Yes, and most companies should run more of them, not fewer. AI is a horizontal technology: it touches operations, customer service, finance, HR, marketing and product, so the knowledge needed to apply it well is spread across every function rather than held by a central team. A well-designed hackathon brings that distributed domain expertise together with people who can build, in a short time box, around a real business problem. The format has to change, though: specific themes, a faster cadence, open participation and a funded path for winning concepts.
- The knowledge is distributed: a finance analyst may spot an automation opportunity the technology team cannot see; a customer service representative may understand interaction patterns that could reshape a product. Hackathons give people across all functions a systematic way to explore those possibilities together
- Top-down AI strategies miss it: roadmaps drafted by outside advisers or small central teams, however well-intentioned, lack the granular domain expertise held throughout the organization. They tend to produce generic transformation plans rather than targeted, high-value opportunities
- AI literacy through doing: learning is one of the core hackathon objectives in Innovation Mode 2.0: participants discover emerging technologies, build cross-functional relationships and show skills beyond their formal roles. Applied to AI, a hackathon builds literacy through hands-on experimentation rather than passive training
- Everyone, not only technologists: hackathons have long been perceived as engineering contests, which kept non-coding employees away. AI prototyping now lets a non-technical participant turn a concept described in plain language into a working prototype, so a veteran operations manager can contribute alongside the strongest engineers
- A capability, not an event: as operational work becomes streamlined and automated, the ability to conceive, validate and pursue new opportunities quickly becomes a key differentiator. Frequent, focused hackathons are one of the most effective ways to build that ability across the workforce
- A different question from whether AI can build it: if the concern is that AI now builds prototypes for anyone, the answer is to shift the contest from building to validating; see Should we still run hackathons if AI can build prototypes?
- The condition: hackathons aimed mainly at publicity, or marked done once the winners are announced, are soon recognized as innovation theater. The case holds only when the event is part of an innovation program with a defined path for what it produces
Key Takeaway
Treat the hackathon program as an organizational learning system for the AI era: the way a company finds out, function by function, where AI creates real value.