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The Internet has dramatically changed the way we conduct business and our daily lives by provided us with unprecedented services and conveniences. However, contrary to such accomplishments, productivity in industrialized countries is now experiences an apparent decline. This has raised the question of a possible productivity paradox in the digital economy. The limitation of GDP statistics in measuring the advancement of the digital economy has thus become an important subject. This paper analyzed the structural sources of this problem. Utilizing the results of empirical analyses of national, industrial, and individual behavior in the digital economy, solutions to these critical issues were investigated. Based on the two-faced nature of information and communication technology (ICT) and the fact that people's preferences extend beyond economic value, the concept of uncaptured GDP was postulated and spinoff dynamism to a new co-evolution among advancement of the Internet, increasing dependence on uncaptured GDP, and a shift in people's preferences was reviewed. This provided new insight and suggested a transformative direction to address the limitation of using GDP statistics in the digital economy.

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Amazon was the world's top R&D firm in 2017. Its R&D investment was double that of 2015, quintuple that of 2012, and tenfold that of 2011. It deploys a unique R&D model as conducting "routine or periodic alterations" and "significant improvement" simultaneously. Since traditionally the former is classified as non-R&D, Amazon's rapid and notable increase has raised the question of a new R&D definition in the digital economy. By means of an empirical analysis of the Amazon's R&D model, this paper attempted to provide a convincing answer to this question. Amazon has invested considerable resources in extremely innovative business areas, which has developed its assimilation capacity. In parallel with such forefront innovation, Amazon is endeavoring to absorb soft innovation resources from external markets and assimilate them into its business model. This then transforms "routine or periodic alterations" into "significant improvement", leading to the company becoming the world's top R&D firm. Such an endeavor has triggered a new concept of R&D in neo open innovation and revealed the significance of a transformation of the R&D concept in the digital economy.

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