This chapter presents a framework for innovation and its important attributes and methods that are likely to make a difference. The innovation-research duality will be discussed. Traditional research is based on the demonstration of a claim. Similarly, innovation is based on the investigation of appropriate possible futures and the demonstration that they are viable. In addition, I claim that innovation can greatly be supported by incremental design, development, and integration of tangible interactive systems (TISs) in our society. The city of the future will be taken as an example to illustrate the various concepts, methods, and tools that support innovation.