Digital innovation: Cross-sectoral dynamics and policy implications

With a focus on the agri-food, automotive and transportation, and retail sectors, Chapter 4 explores the impacts of digital transformation on innovation and identifies sector-specific dynamics. In view of such impacts, the chapter evaluates how innovation policies should adapt to promote vibrant and inclusive innovation ecosystems effectively. Examples of novel innovation policy approaches implemented in various countries are provided. The chapter also synthesises key findings from the OECD’s Working Party on Innovation and Technology Policy and, specifically its Digital and Open Innovation project. It explores in detail the changes needed in innovation policy in the digital age, considering the impacts of the digital transformation on innovation across sectors.