Inflation has been surprising to the downside, despite uncertainties surrounding tariffs, and interest rates cuts are expected to kick in this year. Governments worldwide are stepping up support for emerging technologies. Simultaneously, valuation premiums have normalised, with stocks now trading closer to market parity than historic norms.
With fiscal catalysts and regulatory reform adding further support, the long-term investment case for disruptive platforms like artificial intelligence, multiomics, robotics and blockchain is looking strong.
Here, we explore three key innovation trends where we see particularly strong momentum building right now.
Traction in artificial intelligence (AI)
AI is continuing to gain traction at both the sovereign and corporate levels. Recent developments suggest we are moving beyond experimentation and into widespread adoption.
Most notably, we’re seeing sovereign initiatives escalate rapidly. Saudi Arabia’s recent $15bn investment in national AI infrastructure, along with its partnerships with US chipmakers such as Nvidia and AMD, signal a serious long-term commitment to global AI leadership.
At the same time, hyperscalers like Meta are intensifying their pursuit of artificial general intelligence. The company’s new Meta Superintelligence Labs and high-profile acquisitions are catalysing significant capital flows into the AI stack.
AI infrastructure providers such as CoreWeave, meanwhile, are gaining prominence as AI software platforms like Palantir, enabling real-world deployment, are continuing to grow in strategic importance.
And as the cost of AI training and deployment continues to fall more than 75% annually, we see AI as a deflationary force that can help improve corporate margins in various economic environments.
Reform in biotech & genomics
While genomics faced volatility in early 2025, regulatory developments have reinvigorated the sector. At the forefront is the US Food and Drug Administration (FDA), which is undergoing a quiet but significant transformation.
In recent months, the agency has announced plans to phase out mandatory animal testing for biologics and accelerate the approval pathway for rare disease treatments, opening the door for novel, AI-powered methodologies.
Meanwhile, the appointment of a chief AI officer and the completion of its first generative AI-assisted pilot designed to tackle tedious, repetitive tasks, signal deep operational reform and stand to unlock significant value.
Biotech remains one of the most undervalued corners of the innovation space. As regulatory bottlenecks ease, the convergence of AI, data science and biology could drive meaningful breakthroughs for both patients and investors worldwide.
Integration of autonomous mobility & digital assets
Having long captured the imagination of investors, autonomous vehicles and blockchain are now starting to deliver on their promise of transformational potential.
Tesla’s robotaxi rollout in Austin, Texas in June this year marks a key milestone. While the launch is far from widespread, it’s a significant step towards commercialising a technology we expect to generate $8trn-$10trn in global revenues by 2030.
The cost and speed advantages afforded by Tesla’s vertically integrated manufacturing and end-to-end AI stack could allow the company to undercut competitors in this space while scaling quickly.
Likewise, in digital assets, regulatory progress and infrastructure growth are building bridges between crypto and traditional finance.
Firms at the intersection of both, such as Circle and Coinbase, are gaining momentum as demand for tokenised financial services and stablecoin infrastructure grows. Product innovation and mainstream financial engagement, meanwhile, will continue to expand the addressable market.
As both of these themes enter phases of commercial adoption, they’re emerging as potential sources of outsized long-term returns.
Innovation’s new growth curve
After several years of volatility, the conditions for disruptive innovation-led growth are improving.
Deflationary forces driven by AI, the commercialisation of autonomous services and regulatory reform in healthcare are converging to set the stage for a new cycle of productivity.
Disruptive technologies are now better positioned to deliver real economic value through both top-line growth and structural cost reduction. In a world facing rolling recessions, ageing demographics, and tighter capital allocation, this is vital.
Platforms such as AI, genomics, blockchain, and autonomous mobility are the infrastructure of tomorrow’s economy. The fact they look underappreciated from today’s vantage point presents an excellent investment opportunity.
Thomas Hartmann-Boyce is global head of investment solutions at ARK Invest. The views expressed above should not be taken as investment advice.