Smart innovation policy: How network position and project composition affect the diversity of an emerging technology

Technological diversity is important to achieve long-term technological progress as diversity fosters recombinant innovation and renders undesirable lock-ins less likely. Many government policies influence the diversity of a technology, in particular by subsidizing collaborative innovation projects. This study investigates the influence of network position and the composition of innovation projects on the creation diversity of an emerging technology at a system level. We first conceptualize technological diversity and formulate hypotheses using a combination of innovation system and social network arguments. Empirically, we study the Dutch innovation system in relation to biogas energy technology.