Open innovation At a time when in-house innovation is not always the best option for a company, the concept of Open Innovation can be useful. The concept is simple: to stimulate and collect ideas on how to reinvent, revolutionise or simply enhance a key business activity. Open innovation makes sense in a world where the internet and social networks make sharing ideas easy. Working in partnership with others may seem difficult but companies can acquire real competitive advantages through engaging in open innovation. Open Innovation is based on sharing, cooperation between companies, market economy (via patents and licenses) and business intelligence. It can also include approaches based on ethical or solidarity alternatives (solidarity economy) for free sharing of knowledge and modern or traditional know-how, including the use of free licenses. In this new innovation landscape, the role of public research organisations has become even more important. Indeed, companies can no longer justify to invest in enabling technologies, as they will not be able to exploit all applications on their own. Business - research collaborations Business-research collaborations is a focus of partnerships explored by Open Innovation, for example through PPPs (Public Private Partnerships). Research laboratories can bring advanced skills to industry in the form of services, consultancy assignments or research collaborations. Competitive research is eligible for state aid co-funding. In Luxembourg, special support is given to collaborative R&D projects. The Luxembourg clusters play a major role here as exchange platforms between national actors. Clusters aim to develop specific technology projects and collaborative R&D projects by encouraging partnerships between their public and private sectors’ members. For ten years, open innovation has been deeply changing the business model of some companies. Open innovation can apply to any type of business, even small and medium-sized enterprises in low-technology products.