Effect of service platform on innovation trajectories of value network players: The case of Japanese mobile internet services

This paper contributes to the research on the effect of platform and value network towards the trajectories of service innovation in the case of Japanese mobile internet services. Mobile communication has connected to Internet in 1999. The mixed players have involved different industries. Many platforms have been established and helped to expand the total value of the services. Product innovation of handset has also happened concurrently. The objective of this paper is to discover the potential cause of the Japanese players losing competitiveness. A platform is often deployed with intentions of value network owner or/and players to maximize of the total value of the network. In previous studies, a series of innovation brought competitive elements in products, organizations, processes and industry. Despite the experiences, the players of Japanese mobile service industry have not yet obtained world class competitiveness. We used the methodology of Value Network Analysis. At first, the players are defined and value network mapping is done to understand the exchange mechanism of tangible and intangible assets. Also the role of each player and other industries´ cultures which are brought to the value network are identified. Then we discuss and analyse how and which platform innovation merits did not emerge because of NTT Docomo´s role in managing the suppliers of handsets.