This paper investigates the relationship between intangible capabilities and further AMT adoption in 116 small manufacturing firms. Results indicate that skills of blue-collar workers, influences of customers and vendors, and motivations focussed on process improvement and customers are the strongest determinants of subsequent levels of adoption. Further, it is shown that strategic motivations moderate the relationships between technical skills and influences, and further AMT adoption. Preliminary support for an evolutionary model is also leading to a revised conceptual framework.