Exponential Innovation and Accelerated Disruption of the Economy

Moore’s Law showed us that processors doubled their processing capacity, on average, every 18 months. The economy digitizes and begins to experience its own exponential phenomenon.

  • Revolutionary technology lets you feel holograms at the touch
  • Huawei introduces technology that turns windshield into smart screen
  • Google creates revolutionary technology that can eliminate blurry photos
  • In the innovation areas of large companies, the aim is to create free environments, where all ideas can circulate without prejudice, failures are tolerated and there is room for exponential innovations to happen.

    In these environments, quantity is better than quality for a simple mathematical question: the more diverse ideas, the more opportunities to combine to create a solution.

    Want to catch up on the best tech news of the day? Go and subscribe to our new channel on youtube, Canaltech News.

    Every day a summary of the main news in the tech world for you!

    Even facing cultural, political and organizational resistance, the exponential advance is “a choice that has already been made”, to paraphrase the Matrix movie. Exponential innovation targets giant leaps or moonshots.

    Shooting towards the moon is for madmen or visionaries. After all, who is going to spend their time and energy on something that is unattainable? The answer encompasses all inventors, original creators and doers of what has never been done.

    Innovation is not just about daring, but also about preparation, resistance to frustration, belief in one’s ability to overcome adversity and see gears in a sea of ​​complexity.

    It’s the thought that guided the first rocket launched toward — precisely — the moon. The US President at the time, John Kennedy, justified that NASA could take a man into space saying “We do not yet know exactly how we will do it, but we will do it”.

    Innovation initiatives seek to understand ecosystems by talking to all possible actors, from researchers at universities, innovation hubs, consolidated companies, startups and communities.

    The professional who wants to be an “innovation architect” must be able to align exponentially advancing technologies with strategic decisions to create business architectures, flexible enough to adapt to accelerating changes in the economy.

    Although the exponential advance of technology can be a catalyst for innovation also in human biological areas, generating discussions about “transhumanism”, for example, it is more likely that we will have to deal with the consequences of innovation in the economy, changing work, organizations and the distribution of wealth in the world.

    The blockchain can be able to change the way we transact on the internet (Image: Pixabay)

    In this sense, it is necessary to look at the current economic models, created in the industrial age and being largely broken by the combination of technologies related to Artificial Intelligence and the blockchain.

    A new generation of P2P platforms (peer-to-peer or person-to-person) must emerge and entire chains of negotiations guaranteed by intermediaries must be demonetized and give way to programmable autonomous contracts.

    Organizations born on the blockchain should continue to emerge and gain importance. They seek to provide transparency, break hierarchies, reduce bureaucracy, reduce corruption and give decentralized freedom to agents in networks.

    There is still a certain distrust of how to “organize an organization” without central agents or hierarchies, governed by pre-programmed contracts. The answer is likely to emerge as new protocols are established.

    The internet itself faced mistrust in relation to the TCP/IP protocol, which is today the most basic telecommunications infrastructure. Perhaps new public protocols will have to be established for economic agents to adopt new rules for transacting.

    Protocols are communication and transaction rules created on the available infrastructure. The world changed a lot after the creation of TCP/IP. Now, blockchain technology creates an infrastructure layer, capable of changing transaction rules across the internet.

    Rules that foster collaborative play and pave the way for exponential economic innovation

    Using exponential technologies to innovate and create improbable economic arrangements has a lot to do with experimenting with a counterculture. It is necessary to challenge the current culture to try the new.

    It is necessary to take advantage of opportunities, understanding how technological convergences and combinations create economic models and arrangements to also transform the economy into an exponential phenomenon.

    Leaders of organizations prepared for economic disruptions practice technological education, have radical adaptability, know how to combine technologies and use creativity to create business architectures, confront obsolete cultures and live together perfectly in a crowded world of machines – smarter than themselves. If you want to know more, go to EconomiaExponencial.com.br.

    *Article produced by a columnist exclusively for Canaltech. The text may contain opinions and analyzes that do not necessarily reflect Canaltech’s view on the subject.

    Did you like this article?

    Subscribe your email on Canaltech to receive daily updates with the latest news from the world of technology.

    Related Articles

    Back to top button