Lessons from Innovation in the Media Sector

The notion of the knowledge-based economy (KbE) has featured prominently in national and EU industrial and policy discourse over the past few years (EC, 2002). In part, this is linked to the EC's efforts to emphasise the increasing role of research and knowledge-based inputs for the future competitiveness of European industry. Many national and EC industrial and policy initiatives have emphasized the potential of the digital media industries as significant new sources of jobs and wealth creation into the early 21st century. This paper examines the types of knowledge or capabilities that enable and sustain innovation and growth in the contemporary economy. We pay particular attention to one key component of the 'knowledge economy ' and primary information sector: the media and cultural 'content ' industries. Current EC and national policies on the KbE identify the media and cultural industries as sectoral sites of significant job and wealth creation. Indeed, they have been accorded a similar role since the 'Bangemann Report&apos