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Disruptive innovation is a concept that has been developed for analysing ways to improve health outcomes and reduce costs in the US health care system. The Expert Panel on Effective ways of Investing in Health (EXPH) was requested to focus on the implications of disruptive innovation for health and health care in Europe. The Expert Panel understands “disruptive innovation” in health care as a type of innovation that creates new networks and new organisational cultures involving new players, and that has the potential to improve health outcomes and the value of health care. This innovation displaces older systems and ways of doing things. The Expert Panel conceptualizes disruptive innovations as complex and multi- dimensional, categorising five levels of disruptive innovations: typology of business model, fluency of implementation, health purposes, fields of application and pivoting values. The Expert Panel identified five strategic areas for disruptive innovation: translational research, access to new innovative technologies, precision medicine, health professional education and health promotion. The implementation of any (disruptive) innovation should carefully address the issues of relevance, equity (including access), quality, cost-effectiveness, person- and people centeredness, and sustainability.