There is widespread recognition of political economy factors that underline ‘inclusive innovation’. Key among these include the trio of states, markets and society; the conditions that lead to technology transfer, adoption and finally diffusion in a new context; the corresponding creation of indigenous capacity with participation from local actors and stakeholders; and socially inclusive outcomes that can thrive from complementarities of technology and social innovation. Building on these ideas from the IDS 50th Anniversary Conference in July 2016, this article links them with the Heeks Ladder of Inclusive Innovation to discuss the prospects for further inclusive innovation and development.