Abstract: Innovation is essential for firms to survive in today's global economy. Cocreation is a strategy where customers and providers participate in the innovation process. Social media is a perfect tool for cocreating value because it promotes communication between the organization and the customer. It's fast becoming an integral part of business operations and has many important uses, including innovation. This article explores the use of social media in cocreating business value. The authors' study provides a conceptual framework for understanding core elements and processes of cocreation using social media. Using the conceptual framework, they examine and analyze case studies from IBM and SAP in the context of use of social media in cocreation.