9320048 Hounshell Under the direction of Professor David Hounshell, Daniel Holbrook is investigating the sources and dynamics of technological knowledge in the semiconductor industry and its contribution to the overall development of semiconductor technology. He hypothesizes that diversity in approaches to technological innovation was at the heart of the rapid and numerous advances in semiconductor technology during the early years of the industry. Technological opportunities were many, and literally hundreds of firms pursued an array of research and development projects. Although many of the projects were technological and economic failures, the knowledge produced contributed to the overall advance of the technology. Evolutionary theories of technological development include variation and selection models; most evolutionary theorists, however, concentrate on the selection portion. Mr. Holbrook is exploring inputs to variation. Diversity in expertise and the stock of technological knowledge possessed by firms shapes their research and development activities. In the semiconductor industry, this diversity in expertise and technological knowledge conditioned the rate and direction of technological innovation. Diverse innovative activities were often complementary or synergistic for the development of the entire industry. After surveying technological developments across the industry, Mr. Holbrook is focusing on four technological areas related to the development of integrated circuits. Then he will explore the diverse sets of technological knowledge possessed by selected firms, how knowledge governed the firms' choices of R&D projects, and the consequences of those choices for further technological development. This study promises to illuminate the relationship between technological knowledge and innovation as well as issues concerning the dynamics and growth of technological knowledge. It is also exploring the sources and importance of diversity in the evolution of technology. ***