Editor's Note: This blog was co-authored with Tang Wang, doctoral student at the Institute for Entrepreneurship and Innovation at University of Missouri, Kansas City.
Smart phones will be the occasion for significant "reverse innovation" in the coming months and years, we believe.
Why? A recent survey that Motorola conducted in Brazil suggests that the single most desired IT advance among respondents was 80GB storage capacity on smart phones. The same survey showed that U.S. consumers don't care about this parameter at all. The difference: in emerging markets such as Brazil, the smart phone is by far the best way to use the Web, because those markets haven't had the time to build up a good infrastructure to support laptops, wireless, and landline-supported computers. For these people, mobile computing is the best form of computing available ? so of course they want enough capacity to support computer, phone, and hard drive functions.
The truth is that a smart phone with 80GB storage capacity wouldn't be super-difficult to build. Almost every technology used in smart phones was originally developed for a different technology, such as PCs and cameras. It won't be enormously challenging to create a combination device that's affordable, and that allows people to skip buying bulkier IT devices, and to rely on a mobile smart phone from the start. And ? guess what? ? these devices will be cheaper (because they're made in the developing world) as well as cutting edge (because they're being asked to solve a big technical and logistical problem, with millions of customers ready to buy).
It would certainly be possible for developed-nation telecoms, device makers, social networking sites, computing companies, content providers, and software development communities to engage with this opportunity right now, so as to be on the cutting edge of convergence.
Whether or not they jump on this opportunity, these products will most certainly emerge, and they will probably "trickle up" to the rest of the world. This is exactly the pattern of reverse innovation.
Source: http://blogs.hbr.org/govindarajan/2011/05/smart-phone-a-reverse-innovati.html
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