Innovation on Steroids

Everyone agrees innovation is good…saying it’s not is like arguing against motherhood and apple pie. But what is innovation? How do you know if you “have it?” If you want more, how do you get it?

I always wondered about those questions, until John Michaelson’s article in the Wall Street Journal helped answer those questions. His thesis – that the financial crisis opened the economy to new forms of growth which are about to start pouring down – is compelling.

To no one’s surprise, much of it has to do with technology. Here is part of what he says:

Each decade for the past 60 years, we have seen a thousand-fold increase in world-wide processing power, bandwidth and storage. At the same time, costs have fallen by a factor of 10,000. Advances in these platforms, in themselves, do not produce innovation. But they facilitate the development and deployment of entirely new applications that take advantage of these advances. Amazing new applications are almost never predictable. They come from human creativity. That is one reason they almost never come from incumbent companies. But once barriers to innovation are lowered, new applications follow.
With that as a teaser, you can read the full article here.