One of the most important elements in the computer revolution has been
agreement on technological standards. The advances in communication
allowed by millions of computers connecting over various networks are
based on these networks sharing a common language. This book tells the
complete story of the battle between several competing technologies in
the late 1970s and early 1980s to become the compatibility standard in
one high-tech arena, the LAN (local area network) industry.
In the end, a single technology succeeded in dominating the entire
industry: Ethernet. The author argues that Ethernet triumphed not
because it was better or cheaper, but because of a clever strategy by
Ethernet's corporate sponsors. This strategy mandated the building of a
large supplier base around the technology in order to compensate for an
inability to produce all required components and devices. Within a few
years, Ethernet had greatly surpassed its competitors in gaining
suppliers, which included specialized start-ups, semiconductor firms,
and established computer manufacturers. This supplier advantage proved
an invaluable strategic asset. As suppliers developed various price and
product advantages that were easily adopted by Ethernet, its competitors
were driven out of the market.
Key to understanding the importance of a supplier base in the race for
standards is the crucial role of a technological community. The book
demonstrates how technological communities account not only for critical
differences in the standardization strategies of various LAN vendors,
but also for the emergence of other important instances of technological
competition. For example, the recent rise of Linux and Java can be seen
as the result of successful community-driven strategies.
The story of the battle for the LAN standard is also a story of the
Internet more broadly, and so the book offers unique insights into its
dazzling growth, as LANs became important corporate on-ramps to the
Internet and several LAN suppliers (such as 3Com) evolved into leading
suppliers of Internet technology.