Showing posts with label Joseph Schumpeter. Show all posts
Showing posts with label Joseph Schumpeter. Show all posts

Thursday, March 27, 2025

Toyota Hilux destruction - a Schumpeterian metaphor?

Working on a PowerPoint…

Russellremember that Top Gear episode where they tried to destroy a Toyota Hilux? Sank it in the sea, smashed it with a wrecking ball, set it on fire—thing just wouldn’t die.
Rory: Aye, grand bit of telly. Smashed it but it still ran.

Russell: A metaphor for disruption in the televsion industry perhaps?

Rory: Reality TV was meant to ruin it. Like dropping the Hilux into the ocean. They said scripted drama was done for, but it just adapted.

Russell: Then came YouTube, TikTok, participatory media—swinging at TV like that wrecking ball. "Who needs professionally made content when the masses can make their own?" they said.

Rory: And then what happened? Instead of dying, TV swallowed it whole. Now half the shows on telly are based on viral trends. Even the news is presented like a reality show.

_________

Voice-over

Like Schumpeter’s “creative destruction” — old industries don’t just vanish, they’re torn apart and reborn in new forms. Television isn’t dying; it’s just shedding its old skin, adapting to new formats, new technologies, and new audiences. Just like the Hilux, battered but still running. TV doesn’t die—it evolves. Social media gave birth to Netflix's interactive shows. AI? Well, give it time; TV will find a way to make it work.

Tuesday, October 9, 2012

Destructive Creation: Sputnik to WWW


Beep-Beep-Beep 

Disruptive innovation and creative destruction: In 1957, the Russians launched Sputnik 1.
Nikita: That worried the Americans! It threatened their defence system. If Russian rockets could put up a satellite, then their ICBMs were a threat to the U.S.
Hank: So the Americans set up DARPA and one of the things that did was to make a nationwide network of computers so they could communicate even if one area was bombed.
Nikita: Bones of the internet. Trickledown from military technology to civilian technology.
Hank: Trickledown? This was destructive creation affecting everything: from warfare to culture.
Nikita: You mean creative destruction?
Hank: I just thought destructive creation had more impact.
___________
Voice-over
Sometimes a breakthrough in one field has an unexpected effect in another field.  Online newspapers displace daily paper deliveries. In this case the beep-beep-beep of Sputnik’s technology heralded massive disruptive innovation. Rocket science jump-starts information communication technology.
Of course the internet didn't just piggyback on Sputnik. See a short film, Internet Pioneers,  at http://youtu.be/cttRglPZ7d8