for the creation of a private re-useable passenger
space aircraft (awarded in 2004) was a massive
success. It leveraged private investment in multiples
of the original reward. Prizes have created new
markets and prompted the development of totally
new industries.
When Charles Lindbergh became the first
pilot to fly non-stop from New York to Paris
winning the Orteig prize in 1927, his celebrity
transformed the aviation industry. The number of
US passengers increased thirty-fold in three years,
while applications for pilot licenses increased 300
per cent.
But prizes don’t always need to make radical
leaps or aim at ambitious, complex goals. People
also use prizes to:
Shine a light on a neglected issue or problem.
Encourage other people to invest in solving a
problem or making advances.
Bring new products and services to market.
Prompt new collaborations and partnerships.
Gather new information and data on an issue.
Identify great ideas.
Identify great practice.
Build the capacity of new innovators and support
their entry into the market.
(Adaptedfrom www.nesta.org.uk)
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