Transmutability: Digital Decontextualization, Manipulation, and Recontextualization as a New Source of Value in the Production and Consumption of Culture Products

This paper introduces a fundamental characteristic of digital culture goods, transmutability, which has not previously been studied in IS research as a driver of value. Transmutability refers to the fact that digital files of culture goods such as music and movies can easily be altered, unlike the analog culture products which preceded the digital age. Both creators and consumers of digital culture products, with ready access to technological resources of production, have begun to experiment with transmutability to push creative, economic and in some cases legal boundaries. This paper discusses the characteristic of transmutability, provides a theoretical lens for the analysis of value creation, open source production modes and social welfare, and discusses its impacts on value, innovation, and creativity.