You know what promotes innovation? No, "intellectual" "property" laws, and the promise of passive income. Not the pressure of the shareholders to deliver growth forever. Not even the investment of capital.
It's quality free time. It's when people have the time to experiment and try things. It's when they have access to tools and resources not being fully used. It's when they are not stressed and can freely explore on their own. And when they can do things that don't bring immediate profit.