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Technology fusion involves a transformation of core technologies through a combination process facilitated by technological advances such as the phone and the Internet, which ensure that labs are no longer isolated. This results in profitable advances that can be made cheaply by combining knowledge from different fields, companies, industries, and geographies. The technological fusion is distinguished from the so-called breakthrough approach, which is the linear technological development that replaces an older generation of technology through its focus on combining existing technologies into hybrid products that can revolutionize markets.
The fusion of technologies goes beyond mere combination. Fusion is more than complementarism, because it creates a new market and new growth opportunities for each participant in the innovation. It blends incremental improvements from several (often previously separate) fields to create a product.
An example is the fusion of mechanical and electronic engineering to create mechatronics. There is also the case of fusing chemical and electronics technology to produce the Liquid Crystal display (LCD) technology.
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