Adding Fusion into the European Innovation Scaling Mix

The European Activation Curve for Scale to Fusion

I have been building out a series of IIBE Framework papers looking at how the European Union through its European Innovation Council (EIC), a major EU initiative supporting deep-tech startups and research, can move its new scaling mandate underpinned by deploying a recently announced Euro 5 Billion fund.

The EIC is the right institution for this. Not because it is the only EU institution with a scaling mandate, but because it is the only institution that already operates above the national interest level, already has portfolio-level visibility across node types, and is already at the moment — the first Scaleup Europe Fund investment tranche — when integrating this governance architecture is most effective. The extension of EIC’s remit from financing scale to governing the ecosystem conditions for scale is not a departure from its mandate. It is the logical completion of it.

I worked through four documents looking at a combination of ideas that look to challenge political geography and optimize functional architecture. We should look for imaginative ways for true ecosystems of capital, intelligence, connections and resources can flow freely to the points where that expertise is the strongest across Europe. We need to think beyond boundaries into optimized performance. Can we think differently across Europe when it comes to innovation, make our institutional flows stronger?

Forget the Component Approach think Ecosystem Architecture

We need to invest in Ecosystem Architecture, it compounds value

Most organisations today are trying to move faster than the system they sit inside.
The slowdown isn’t execution — it’s structural.

They are operating inside ecosystems without an ecosystem architecture:
the missing layer that aligns capabilities, intelligence, and value creation across partners, portfolios, and products.

The Intelligent Integrated Business Ecosystem (IIBE) provides that architecture. It turns ecosystems from fragmented networks into intelligent, adaptive systems that can sense, learn, and coordinate — so strategy, capability, and value creation move together, not apart.

If you’re feeling the limits of the system around you, the IIBE makes those limits visible — and solvable.

The Structural Problem Modern Organisations Can’t See

Across every sector — energy, industry, logistics, healthcare, finance — organisations are trying to accelerate innovation, digital transformation, and new value creation.

The Business Ecosystem Architecture needs to be Executive-Ready

Accelerating inside our existing system is increasingly hard

Most organisations today are trying to move faster than the system they sit inside.
The slowdown isn’t execution. It’s structural.

They are operating inside ecosystems —
but without an ecosystem architecture.

And that missing architecture is now one of the most important, least recognised constraints on growth, innovation, and transformation.

Underestimating what ecosystems really need

Most companies still underestimate what “ecosystem” really means and why they need to go deeper into the causes of their Ecosystems not delivering what they would want. .

They think it’s a partner program. Or a platform. Or a digital initiative. Or a slide with circles and arrows.

But here’s the shift that’s already happening — quietly, structurally, and faster than most leaders realise:

Your business is no longer operating in a market. It’s operating in an ecosystem.

And that changes everything.

Business Ecosystems are more than your Companies thinks they are

Recently I have been evaluating a cohort of Seven leading companies on where they are on Business Ecosystem thinking

The seven organizations are

Hitachi Energy
ABB
Maersk
Johnson Controls
DHL
Allianz
Siemens Healthineers (not Siemens AG)

Firstly you gain the universal tension they all feel

Firstly, it seems every company is caught in the same structural bind:

Their value creation now depends on actors they don’t control
(utilities, ports, regulators, integrators, OEMs, hospitals, carriers, developers, insurers, cities).
Their strategic bets require multi‑actor coordination
(energy transition, digital grids, smart buildings, logistics visibility, embedded insurance, connected care).
Their existing operating model is built for bilateral relationships, not multi‑actor ecosystems.
Their platforms and digital initiatives have already shown the limits of “technology + partners.”

This is their shared pain point they all can elevate into a compelling need for Ecosystem change if they have the 1)ambition and desire and 2) the understanding of what it takes..

The Architecture of Ecosystems — What It Actually Takes

The Architecture of Ecosystems — Do you recognize what it actually takes?

Many Business Ecosystems are not as well designed as they can be. Often, we are at the problem recognition level. Do we ever go beyond this to recognize the architectural specificity is missing and this is essential.

Do you have a real sense of what that architecture actually consists of or why its categorically different from everything you have tried before?

You now recognize the problem. The system is resisting you. The tools you built were designed for a different world. The structural layer never emerged.

But recognition is not enough.

The question every leader reaches at this point is the same: what would it actually mean to have an ecosystem architecture — and what does one consist of?

That question deserves a precise answer. Not a framework. Not a methodology. An architectural answer.

Thinking Like a System Is Not the Same as Being Architected as One

Thinking like a system needs architecture in Ecosystem design

This is a response by building on Kees Hoogervorst’s analysis at Altair Media — and on what still needs to be said related to the recent joint seven European CEO’s letter of growing concern over Europe and its (eroding) competitive position, publishef earlier this month.

Kees Hoogervorst at Altair Media published something this week that deserves to be read carefully by everyone following the European competitiveness debate. His piece — “Europe Is Starting to Think Like a System” — is one of the more precise and intellectually honest responses to the joint CEO letter that has appeared since it was published across eight national newspapers on 5 May.

His central argument is right: the letter from ASML, Airbus, Ericsson, Mistral AI, Nokia, SAP, and Siemens signals something more significant than a lobbying effort. It reflects a genuine shift in how Europe’s most capable industrial actors understand technological power — moving from a sovereignty logic focused on doing everything independently toward what he calls an indispensability logic: mastering the critical control points that the rest of the global technology economy cannot bypass.

That framing is sharp and I want to build on it. Because there is a gap between where Hoogervorst’s analysis lands and what the situation actually requires — and naming that gap precisely is the most useful contribution I can make to this conversation.

The Ecosystem Journey we all must travel for today’s business challenges

I have found the the intellectual journey of Ecosystem design tough, challenging but rewarding but have built a framework that supports business organizations to navigate this.

The Intelligent Interconnected Business Ecosystem (IIBE) did not emerge from theory. It was forged across two decades of sustained work at the intersection of strategy, technology, and organisational design — diagnosing real ecosystems, resolving real strategic tensions, and building the pattern recognition that only comes from repeated engagement with complex systems at the point where their coherence breaks down.

It synthesises and extends across five bodies of thinking:

— Platform economics and network theory — extended beyond transaction-based logic to structural ecosystem intelligence

— Ecosystem strategy thinking — given diagnostic precision and causal architecture it previously lacked

— Systems thinking and complexity science — made operationally usable rather than theoretically descriptive

— AI and intelligence integration — grounded in human meaning-making rather than deployed as isolated analytical capability

— Organisational capability building — scaled across actors the enterprise does not control

This synthesis is not borrowed. No other framework holds these domains in productive tension simultaneously. The IIBE exists because the intersections between them — where the most significant strategic tensions in complex ecosystems actually live — required an architecture that none of them individually could provide.

The Compound Value and Growth Logic Of Business Ecosystems

Recognising We Have A Problem with ‘Scale’

What scale logic assumes

Scale logic rests on a clear set of assumptions: inputs are replicable, processes are stable, and growth comes from doing more of a proven thing with greater efficiency. These assumptions are well-suited to manufacturing, standardised service delivery, and transactional platforms with high volume and low variance. They have produced enormous value in those contexts.

But they embed a hidden constraint: the system produces more output without necessarily becoming more capable. A scaled organisation is a bigger version of itself. It is not a structurally different one. The growth is additive. The returns are, at best, linear — and increasingly sub-linear as competitive imitation narrows differentiation and regulatory, environmental, and labour costs compress margins.

Where scale logic fails ecosystems

Ecosystems are not linear value chains with more participants. They are systems in which the primary assets — relationships, knowledge, trust, combinatorial capability — behave differently from physical or transactional assets. They appreciate through use. They generate network effects. They produce emergent value that no single participant designed or controls.

From Signal to Architecture: Europe’s CEO Open Letter Deserves an Architectural Answer

From fragmented to a structured Ecosystem

The fifth and concluding post in a series responding to the seven CEO open letter | Paul Hobcraft | May 2026– a ten minute read

On 5 May, seven European CEOs published an open letter in eight countries simultaneously. It was an act of genuine collective will — and a signal that a threshold of discomfort had been crossed at the highest levels of European industrial leadership.

I have spent four posts since then working through what that signal actually means, what it doesn’t yet say, and what a structurally honest response requires. This fifth post is both the conclusion of that series and the opening of a different conversation.

A senior European institutional figure observed publicly last week that the CEO letter is a call to action — and crucially, a call to action also for the signatories themselves. That observation goes to the heart of what this series has been building toward. It deserves to be developed fully.

So, this is the concluding post on what is needed in clear response to this open letter.