Can AI create innovation?
To answer the question, lets define innovation. Innovation is the ability of the human brain to take all the learnings cumulatively, connect completely unrelated dots, build new concepts on top of existing knowledge which results in new knowledge.
Basically, innovation is the ability to create new knowledge from existing knowledge.
AI is currently at the stage where it is trying to replicate the human brain in trying to think and adapt. The day is still far off when AI can innovate, that is, create new knowledge from existing knowledge because that also requires humungous computational power and complexity to process all the experiential data that humans process and create new concepts.
Remember, the human brain is incredibly efficient in computing with less resources. It will probably take thousands of supercomputers to create innovation if all all it is possible !