Source: New Scientist

Published in New Scientist on 11/4/09 (Author, Ivan Semeniuk)

Peter Diamandis, CEO of the X Prize Foundation, wants to use our competitive instincts to make the world a better place. After handing out $10 million to the first private team to achieve suborbital space flight, he’s extended his X-prize concept into earthly realms such as automotive engineering, genomics and health care. And while he still sends billionaires to the International Space Station as managing director of the firm Space Adventures, he’s lately teamed up with futurist Ray Kurzweil to create the Singularity University, where young entrepreneurs are trained to think about global issues. Ivan Semeniuk spoke with Diamandis about his ongoing ventures on and above the planet.

Why do you think prizes work?

First, as humans, we’re genetically predisposed to compete; we do it in sports and in business. That’s what encourages us to take risks, which drives breakthroughs. Secondly, if you’re going to try to do something on your own that’s considered audacious or outlandish and you fail, people say, “Look at that stupid idiot who tried that crazy thing.” However, if a third party puts up, as an objective, a very difficult goal, which you attempt but fail to achieve, then it’s, “Good try old chap, too bad you didn’t make it.” The psychology of the prize changes the way society views you as a risk taker.

How do you scale up a prize into something that’s useful to society?

When we design a prize, it’s really important that the prize deliver a team and technology to a point where a business can then take off. It’s of zero interest to me to have a competition where the result ends up in a record book or on a museum shelf. For us, success means there’s an industry launched on the heels of a very visible achievement.

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