The objective of the research is to provide a profound critical literature overview about the concept “Servitization / PSS”. Based on detected gaps in the literature and opponent or contradictive views (i.e. research about profitability in servitized company set-ups), a link to the topic of Business Model Innovation will provide the starting point to analyze and discuss why and how organizations in the era of digitization of business processes are moving from product-centric towards more customer-centric or value-centered offerings. Drivers, challenges and risks (i.e. Service-Paradox) for organizations engaging into Servitization / PSS are critically discussed and the researches’ results are being presented in a conclusion that aims to draw a novel and practically applicable proposal of how to generate new, or innovate in existing business models in servitized / PSS offerings but also to show that under certain conditions it might not be the best or a suitable option for an organization.
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