For the cellular telephone, the time shrank to 13 years. The Internet is coming into commercial use even faster than the personal computer or the cell phone. The microwave oven and VCR illustrate the speedup in diffusion with the introduction of the microchip. The VCR was invented in 1952 and the microwave in 1953. When the microchip was introduced in 1971, less than 1 percent of households had either.
New products follow a pattern.
At first, the latest innovations are expensive and perhaps tricky to use, so their market consists of a handful of wealthy gadget lovers. Over time, the products become cheaper and more consumer-friendly through mass production and improved design. What was once a luxury becomes an everyday necessity. The companies that make the products can then expand rapidly, chalking up sales and adding new jobs and more capital for future progress. Markets are getting larger, increasing the incentive to introduce new technology.