1 the location of knowledge based activities case computer software rena sivitanidou school policy planning and development von kleinsmid center 363 university southern california los angeles ca 90089 0626 usa published in fischer m l suarez villa steiner editors innovation networks localities springer verlag berlin germany 1999 7 introduction there is a growing recognition that represents one key high technology service sectors our times triggered by microprocessor bolstered personal world wide web such sector signifies digital information revolution post industrial era its strength evidenced phenomenal growth giant corporations serving markets eg microsoft large independent firms specializing pc novell oracle adobe autodesk symantec numerous smaller represent component economic fabric technologically advanced societies reinforcing are businesses across which light global competition intensified itself increasingly rely on telecommunications technologies for their operations also fueling