Why Old Technologies Are Still Kicking (See David Edgerton’s The Shock of the Old: Technology and Global History since 1900 for more examples)
The mainframe stands as a telling case in the larger story of survivor technologies and markets. The demise of the old technology is confidently predicted, and indeed it may lose ground to the insurgent, as mainframes did to the personal computer. But the old technology or business often finds a sustainable, profitable life. Television, for example, was supposed to kill radio, and movies, for that matter. Cars, trucks and planes spelled the death of railways. A current death-knell forecast is that the Web will kill print media.
What are the common traits of survivor technologies? First, it seems, there is a core technology requirement: there must be some enduring advantage in the old technology that is not entirely supplanted by the new. But beyond that, it is the business decisions that matter most: investing to retool the traditional technology, adopting a new business model and nurturing a support network of loyal customers, industry partners and skilled workers.
The unfulfilled predictions of demise, experts say, tend to overestimate the importance of pure technical innovation and underestimate the role of business judgment. “The rise and fall of technologies is mainly about business and not technological determinism,” said Richard S. Tedlow, a business historian at the Harvard Business School.