many different user value paths as it is recombined and made meaningful by different users.”
Quote in the paperSubstantial claim - Interpretationreasoning
A digital resource is not a self-contained unit with fixed meaning and relations; it can simultaneously belong to multiple value paths.
“Such granularity is needed since the digital resource is not a self-contained unit with fixed meaning and relations.It rather hosts the potential to simultaneously be part of multiple value paths, as offered through design recombination and assembled through use recombination.”
Quote in the paperNot a substantial claim - Interpretationreasoning
Once a value offering is created through design recombination, path channeling serves as a competitive strategy to capture connections from other actors.
“After generating a value offering through design recombination, paths channeling works as a competitive strategy to capture connections from other actors.”
Quote in the paperSubstantial claim - Interpretationreasoning
The value of a particular digital innovation is fluid over time, shaped by its connections to assemblages of digital resources and by the relative involvement of individuals, firms, and bots.
“In particular, it supports our ability to map an 'open-ended' value landscape in which the value of a specific digital innovation needs to be viewed not as fixed but as fluid over time, dependent both on connections to assemblages of digital resources and on the relative engagement of individuals, firms, and bots.”
Quote in the paperSubstantial claim - Interpretationcitation
Firms can increase the number of possible value paths by expanding horizontally across the layers of digital technology.
“Firms are essentially able to expand the number of possible value paths in innovation, not least by expanding their reach horizontally along the layers of digital technology (cf.Yoo et al. 2010).”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Yoo et al. 2010 source
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- Premisecitation
Ability to generalize an idiographic value path depends on factors including active user community, user motivation, and producer receptiveness.
“Existing research suggests that the ability to generalize an idiographic value path in this way is dependent on several factors, including; the existence of an active user community (Di Gangi and Wasko 2009), the motivation of the user (Von Hippel and Von Krogh 2003), and the receptiveness of producer organizations to such innovations (Di Gangi and Wasko 2009).”
Quote in the paperNot a substantial claim0 of 2 sources checked- cites Di Gangi and Wasko 2009
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- cites Von Hippel and Von Krogh 2003 source
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- Interpretationreasoning
Successful path channeling makes a digital resource more center-stage in a value space, supporting a firm's value capture.
“If successful, such channeling makes a digital resource more center-stage in a particular value space, which supports significantly the firm's ambitions to capture value.”
Quote in the paperSubstantial claim- Rests on an assumption: Firms aim to capture value from digital innovation.
- Interpretationreasoning
Focus on use recombination provides insights into how growth in use creates value for other users (same-side network effects) and for product/service providers (cross-side network effects).
“our focus on use recombination provides novel insights into the way in which the growth in use creates value both for other users (termed 'same-side' network effects) and for product/service providers (cross-side network effects).”
Quote in the paperSubstantial claim - Premisecitation
The service innovation and platform/network effects literatures lack a vocabulary and coherent framework for use recombination and its relation to value creation and capture in digital innovation.
“Even in the service innovation literature (Barrett et al. 2015;Lusch and Nambisan 2015), where value-in-use is emphasized, and in the platform and network effects literature (Gawer 2014;Parker et al. 2016), where demand and user adoption are important, there is a lack of a vocabulary and coherent framework for dealing with use recombination and how it relates to value creation and capture in digit”
Quote in the paperSubstantial claim0 of 3 sources checked - Interpretationreasoning
Path channeling can be a competitive strategy to capture value from value paths offered by other actors.
“In particular, it can be seen as a competitive strategy to capture value from value paths offered by other actors.”
Quote in the paperSubstantial claim- Rests on an assumption: Firms aim to capture value from digital innovation.
- Interpretationcitation
Path channeling adds to understanding competitive strategy, including platform envelopment.
“The notion of path channeling adds to our understanding of competitive strategy, including recent insights related to platform envelopment (Eisenmann et al. 2011).”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Eisenmann et al. 2011 source
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- Interpretationcitation
A digital resource can be part of many users' different value paths.
“In particular, it accommodates the fact that a particular digital resource (”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Yoo et al. 2010 source
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- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
- Interpretationcitation
For many start-ups, value intensity as a scaling measure is important for company valuation because it signals potential for value capture.
“In many start-ups, this measure of scaling is important for putting a value on the company (Huang et al. 2017), since it indicates a value capture potential.”
Quote in the paperNot a substantial claim0 of 1 sources checked- cites Huang et al. 2017 source
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- Interpretationreasoning
Differences in perceived use value can be analyzed using data on which combinations of digital resources are valued, by whom, and how they combine with other actors' resources.
“For instance, with a particular offering in mind, differences in perceived use value can be analyzed (and even visualized) in terms of data about which combinations of digital resources (of the offering) are valued and by whom, and how such combinations of digital resources are combined with resources belonging to other actors' offerings.”
Quote in the paperSubstantial claim- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
- Premisecitation
Little is known about the process by which use recombination leads to user innovation.
“However, we know little about the process by which use recombination, facilitated by the malleability of digital technology (Kallinkos et al. 2013), actually leads to user innovation.”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Kallinkos et al. 2013
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- Interpretationreasoning
For a given user, the share of offered digital resources that are used in recombination indicates how much the user values the offering in that use context.
“For a given user, the proportion of digital resources offered through design recombination that were employed in use recombination would give an indication of the extent to which an offering is valued by the user in the use context.”
Quote in the paperSubstantial claim - Interpretationreasoning
The distinction between design and use recombination helps understand user innovation as a form of digital innovation.
“The distinction between design recombination and use recombination also offers a way to of understanding user innovation as a particular form of digital innovation.”
Quote in the paperSubstantial claim- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
- Interpretationcitation
Boundary resources such as plug-ins are ways to attract such users.
“Such ways include the use of boundary resources(Ghazawneh and Henfridsson 2013) such as plug-ins (recall the example of Google offering users of Microsoft Word plug-ins to make Word to work directly from Google Drive).”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Ghazawneh and Henfridsson 2013 source
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- Premisecitation
Prior information systems work on cocreation and digital architecture concentrates on design recombination carried out by firms.
“In prior work, such as the literatures on cocreation in the business value of IT (Grover and Kohli 2012;Sarker et al. 2012) and digital architecture (Kallinikos et al. 2013;Shapiro and Varian 1999;Yoo et al. 2010), there is a clear focus on design and recombination being performed by the firm.”
Quote in the paperSubstantial claim0 of 3 sources checked - Interpretationreasoning
Acknowledging design and use recombination helps characterize diversity in use value among users.
“Acknowledging the two sides of recombination, however, helps us better characterize diversity in use value among different users.”
Quote in the paperSubstantial claim- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
- Premisecitation
Relations between digital resources are only contingently obligatory.
“Since relations between digital resources are only contingently obligatory (Delanda 2006;Um 2016), such attempts to capture value from someone else's user base are not only possible, but have emerged as an important aspect of competitive strategies.”
Quote in the paperSubstantial claim0 of 2 sources checked- cites Delanda 2006
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- cites Um 2016
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- Interpretationreasoning
A single design recombination offering can relate to many use recombinations.
“In addition, it should be added that a particular offering through design recombination has a one-to-many relationship to the use recombination side (in Figure 4, for instance, 2 use recombinations); a relationship that would need to be taken into consideration when the idea of overlapping design-use paths is progressed further.”
Quote in the paperSubstantial claim - Premisereasoning
Service innovation literature tends to equate recombination with design.
“With its emphasis on resource integration, the service innovation literature tends to equate recombination with design.”
Quote in the paperSubstantial claim0 of 2 sources checked - Interpretationreasoning
Viewing use and value from use as enacted recombinations of digital resources, rather than as symmetrical with designed products or services, has implications for network effects in digital innovation.
“Viewing use, and the value derived from use, not as symmetrical with designed products or services but as involving enacted recombinations of digital resources has important implications for network effects in the context of digital innovation.”
Quote in the paperSubstantial claim - Premisecitation
Existing platform literature focuses on network effects in terms of scale, especially demand economies of scale.
“In particular, where the existing platform literature tends to focus on the network effects in terms of scale, and especially demand economies of scale, our focus on use recombination provides novel insights”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Parker et al. 2016
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- Interpretationreasoning
A larger amount of value connections channeled through a resource corresponds to a greater opportunity for value capture.
“The greater the amount of value connections channeled through that resource (i.e., value intensity), the greater their opportunity for value capture.”
Quote in the paperSubstantial claim - Interpretationreasoning
A use recombination may become user innovation when an idiographic value path is taken up by other users and repackaged or recognized as an offering or widely shared practice.
“While a particular use recombination may not represent user innovation in itself, it may lead to such innovation when an idiographic value path is taken up by other users and then repackaged or recognized as an offering or a widely shared practice.”
Quote in the paperSubstantial claim- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
- Interpretationnone given
Standardization helps increase value intensity for a particular resource.
“While standardization helps to increase value intensity for a particular resource, its links with other resources provide value scope, enabling multiple different value paths for users around that standardized resource.”
Quote in the paperSubstantial claim - Interpretationreasoning
Network effects are likely secured not only by standardization of a service/resource but also by quality of value connections between that resource and complementary digital resources.
“Thus, one implication is that network effects are likely to be secured not only by the standardization of a particular service (or digital resource in our case) (Katz and Shapiro 1985;Farrell and Saloner 1986), but also by the quality of the value connections between that resource and a plurality of complementary digital resources.”
Quote in the paperSubstantial claim0 of 2 sources checked- cites Katz and Shapiro 1985
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- cites Farrell and Saloner 1986
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- Interpretationreasoning
Influencing value paths available for use recombination helps secure greater usage (value intensity) for a digital resource.
“Influencing the value paths available for use recombination helps to secure greater usage (value intensity as we have termed it) for a particular digital resource.”
Quote in the paperSubstantial claim- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
- Interpretationreasoning
Overlap of design and use value paths may reveal potential for value capture.
“Conversely, the overlap of value paths created through design recombination with use may also reveal the potential for value capture.”
Quote in the paperSubstantial claim- Rests on an assumption: Firms aim to capture value from digital innovation.
- Interpretationreasoning
Network effects associated with platforms ultimately flow from use.
“The network effects associated with platforms ultimately flow from use.”
Quote in the paperSubstantial claim - Interpretationreasoning
Path channeling can be used defensively by exploiting contingent association of a resource with existing highly used complementary resources, increasing its value intensity.
“within a defensive strategy by exploiting the contingent association of a specific digital resource with existing highly used and complementary digital resources and thereby increasing its value intensity.”
Quote in the paperSubstantial claim - Interpretationreasoning
Exposing disjunctures between firm design and user pursuit may help identify conditions and potential for user innovation.
“By exposing the existence of clear disjunctures between what firms have designed and what users have pursued to create value, we may be better able to identify both the conditions of, and potential for, user innovation than is currently the case.”
Quote in the paperNot a substantial claim - Interpretationreasoning
Analysis of path channeling complements platform work by providing insight into the nascent emergence of platforms as markets.
“Here, our analysis of path channeling complements existing work on platforms by providing an insight into their nascent emergence as a market.”
Quote in the paperSubstantial claim - Interpretationreasoning
Extending path channeling discussion provides insights into the emergence of platforms.
“Extending our discussion of paths channeling also provides new insights into the emergence of platforms themselves.”
Quote in the paperSubstantial claim - Interpretationreasoning
Links with other resources provide value scope, enabling multiple value paths around a standardized resource.
“While standardization helps to increase value intensity for a particular resource, its links with other resources provide value scope, enabling multiple different value paths for users around that standardized resource.”
Quote in the paperSubstantial claim - Interpretationreasoning
Network effects cannot explain initial growth in usage when a network does not exist.
“Network effects cannot be an explanation for the initial growth in usage when a network does not exist.”
Quote in the paperSubstantial claim - Interpretationreasoning
Network effects operate most strongly when numbers of producers and users are high.
“They operate most strongly when the numbers of producers and users are high.”
Quote in the paperNot a substantial claim - Interpretationcitation
Growth in usage of a digital resource can be achieved by strategically exploiting its contingently obligatory relations with other digital resources.
“It suggests that the growth in usage of a particular digital resource can be achieved by strategically exploiting its contingently obligatory relations (DeLanda 2006; Um 2016) with other digital resources.”
Quote in the paperSubstantial claim0 of 2 sources checked- cites DeLanda 2006
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- cites Um 2016
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- Interpretationreasoning
Focus on resource recombination may reveal overlap and gap between design and use recombinations.
“our focus on resource recombination may help to reveal in a more systematic way not only the overlap between design and use recombinations (as discussed previously), but also the gap between such recombinations.”
Quote in the paperNot a substantial claim
- May combine two claims. 18
- Classified as probably not a substantial claim. 46
May combine two claims.
PremisecitationInnovation fundamentally involves recombination, and new products and services emerge from combining components in novel ways.
“Recombination is at the heart of innovation.”
- Also stated in: § INTRODUCTION · plain
“The idea that novel products and services derive from the carrying out of new combinations of components is enduring across disciplines.”
Quote in the paperSubstantial claim0 of 2 sources checked- cites Schumpeter (1934)
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- cites Yoo et al. (2010) source
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- Also stated in: § INTRODUCTION · plain
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Premisenone givenSeminal innovation research assumes firms perform recombination, but the digital innovation literature acknowledges that other actors also mix and match.
“While a significant assumption in seminal innovation research is that firms carry out the recombination, however, the emerging digital innovation literature recognizes that firms are not the only actors mixing and matching.”
Quote in the paperNot a substantial claimMay combine two claims.
PremisecitationDigital resources can be edited and reprogrammed, and their functionality can be deferred until the point of use.
“At a time when digital resources are readily editable (Kallinikos et al. 2013), reprogrammable (Yoo et al. 2010), and functionality can be procrastinated until the point of use (Eaton et al. 2015;Henfridsson et al. 2014)”
Quote in the paperSubstantial claim0 of 3 sources checkedMay combine two claims.
PremisecitationUse is no longer bounded by predefined products; instead, it involves digital resources that combine from the ground up.
“Consider that use is no longer defined by products with clear and pre-defined boundaries (Yoo et al. 2010), but hosts digital resources that come together and assemble a whole from the ground-up (cf. DeLanda 2006).”
Quote in the paperSubstantial claim0 of 2 sources checked- cites Yoo et al. 2010 source
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- cites DeLanda 2006
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Interpretationnone givenThree types of actors are relevant: firms, individuals, and bots.
“We distinguish between three relevant actors: firms, individuals, and bots.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing).
InterpretationreasoningA cross-space value connection can involve a platform that distributes and enables use of a service.
“A value connection across value spaces (see Figure 1) may also involve a platform that enables a service to be distributed and used.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing), S4 (based).
Interpretationnone givenA value connection within the same value space can involve a horizontal standard that pools digital resources in a way that creates value.
“A value connection within the same value space (see Figure 1) may involve a horizontal (i.e.within the same space) standard that pools digital resources in a way that creates value.”
Quote in the paperNot a substantial claimClassified as probably not a substantial claim. May combine two claims.
PremisecitationThe literature on digital architecture is underpinned by the notion of massive recombination, which gives digital architecture substantial influence in shaping a new value landscape.
“The idea of 'massive recombination' underpins the literature (cf.Flath et al. 2017), attributing to digital architecture much leverage in the formation of a new value landscape.”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Flath et al. 2017 source
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Interpretationnone givenA digital resource belongs to one value space, can simultaneously participate in multiple value paths, and is generally product-agnostic.
“A digital resource (1) belongs to a specific value space, (2) hosts the potential to simultaneously be part of multiple value paths, and (3) is typically product-agnostic.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S2 (checkable).
Interpretationnone givenThe open-ended value landscape of digital innovation comprises multiple spaces, each containing many possibilities for value creation and capture.
“The open-ended value landscape of digital innovation is made up of multiple spaces, where each space hosts a multitude of possibilities for value creation and capture.”
Quote in the paperNot a substantial claimMay combine two claims.
PremisecitationThe value of a digital innovation is not fixed by its original designer and extends beyond the initial offering.
“Yet, the value of the digital innovation is not pre-determined by the original designer but extends beyond the initial proposition (Tilson et al. 2010;Wareham et al. 2014;Yoo et al. 2010).”
Quote in the paperSubstantial claim0 of 3 sources checkedProbably not a substantial claim: may not pass S3 (load-bearing). May combine two claims.
PremisecitationService innovation research emphasizes that value is created in use by multiple actors, making digital innovation a collaborative process of resource integration.
“The emerging literature on service innovation (Barrett et al. 2015;Lusch and Nambisan 2015), including work on value cocreation (Grover and Kohli 2012;Sarker et al. 2012), underlines how value is created in use by many actors, suggesting that digital innovation is a collaborative effort of integrating resources (see Malhotra et al. 2005).”
Quote in the paperNot a substantial claim0 of 3 sources checkedProbably not a substantial claim: may not pass S2 (checkable), S4 (based).
InterpretationreasoningA digital innovation results from activities that recombine a set of digital resources in both design and use through connections across value spaces.
“We think of a digital innovation as the outcome of the activities by which a set of digital resources are recombined in both design and use through connections across value spaces.”
Quote in the paperNot a substantial claimMay combine two claims.
PremisecitationUser growth is accompanied by network effects, which raise the marginal value for new users to join.
“The growth of users is accompanied by network effects (Parker and Van Alstyne 2005), that is, it increases the marginal value for new users to join.”
Quote in the paperNot a substantial claim0 of 1 sources checked- cites Parker and Van Alstyne 2005
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InterpretationreasoningThe value of a digital innovation can be understood as a desired change in an actor's state within a specific use context, arising from value paths offered through design recombination and built through use recombination.
“This leads us to view the value of a digital innovation as a change in state desired by an actor in a particular use context resulting from the value paths offered by actors doing design recombination and the value paths built by connecting digital resources in use ( use recombination”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S2 (checkable). May combine two claims.
InterpretationreasoningManaging such expansion requires new forms of governance, entrepreneurship, and digital innovation management.
“It therefore requires new forms of governance (Tiwana 2016;Tiwana et al. 2010), entrepreneurship (Nambisan 2017), and digital innovation management (Nambisan et al. 2017).”
Quote in the paperNot a substantial claim0 of 3 sources checked- cites Tiwana 2016
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- cites Nambisan 2017
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- cites Nambisan et al. 2017
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InterpretationreasoningPath channeling can build information assets by collecting user information at various stages, which can improve targeted advertising and be sold to third parties.
“First, path channeling promises to build information assets by obtaining user information at different stages such a sign-up to use a particular digital resource.Such information assets can be used to improve the precision by which advertising is targeting specific users.The information can also be put on sale to third-parties.”
Quote in the paperSubstantial claimProbably not a substantial claim: may not pass S4 (based).
Interpretationnone givenActors carry out value creation and capture activities both within and across value spaces.
“Actors perform value creation and capture activities within and across value spaces.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S4 (based).
Interpretationnone givenActors engage in at least three activities: design recombination, use recombination, and paths channeling.
“These actors engage in at least three types of activities: design recombination, use recombination, and paths channeling.”
Quote in the paperNot a substantial claimClassified as probably not a substantial claim.
InterpretationcitationValue spaces correspond to four loosely coupled layers of digital architecture: contents, service, networks, and device.
“As outlined in Figure 1, these spaces map onto the four loosely coupled layers of digital architecture (Benkler 2006;Yoo et al. 2010), namely: contents, service, networks, and device.”
Quote in the paperSubstantial claim0 of 2 sources checked- cites Benkler 2006
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- cites Yoo et al. 2010 source
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InterpretationcitationExpanding across digital technology layers involves nascent or non-existent markets and creates value-creation opportunities that are difficult to identify beforehand.
“Such expansion involves non-existent, or nascent, markets and presents new opportunities for value creation (Bharadwaj et al. 2013), which cannot be easily identified ex ante.”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Bharadwaj et al. 2013 source
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Probably not a substantial claim: may not pass S2 (checkable).
InterpretationcitationThe intersection of design recombination and use recombination can be conceptualized as a multidimensional space of possible value.
“In doing this, we draw on the non-essentialist view of digital resources (cf.DeLanda 2006) to think of the meeting point between design recombination and use recombination as a multidimensional space of possible value.”
Quote in the paperNot a substantial claim0 of 1 sources checked- cites DeLanda 2006
Not checked in the free run.
Probably not a substantial claim: may not pass S3 (load-bearing).
InterpretationreasoningFor the actor controlling a digital resource, value intensity offers a rough estimate of how successful they have been in generating value in use.
“For the actor controlling a particular digital resource, this provides a rough estimate of how successful they have been in generating value in use for actors consuming that resource.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing).
InterpretationreasoningIt is possible to aggregate many users' use recombinations into a single measure.
“This could be done by identifying aggregated measures, where many users' use recombinations are collected into a single measure.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S2 (checkable), S3 (load-bearing).
Interpretationnone givenThe analysis can be extended to cover recombination with resources belonging to other actors' offerings.
“Such analysis can be further expanded to include how recombination is done with resources belonging to other actors' offerings.”
Quote in the paperNot a substantial claimMay combine two claims.
InterpretationreasoningAttempts to capture value from another actor's user base are possible and have become an important aspect of competitive strategies.
“Since relations between digital resources are only contingently obligatory (Delanda 2006;Um 2016), such attempts to capture value from someone else's user base are not only possible, but have emerged as an important aspect of competitive strategies.”
Quote in the paperSubstantial claim- Rests on an assumption: Firms aim to capture value from digital innovation.
Probably not a substantial claim: may not pass S2 (checkable).
Interpretationnone givenThe value spaces framework is a tool for understanding the open-ended landscape of digital innovation.
“We propose the value spaces framework as a tool with which to understand the new open-ended landscape of digital innovation.”
Quote in the paperNot a substantial claimClassified as probably not a substantial claim. May combine two claims.
InterpretationcitationValue scope indicates how agnostic a digital resource is and its potential to expand into different functional areas.
“This will indicate both the digital resource's degree of agnosticism (Yoo et al. 2010), and its potential to branch out into different functional areas.”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Yoo et al. 2010 source
Not checked in the free run.
Probably not a substantial claim: may not pass S2 (checkable).
Interpretationnone givenRecombination creates and captures new value by combining components in novel ways.
“Recombination is essentially about creating and capturing new value by weaving components together in new ways.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing).
InterpretationreasoningRepresenting each use recombination as a string of binary variables allows a recombinatorial analysis of a design offering.
“For instance, treating each use recombination as a string of binary variables, it would be possible to do a recombinatorial investigation of #D1 in Figure 4.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing).
PremisecitationPlatform envelopment is described as a firm leveraging shared relationships from overlapping user bases to envelop an existing provider's service by replicating functionality in a multiplatform bundle.
“Platform envelopment is described in the literature as a firm leveraging the shared relationships created by overlapping user bases to envelop the service offered by an existing provider by, for example, replicating the functionality of their existing platform as part of a multiplatform bundle.”
Quote in the paperNot a substantial claim0 of 1 sources checked- cites Eisenmann et al. 2011 source
Not checked in the free run.
Probably not a substantial claim: may not pass S2 (checkable).
InterpretationreasoningSuch analysis improves the ability to decide pricing and monetization of digital innovations.
“This will significantly improve the possibility to decide upon pricing and ways to monetize digital innovations.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S4 (based).
InterpretationreasoningGreater latitude for different uses through value connections corresponds to greater generative potential.
“The greater the latitude for different uses through value connections, the greater their generative potential.”
Quote in the paperNot a substantial claimClassified as probably not a substantial claim.
InterpretationreasoningThe framework extends layered modular architecture research by providing terminology to describe ensembles as interaction between design and use recombination.
“Our framework extends the research on layered modular architecture by offering a straightforward terminology to describe and explain the emergence of such ensembles in terms of interaction between design recombination and use recombination.”
Quote in the paperSubstantial claimProbably not a substantial claim: may not pass S2 (checkable).
InterpretationreasoningOnce a firm offers a value path, it is important to attract users engaged in use recombination to include parts or the entire offering in their value path based on other actors' offerings.
“important to identify ways to attract users engaged in use recombination to include parts, or ideally the entire, offering in their value path based on some other actors' offering(s).”
Quote in the paperNot a substantial claim- Rests on an assumption: Users recombine digital resources from different offerings into individual value paths.
May combine two claims.
InterpretationcitationValue intensity can be increased by lowering the threshold for connecting through a digital resource, which can be supported by designing boundary resources.
“One way to increase the value intensity would be to decrease the threshold for a making a connection through the digital resource.Such support can be facilitated by designing support resources, such as boundary resources (Ghazawneh and Henfridsson 2013), that improve access and make the resource more attractive.”
Quote in the paperSubstantial claim0 of 1 sources checked- cites Ghazawneh and Henfridsson 2013
Not checked in the free run.
Probably not a substantial claim: may not pass S4 (based).
Interpretationnone givenBoundary resources like APIs can be purposefully designed with broader appeal to extend scope beyond the innovation's original functional area.
“Boundary resources, such as APIs, can be purposefully designed to have a broader appeal so as to increase scope beyond the original functional area of the innovation.”
Quote in the paperNot a substantial claimClassified as probably not a substantial claim.
InterpretationreasoningResources in envelopment seek to substitute a competitor-dominated value path with an alternative linked to a wider array of resources, giving greater value scope.
“These resources seek to substitute a value path currently dominated by a competitor with an alternative value path which is linked to a wider array of resources and therefore enjoys greater value scope than the competitor's path.”
Quote in the paperSubstantial claimClassified as probably not a substantial claim.
InterpretationreasoningThe design-use overlap measure gives a more detailed view of a digital service and how adoption is distributed across its constituent digital resources.
“This measure provides a more detailed look at a digital service (as a combination of digital resources) and the way in which its adoption is actually distributed across its digital resources.”
Quote in the paperSubstantial claimProbably not a substantial claim: may not pass S2 (checkable).
InterpretationreasoningThe research direction complements existing thinking on massive recombination and resource integration.
“The research direction posed by this research commentary complements existing thinking on massive recombination (Flath et al. 2017;Yoo et al. 2010;Yoo et al. 2012) and resource integration (e.g.Lusch and Nambisan 2015).”
Quote in the paperNot a substantial claim0 of 3 sources checkedProbably not a substantial claim: may not pass S2 (checkable).
Interpretationnone givenUsing digital resources as the unit of analysis, the value spaces framework helps clarify how resources assemble a whole from the ground up.
“Using digital resources as the unit of analysis, the value spaces framework helps to make clear how such resources come together and assemble a whole from the ground-up.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S4 (based). May combine two claims.
Interpretationnone givenThe value spaces framework offers concepts for assessing outcomes: value intensity, value scope, and design-use value paths overlap.
“The value spaces framework offers a set of concepts for assessing the outcomes of digital innovation: value intensity, value scope, and design-use value paths overlap.”
Quote in the paperNot a substantial claimMay combine two claims.
InterpretationreasoningSimply pursuing larger numbers of users as a way to create network effects, or using user numbers as a success metric, may be profoundly misleading.
“That analysis suggests that simply pursuing larger numbers of users as a way of creating network effects, or using such numbers as a metric of success, may be profoundly misleading.”
Quote in the paperSubstantial claimProbably not a substantial claim: may not pass S2 (checkable).
InterpretationreasoningThe value spaces framework provides an artifact-centered vocabulary with explanatory potential for models of digital innovation.
“The value spaces framework seeks to stimulate further thinking in this direction by providing an artifactcentered vocabulary that nevertheless offers explanatory potential for models of digital innovation.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing).
PremisecitationResearch using sequence analysis epitomizes the advance of computational methods by importing theoretical backdrops from evolutionary theory and complexity science.
“While still in its early stages, research using sequence analysis (Gaskin et al. 2014), for instance, epitomizes this advance, as it seeks to import new theoretical backdrops from evolutionary theory and complexity science (Yoo 2012).”
Quote in the paperNot a substantial claim0 of 2 sources checked- cites Gaskin et al. 2014 source
Not checked in the free run.
- cites Yoo 2012
Not checked in the free run.
Classified as probably not a substantial claim.
InterpretationreasoningThe value spaces framework leverages the design/use distinction to meet theoretical and practical concerns as actors face a disorienting open-ended value landscape.
“The value spaces framework leverages this distinction to meet both theoretical and practical concerns, as a growing range of actors now find themselves in a new but also often disorienting and complex open-ended value landscape of digital innovation.”
Quote in the paperSubstantial claimClassified as probably not a substantial claim.
InterpretationreasoningIt allows forensic examination of how adoption is distributed across digital resources via the one-to-many relationship for any design recombination.
“In particular, it allows for a more forensic examination of how the innovation's adoption is distributed across digital resources, by facilitating analysis of the one-to-many relationship for any design recombination.”
Quote in the paperSubstantial claimProbably not a substantial claim: may not pass S2 (checkable), S4 (based).
Interpretationnone givenValue unfolding extends over time and across value space as new value connections and paths evolve in the open-ended landscape.
“Value unfolding extends over time and across value space as new value connections and value paths evolve in the open-ended landscape.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S3 (load-bearing), S4 (based).
Premisenone givenEven actors in established industries such as automotive confront troubling valuation challenges.
“In fact, even actors in extant industries such as the automotive sector, characterized by established models of value creation and capture, confront troubling valuation challenges.”
Quote in the paperNot a substantial claimMay combine two claims.
InterpretationreasoningAs digital innovation spans organizational and industry boundaries and involves multi-vectored value paths, there is a strong case for viewing the digital resource or artifact as a key object of value connections and a crucial point for data collection.
“As digital innovation spans organizational, and even industry, boundaries and involves multi-vectored value paths, there is a strong case for viewing the digital resource, or the artifact, not only as a key object of value connections but as a crucial point for data collection.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S4 (based).
InterpretationreasoningSuch overlap signals points where access to user value paths by different actors could be monetized.
“Such an overlap effectively signals points at which the access to user value paths by different actors (users and firms) could be monetized.”
Quote in the paperNot a substantial claim- Rests on an assumption: Firms aim to capture value from digital innovation.
Probably not a substantial claim: may not pass S2 (checkable), S4 (based).
Interpretationnone givenIt adopts a vocabulary allowing a more granular and combinatorial understanding of value.
“It does so by adopting a vocabulary that allows a more granular and combinatorial understanding of value.”
Quote in the paperNot a substantial claimProbably not a substantial claim: may not pass S2 (checkable), S4 (based).
InterpretationreasoningActors in an open-ended value landscape will seek to develop the attractiveness of their digital resource for actors seeking new value connections and generating value paths.
“With this in mind, actors in an open-ended value landscape will seek to develop the attractiveness of their digital resource for actors seeking new value connections and generating value paths.”
Quote in the paperNot a substantial claim- Rests on an assumption: Firms aim to capture value from digital innovation.
Probably not a substantial claim: may not pass S2 (checkable).
InterpretationreasoningDesign-use value paths overlap offers traction for assessing a digital innovation as a combination of digital resources.
“The notion, described earlier (Figure 4), of design-use value paths overlap offers significant traction for anyone intending to conduct a detailed assessment of a digital innovation as a combination of digital resources.”
Quote in the paperNot a substantial claimClassified as probably not a substantial claim.
InterpretationreasoningThese outcome measures flow from the distinction and interplay between design and use recombination.
“This set of measures of the outcome of digital innovation flow from the distinction and interplay between design recombination and use recombination.”
Quote in the paperSubstantial claimClassified as probably not a substantial claim.
Interpretationnone givenIn contrast to the service-dominant view, the digital spaces framework takes digital resources rather than actors as a starting-point for exploring outcomes of digital innovation.
“Lastly, in contrast to, for instance, the service-dominant view, the digital spaces framework takes digital resources rather than actors as a starting-point in exploring the outcomes of digital innovation.”
Quote in the paperSubstantial claimProbably not a substantial claim: may not pass S2 (checkable).
InterpretationreasoningDetailed analysis of the meeting-point of an offering and its uses opens the possibility of new forms of valuation for digital innovation.
“Moreover, detailed analysis of the meeting-point of an offering and the many uses of the digital resources in the offering opens up the possibility of new forms of valuation for digital innovation.”
Quote in the paperNot a substantial claim
The paper relies on this without support.
Firms increasingly anticipate that their designs will be recombined by users at the point of use.
“In fact, firms are increasingly anticipating that their design will be recombined at the point of use.”
The paper relies on this without support.
Firms aim to capture value from digital innovation.
“which supports significantly the firm's ambitions to capture value”
The paper relies on this without support.
Users recombine digital resources from different offerings into individual value paths.
“User might pick-and-match offerings from different firms to generate innovative individual value paths”
Claims other papers make about this one
Each is checked against this paper’s own text: does it say what the citing paper says it does?
Consumer value is multifaceted and susceptible to various factors, such as consumer characteristics, the offering under consideration, and the specific situation.
“Consumer value is multifaceted and susceptible to various factors, such as consumer characteristics, the offering under consideration, and the specific situation (Henfridsson et al., 2018;Suseno et al., 2018).”
From What role do data network effects play for multihoming complements? An empirical analysis of platform complementors’ strategies for consumer value creation (2025) · cites this paper as Henfridsson et al., 2018
“The Two Sides of Recombination” says use value differs among users and depends on which resources in an offering they value. “Outcomes” defines value in relation to a user in a particular context. These passages support variation by user, offering, and context for digital innovations, but do not establish the broader claim about consumer value generally or identify consumer characteristics as a factor. (LLM, conf=0.82)
Experimental — accuracy not yet measuredPlatform users' consumption defines the value, suggesting that value is created in use rather than in exchange.
“Ecosystem research emphasizes that platform users' consumption defines the value (Autio & Thomas, 2018;Henfridsson et al., 2018), suggesting that value is created”
From What role do data network effects play for multihoming complements? An empirical analysis of platform complementors’ strategies for consumer value creation (2025) · cites this paper as Henfridsson et al., 2018
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“Consumer value is multifaceted and susceptible to various factors, such as consumer characteristics, the offering under consideration, and the specific situation (Henfridsson et al., 2018; Suseno et al., 2018).”
- Authors
- Henfridsson, O., Nandhakumar, J., Scarbrough, H., & Panourgias, N.
- Affiliations
- University of Warwick (GB)
- City, University of London (GB)
- University of Leicester (GB)
- Corresponding author
- Henfridsson, Ola
- Venue
- Information and Organization
- Publisher
- Elsevier BV
- Published
- 2018-06
- Volume
- 28
- Issue
- 2
- Pages
- 89-100
- ISSN
- 1471-7727 (ISSN-L)
- OpenAlex
- W2790959394
- Semantic Scholar
- 19ad7e9acd5fdfb26919a09b0bedd4fecea14fc0
- Cited by
- 390
- References
- 58
- Citations by year
- 2026: 43 · 2025: 62 · 2024: 74 · 2023: 67 · 2022: 44 · 2021: 46 · 2020: 31 · 2019: 19 · 2018: 4
- FWCI
- 44.89
- Type
- journal article
- Language
- en
- Open access
- bronze
- doi.org
- Locations
- Information and Organization (publishedVersion)
- Warwick Research Archive Portal (University of Warwick) (acceptedVersion)
- City Research Online (City University London) (acceptedVersion)
- Figshare (submittedVersion, cc-by-nc-nd)
- Leicester Research Archive (University of Leicester) (submittedVersion, cc-by-nc-nd)
- Queen Mary Research Online (Queen Mary University of London) (submittedVersion)
- Warwick Research Archive Portal (University of Warwick) (submittedVersion)
- Topics
- Social Sciences › Business, Management and Accounting › Marketing › Service and Product Innovation
- Social Sciences › Business, Management and Accounting › Strategy and Management › Digital Platforms and Economics
- Social Sciences › Business, Management and Accounting › Management of Technology and Innovation › Digital Innovation in Industries
- Keywords
- digital innovation, value creation, value capture, electronic resources, building blocks
About these checks
Registry, retraction, Cites and statistics results are computed, not judged, with one exception: a printed reference that no index lists is read once by a model before it counts as a citation error. Claims are extracted by a model and kept only when their quote appears verbatim in the text; each cited source is then checked, with a model’s help, for whether it says what the claim relies on. Those verdicts can be wrong — read the claim’s quote and the cited source before relying on one.
Claims read by deepseek-v4.1-flash under definition version 3 (extract-v3) on 2026-10-08.
Classified by jev-1.13-20260917 (gold-guideline-v0.2) on 2026-10-08.
Statistics and arithmetic are recomputed, not judged.
Confidence bands are shown only for fields calibrated on our annotated test set. None is calibrated yet, so no band is shown.
What counts as a claim ›How we measure confidence ›How we check this ›
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