A New Challenge in the Innovation Arms Race
Have you ever thought of developing your own fancy software system yourself? Too complicated? Maybe not. The technical developments of recent years make it easier than ever before, with drastic consequences for the competition.
Modern technologies lead to hyper-innovation
Over the past decade, we’ve seen an evolution of digital technologies that has changed everything. And it’s not going to stop yet.
Let’s take a look at what happened:
- Computing and storage costs have dropped to a minimal fraction.
- Cloud services offer complex hardware on a pay-per-use basis to people and businesses who would not have even thought of using them a few years ago.
- API-enabled systems provide complex functionality and solutions that can be easily integrated into new products at a reasonable price.
- Low-code and no-code software development systems offer intuitive ways for even non-experts to develop their own solutions with a high level of functionality and usability.
- In a few months, artificial intelligences like ChatGPT and BARD will be able to create entire systems from scratch simply by telling them what we want to have.
Even barely talented people can now develop systems that used to require expensive teams of highly skilled and equally highly paid software engineers. Hundreds of new AI-driven solutions are coming to market every week. If just a few of them survive, it will redefine the meaning of innovation and competition.
Hyper-innovation resets the rules of competition
To be clear. Technology will evolve further at a fast pace. This race will not stop. Markets will be flooded with innovative solutions. Even when most of them die early, enough will remain to foster competition.
We are about to enter an era…