Adaptation and change in creative clusters: Findings from Vienna's New Media sector

This paper explores cluster change using the case example of New Media in Vienna. It
addresses the question of how cluster elements (such as firms and institutions) interact to
shape and transform the thematic and spatial boundaries of clusters as they shift along their
developmental stages.
Clusters go through different phases underpinned by technical change, renewing and
destroying previous cluster specialisations. Creativity is a key feature in modern economies
underlying competitiveness in a range of sectors which cluster in urban areas. Sectors such as
software and computer services, advertising and market research, printing and reproduction of
recorded media, motion pictures, creative arts and entertainment are supported by regional
conditions that enable creative processes in local interacting firms, and the translation of ideas
into innovative products and services. These perspectives are used to explore the New Media
cluster in Vienna based on 25 semi-structured interviews with firms specialising in New
Media technology areas.
When analysed using a life cycle perspective of clusters, the findings in this paper suggest
that cluster thematic boundaries are shaped by change in technological variety via complex
processes such as inter-disciplinary problem-solving in projects, re-activation of latent local
and global networks, and firm capabilities to respond to rapidly changing client needs in
devices, communication and design. (authors' abstract)