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As R&D spending ramps up and emerging technologies proliferate, firms realize that success will be realized through a continuous innovation mind-set.

The R&D arms race has reached new heights. Companies on the S&P 500 collectively increased their R&D budgets by 30 percent in 2018, and Amazon was on pace to increase its investments over 40 percent for the second year in a row. At the same time, the number of new technologies on Gartner’s hype cycle for emerging technologies doubled in 2018 from 17 to 34.

Undoubtedly, the acceleration and fragmentation of innovation will continue into 2019 and beyond. Whether pursuing incremental innovation or working toward the next moonshot, the firms who adopt a continuous innovation mindset will be the ones rewarded.

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The acceleration and fragmentation of innovation will continue into 2019.