This policy brief has analyzed the change in innovation space from three viewpoints, 1) variety of innovations, 2) variety of actors and activities, as well as 3) innovation diffusion and spillovers. An evaluation of all three viewpoints has shown that the ongoing change is complex, and is caused by huge global and societal challenges. In this study, evolution of the concept of innovation has been studied e.g. from Oslo Manual. Several challenges for innovation policy have been identified and based on these, proposals for action suggested.