Innovation Ecosystems and Networks

“Epic is the choke point of the industry at this point to decide what software innovations reach hospitals. Epic’s the one that gets to decide, are you going to reach that customer or not.” — Acquired Podcast: Epic Systems Epic gets to decide which ideas reach the bedside — because either they’ll build them internally once they’re mature, or just mentioning them on their roadmap can make others back off. Epic talks about being patient-centered and customer-obsessed — and they are. They’ve earned enormous trust by doing exactly what they say, over decades of disciplined execution. And despite what you may think, they build very technologically-sound, extremely configurable software. Publicly, they’re the 𝘀𝘁𝗲𝘄𝗮𝗿𝗱 — guarding privacy, protecting patients, resisting investors. Privately, they’re also the 𝗴𝗮𝘁𝗲𝗸𝗲𝗲𝗽𝗲𝗿 — deciding which startups, workflows, and ideas are allowed inside. This isn’t villainy. It’s just a law of human nature. Any system that controls distribution eventually starts to control invention. And there are far worse people who could hold this power — but that doesn’t make the concentration of it healthy. The internal tension I feel is because healthcare is pluralism by necessity— the human body is so complex that we need dozens of specialties and disciplines converging around a single patient. We’ve all decided to divvy up the work, and the knowledge, and the science, because there’s just too much of it for any one person to handle. I can't know everything there is to know about cardiac amyloidosis, and I can't also know how to calibrate the CBC machine, or do a speech pathology evaluation, and also reduce a dislocated shoulder. When one company becomes the arbiter of “what’s a good idea,” even unintentionally, it breaks the ecosystem medicine depends on: collaboration through diversity. Epic earned its power. They don’t owe anyone an IPO or open architecture. But their opacity — which I think to them is a 𝘧𝘦𝘢𝘵𝘶𝘳𝘦 that allows them to move fast and write really good code without distraction — feels more like a 𝘣𝘶𝘨 to me in 2025. As the Acquired podcast put it, they’re a “quirky software factory in Wisconsin” that also happens to be worth tens of billions — and no one publicly knows what any of it costs. (Honestly, now that I think about it, that’s the most healthcare-ish thing about Epic) So the question isn’t whether Epic will use its power well. It’s whether anyone should have that much control over how healthcare and healthcare AI evolves on Earth. From my very-outsider perspective looking in, I think Epic needs way more transparency, and fast.

Earlier today the UK Chancellor of the Exchequer Rachel Reeves outlined her growth strategy for the UK, presenting a vision for turning the country into "Europe's Silicon Valley." But to create genuine innovation ecosystems, we need to understand what made Silicon Valley successful in the first place. It wasn't just about reducing barriers - it was about decades of strategic (entrepreneurial) public investments actively shaping and creating markets. The UK has historically underinvested compared to its peers. Public investment has averaged just 2.6% of GDP over the last 25 years versus the G7 average of 3.5% and OECD average of 3.7%. While the UK has now reached the OECD average of 2.7% for gross domestic expenditure on R&D, the UK can and must do better to emulate Silicon Valley’s success. Tax breaks alone aren't enough - currently, the UK provides about twice as much tax relief as direct funding for business R&D. Recent lessons from the US demonstrate that public funding can be made conditional on business investment in areas like R&D, helping to de-financialize businesses that attempt to reap profits without real investment. But without the right institutions, it will be hard for the UK to compete with the US and China. We have relatively weak public financial institutions - nowhere near the scale of Brazil's BNDES or Germany's KfW (see my paper with Laurie Macfarlane below). Compare Germany's Fraunhofer system (€3.4bn/year, 32,000 staff, 76 centers) with the UK Catapult network (£1.6bn over 5 years). Real innovation ecosystems need sustained funding and institutional networks that connect research to markets. An entrepreneurial state isn't about top-down direction - it's about dynamic networks catalyzing innovation across entire value chains. ---- 🔗 The Entrepreneurial State: https://lnkd.in/eR_8pxiH 🔗 Industrial Policy with Conditionalities: https://lnkd.in/e-PrNF47 🔗 Mission-oriented development banks: https://lnkd.in/eEKrNcSC 🔗 Mission-oriented Industrial Strategy: https://lnkd.in/eHDNeiNu 🔗 Mission-oriented Policy Hub: https://lnkd.in/ePZtUTKg

Europe has no shortage of talent, ambition, or ideas but it still lacks a functional Single Market for startups to scale. Regulatory fragmentation and administrative burdens remain some of the biggest barriers to building global tech companies in Europe. 27 legal systems, conflicting rules, and incompatible digital infrastructures mean high costs and high friction. This model isn’t competitive. It slows growth, deters investment, and pushes innovation out of Europe. That’s why at Atomico we support the ambition behind the proposed 28th regime but with the clear message that we consistently hear from our founders: “Europe must get this right or risk it being ignored entirely.” To succeed, the regime must be credibly faster, simpler, and more scalable than the status quo - a successful 28th regime should deliver: ➡️ One EU-wide legal identity: one new pan-European legal entity with harmonised rules and digital credentials, portable across all Member States. ➡️ Faster, full-digital setup: 100% digital formation and operations via a single EU-wide company registry. ➡️ Credible investment-readiness: standardised investment documents for simpler, faster fundraising. ➡️ Harmonised employee stock options: to better attract and reward talent and improve global talent competitiveness.  ➡️ Simple rules for local taxes and employment. This can’t be symbolic or driven by legacy voices. It must be co-created with the founders building Europe’s tech future. I’d encourage everyone who supports this vision to fill out the EU consultation before *Sept 30* (Link in comments) EU–INC. Let’s make this a defining moment, not another missed opportunity. Let’s build an ecosystem that rewards bold bets and unlocks scale. Andreas Klinger

I had a chat with a VC earlier today, and also just stumbled on a post on LinkedIn which made me further ponder the realities of building in Africa. Most of the problems we solve in Africa are Wicked Problems.  Wicked problems are problems that are complex, multifaceted and deeply entangled in culture, macroeconomics and politics. These wicked problems are largely sustained by powerful informal structures (middlemen, cartels, cabals) who have vested interests. On the other side, you have eager founders with a pitch deck and VC money looking to disrupt the market through Platformization and Uberization - I am sure you get the point here. The problem is that Tech is a tool, an enabler, a pillar for scale, efficiency and productivity, but by itself it cannot tackle wicked problems, and this is where tech alone falls short. Also, the VC money expects scale and margin within a short runway without getting involved in the messiness of the hard and wicked problem. So you hear things like Asset-light, SAAS like models, Linear solutions, etc  But the actual frictions in the wicked problems are not just inefficiencies, they are livelihoods. That middleman or cartel isn’t a bug in the system, they are the SYSTEM. Tech can automate a function, but not the social trust that drives informal economies. Tech can map a process, but not the deep narrative of power and survival embedded in that process. So the new problem becomes this: you’re trying to disrupt someone’s business model that is based on disorder, and you want to do it with order and logic.  I will argue that in most African markets, the only way to build real value is to own or control some part of the assets within the ecosystem of the problem you are solving for. Success in most cases means blending tech, boots on the ground ops, and deep informal engagement (you won't see this on the pitch decks). My take is that, as founders building in Africa, we have to approach the journey like soldiers going to a war. The problems we are solving aren't just complex but entrenched in systems where the disorder is the business model. To win in Africa, you need to build with the cartels, not against them. Understand the gatekeepers. Respect the networks. Navigate the informality. The real disruption comes from working within the mess, not pretending it doesn’t exist.

Enterprise Architecture 2.0: From Blueprint Function to Business Growth Engine For the C-Suite: Your Enterprise Architecture isn’t a documentation function anymore — it’s your organization’s hidden lever for agility, speed, and scalable innovation.   To unlock this value, EA must transform. It's no longer about enforcing standards but about enabling growth. These are the four shifts every C-suite should champion to make EA a true strategic powerhouse.   1. Challenge: The Old Command-and-Control EA Model.
 As organizations decentralize into federated models, a centralized, governance-heavy EA function becomes a bottleneck to speed and autonomy.
   The Pragmatic Shift: Move from enforcement to orchestration.
 Adopt a federated operating model that embeds architects within business teams, with a lean central EA setting strategic guardrails and a common North Star. This builds alignment without sacrificing agility.   2. Challenge: A Bloated, Legacy-Heavy Tech Portfolio.
 Outdated systems and redundant applications create massive technical debt, which directly diverts capital from growth initiatives and cripples time-to-market.
   The Pragmatic Shift: Treat tech modernization as a continuous discipline.
 Implement a disciplined, iterative cycle Assess → Define → Prepare → Execute → Learn to systematically rationalize applications, reduce debt, and free up resources for competitive advantage.   3. Challenge: An EA Team Lacking Business and AI Credibility.
 If your architects can't model the financial ROI of a tech investment or speak credibly about AI's risks and opportunities, they can’t earn a seat at the strategic table.   The Pragmatic Shift: Equip architects with business and AI fluency.
 Arm your EA team with financial modeling skills to build compelling business cases and develop deep AI competencies to guide safe, effective, and strategic adoption.   4. Challenge: A Static and Poorly Communicated Value Proposition.
 When EA is seen as a cost center that only says "no," its value erodes. Its relevance must be constantly demonstrated and tied to evolving business priorities.
   The Pragmatic Shift: Proactively manage the EA value narrative.
 Embed EA leaders directly in business-led change teams. Consistently articulate and demonstrate how EA enables key outcomes: accelerating product launches, de-risking investments, and enabling scalable growth.   The Bottom Line:
  The question isn’t “Do you have an EA team?” It’s “Have you empowered them to lead your transformation?”   For leadership teams already tackling modernization or operating model redesign, the next critical step is architectural alignment — ensuring every investment ties to measurable business value.   If you’re assessing how to reposition your EA function for speed, credibility, and ROI impact, reach out. I can share what’s working — backed by real enterprise outcomes, not theory.   Transform Partner – Your Strategic Champion for Digital Transformation Image Source: Gartner

Technology-powered healthcare is the future. Investments in AI, internet of things, and remote patient monitoring continue to accelerate, and the potential for patient benefit is enormous. But the catch is that IT infrastructure isn’t keeping up.   A new HIMSS study highlights this gap. The tools we’re adopting – advanced analytics, predictive modeling, connected devices – drive innovation, but they don’t work in isolation. We first need to establish a foundation capable of supporting them at scale. Without modern, resilient infrastructure, the return on these investments and their impact on patient care is at risk.   At Johnson & Johnson, we’re focused on pairing these advanced technologies with the right backbone: high-speed connectivity, cybersecurity, and flexible and reliable computing. From there, we can scale AI and connected care to improve patient experiences.   I’m curious to hear from my network, in healthcare and other industries. How has your organization overcome infrastructure challenges to enable digital innovation? https://lnkd.in/es-rHYz5  

Transforming Financial Institutions Using API-based Approach 💡 External pressures across Financial Services to deliver new customer experiences and product innovation are driving the need for core architecture and systems transformation. APIs are the key ingredient for enabling such a transformation to create a modern, agile financial institution organization. Today, we can notice two-pronged approach to core transformation and platformification: ☁️ Modernize Core Systems via solutions such as resilience-by-design and a shift to the cloud; 🤝 Develop an API network that drives collaboration with ecosystem partners, to enable new products/services and revenue streams. By becoming an ecosystem of business services, change can occur at pace. These business services are then underpinned by IT services which can operate at a Macro level (e.g. SaaS platforms) or at a micro level though the deployment of micro services architectures. APIs enables these services to be decoupled and exchange information through defined and secure contracts. API-led connectivity is based on the principle of connecting systems and exposing data through modern APIs with the integration split into three layers that compliments the different types of APIs: 👨💻 System APIs provide access to the end systems to abstract the complexity of each system. As well as providing downstream insulation, System APIs provide a single point of entry, a single point of governance and management, as well as single, consistent way of accessing the data. 🌐 Process APIs orchestrate data extracted via the System APIs and encapsulate business processes independent of the data source or destination, to create a higher level of value. The orchestration involves one or more aggregating, splitting and routing of data. 📱 Experience APIs are designed specifically for consumption by a specific end-user, an application or a device. This API layer allows developers to quickly innovate or build new experiences by consuming the underlying assets without having to know how the data or the business capability go there. If anything changes to any of the systems or processes, it requires minimal changes to the experience layer and therein lies the agility required by IT to respond rapidly to changes to business requirements. Developing an API based strategy is the key to addressing the challenges and opportunities presented by the rapidly evolving digital environment for financial services organizations. There will be different starting points for the journey depend upon the organization's maturity, however there is a need to get started to ensure one is not left behind as the pace of change is only increasing. Source: Capgemini x MuleSoft - https://bit.ly/44iQNbF #Innovation #Fintech #Banking #OpenBanking #EmbeddedFinance #API #Microservices #FinancialServices #Data #Cloud #SaaS #Ecosystem #OpenEconomy

🚨 New report out now: Unlocking AI Compute in Africa 🚨 An initiative of the AI Hub for Sustainable Development, the Africa Green Compute Coalition (AGCC) has just released its interim report: Unlocking Compute in Africa. The report examines Africa’s emerging AI landscape, the urgent compute infrastructure gaps that must be addressed, and the priority areas where investment can accelerate innovation. Highlights: 🔹 Despite hosting 18 percent of the world’s population, Africa accounts for less than 1 percent of global data center capacity. 🔹 Only 5 percent of Africa's AI talent currently has access to the computational power needed for complex tasks, meaning African innovators may wait up to six days to iterate on models—compared to 30 minutes for peers in G7 countries. 🔹 Closing the compute gap by 2030 could cost around $2.5 billion which is a lot - but not that much when compared with broader investment flows Africa’s AI momentum is accelerating, but without the foundational infrastructure to support it, the continent risks being left behind in the global digital economy. At UNDP, we see this as a critical moment. Building green, inclusive, and distributed compute capacity is not just a technical issue—it’s a strategic investment in innovation, equity, and opportunity across the continent. Congratulations to lead contributors of this interim report: Robin A. Miller, Alim L., Stephanie Mambo and Victor Kogo from Axum; Alex Tsado from Alliance4ai, Tonee Ndungu from Kytabu, Keyzom Ngodup Massally, Alex Hradecky, Dwayne Carruthers, Maria Giulia Vitagliano, from UNDP – and many others! 📘 Read the full report here: http://bit.ly/4nglAiE #AIforAfrica #AI #AIHubForDevelopment

How fragmented is the EU R&I system? Our prior is that it is more fragmented that in the US, but is it really true? If so, by how much? In our latest publication, Valentina Di Girolamo, Florence Benoit, Julien Ravet, Alexandr Hobza & I aim to answer these questions with new methods & data (link in comments). What did we find? European R&I hubs are far less interconnected than their US counterparts, and this gap widens dramatically as technological complexity increases. When you expect a massive Paris - Munich pipeline you get a Paris - Rennes connection. That's not good. While the US thrives on a unified R&I system and coordinated national innovation strategy, Europe is shackled by 27 competing national agendas, scattered funding, and siloed research ecosystems. We hint to this massive issue with Andrea Renda in the context of AI in a CEPS (Centre for European Policy Studies) publication. We also provided evidence at the country level for the Draghi report - sounding the alarm on how this fragmentation acts like a self-imposed tariff. It’s time to embrace Enrico Letta’s call for a fifth freedom - unleashing research, innovation, and education to build bridges across our fragmented ecosystem. As long as the EU remains fragmented, it will keep falling behind - especially in the race for complex, strategic technologies like AI, biotech, and quantum computing. We need scale, an 'Airbus' moment! Complex technologies demand integrated, cross-border collaboration. Without that? A massive competitive disadvantage that wastes resources on duplicated efforts, and drives away top talent and capital. But more importantly - a threat to future growth and global leadership. Thanks to Ricardo Hausmann for the great comments on the paper & Francisco Ríos Fierro for some D3 magic.

It was a pleasure to open today’s Regional Consultation on Strengthening the 🔬 Clinical Research and Trial Ecosystem in the WHO European Region. Science and research are at the core of our new vision for health in Europe – the EPW 2.0 – and building a stronger clinical trials ecosystem is key to that vision. Why does this matter? Because clinical research doesn’t just produce data – it saves lives, builds stronger economies and improves our collective resilience. But we have to do more to communicate this value beyond the health sector. Here’s why investing in clinical trials is a win-win-win: 🩺 Public health: Strong, ethical, inclusive trials ensure access to better treatments – especially for under-represented groups and conditions where current therapies fall short. 🧪 Crisis preparedness: The pandemic showed us that readiness matters. The speed of innovation is directly tied to how robust and responsive our trial systems are. 💶 Economic growth: Clinical trials attract investment, generate high-value jobs and support Europe’s global competitiveness in life sciences. But let’s be honest – Europe is losing ground. Our share of global trials is declining, challenged by faster approvals and more integrated infrastructures elsewhere. 📉 Unless we act now, we risk falling behind. We need: ✅ Harmonized approval processes and stronger national capacities ✅ Better recruitment and retention strategies – especially in underserved populations ✅ Stronger digital infrastructure and interoperable data ✅ Greater support for underrepresented countries through regional trial centres ✅ A clinical research workforce trained, mobile, and recognized across borders And we must ensure diversity and inclusion in trials. Representation still lags. Women are still under-represented in cardiovascular, psychiatric and oncology research. This is not just a data gap – it’s a health equity gap. ⚖️ Let’s also not forget the human side of this conversation. As a doctor, a mother of three, and someone from a small country, I feel strongly that clinical trials are about more than statistics and systems. They offer hope – to patients, families, and future generations. 💙 Let’s work together to make sure that every corner of our region benefits from Europe’s scientific strength—and that no one is left behind. Marge Reinap Zsofia Pusztai Rasmus Prior Gjesing Tyrone Reden Sy Jeremy Farrar Hans Kluge