1 Knowledge capacities realignment in the context of technological change: an exploration of the French and US military ecosystems Valérie MERINDOL ESG Management School 59 rue Nationale, 75013 Paris Tel: +33-0-6-17-09-06-43 valérie@merindol.net Bibliographical note Valerie Mérindol is full professor at ES Management School and co-head of the newPIC chair. She is specialized in innovation management and in knowledge management. She authored 25 articles published in journals and edited books. She has contributed to 15 research programs commissioned by French public institutions aor by the industry. Abstract The article investigates the link between technological challenges and knowledge capacities in order to understand the evolution of the ecosystem in the context of technological change. The article focuses on focal organization. Technological challenges are appraised with respect to this nature and location. The article shows that the transformation of focal organization’s knowledge capacities affects the collective strategy in the ecosystem in order to capture the value of innovation. The transformation introduces specific issues associated with the realignment process of knowledge capacities throughout the ecosystem. The article is based on a comparative case study between the French and US national military ecosystems. These ecosystems represent a complex web of interactions and technological overlapping between the main stakeholders and are characterized by a major technological change with the massive introduction of ICTs. Key words:  Knowledge capacities  Military ecosystems  Focal actor  Technological change