Linking telecome technologies: complementarities, capabilities and policies

Abstract

This paper is a preliminary exploration to develop a methodology for assessing the technological capabilities and needs of the telecommunications sector in India. It makes a case for strategic policy interventions to build adequate domestic capabilities in this crucial sector with significant externalities. We develop a model for mapping technological capabilities through the concept of a technology supply chain and establish the role of complementary assets (like manufacturing within and outside the sector) in developing and appropriating technologies. It is argued that policy initiatives need to be based on these considerations. A brief review of Asian experiences also supports this point of view.