This paper is a conceptual and empirical study of the problems that companies and managers face in formulating a 'technology strategy'. The main issues in technology strategy decisions can be charactented as having acquisation management and exploitation elements and an internal-external dimension. The research on which the paper is based aims to link and develop these elements within a wider conceptual context. It reports that, empirical results of one questionnaire and two interview surveys on technology strategy, as practised by UK companies and managers. The findings from the studies and their implications are discussed for the technology strategy itself for the significance of the company industry and technology setting; and-fir the underlying problem of how managers think about the firms technologies. The conclusion is that the problems of formulating a technology strategy are more deeply rooted than has previously been suggested.