The Illusion of ‘Tech Disruption’—Understanding When a Business is Just Old Wine in a New Bottle

The word ‘disruption’ now appears everywhere—slick websites, pitch decks, even casual conversations around career moves. Companies love to claim they’re remaking entire industries with a sprinkle of technology and the right branding. But the truth is, sometimes new ventures simply repackage old ideas with fresh language and eye-catching design.

Take the rise of coworking spaces. They might tout themselves as platforms, communities, or even ‘space-as-a-service,’ yet the core business is straightforward: lease property at one rate, rent it out at a higher one. In many industries, wrapping a traditional service with the glow of digital innovation or community buzz makes it seem revolutionary. The real test: does technology change the underlying economics, value to the user, or simply the marketing pitch?

Psychologists call this the re-labelling effect—using words that shift perceptions without shifting substance. History is filled with examples: online clothes ‘rental’ is still a clothing store; gig-economy work can mirror low-wage temp jobs dressed up with slick apps. The new version may be better marketed or more convenient, but it’s not always a systemic leap forward.

True innovation is measured by the impact on efficiency, outcomes, or access, not by how loudly a company promotes its uniqueness. For every game-changing technology, there are a dozen businesses riding the coattails of buzzwords. Smart thinkers learn to cut through hype by focusing on the substance beneath the surface.

Before you buy into dazzling promises about the ‘next Uber’ in your world, pause to strip back the hype. Write down, in plain language, what the business actually sells, who pays for it, and where the value really lies. Hunt down a traditional equivalent—how does this model actually differ? Push yourself to identify the unique feature, if it exists, such as new tech, dramatic time savings, or widespread access. If what’s on offer mostly resembles old models with new branding, don’t be afraid to ask tough questions and request proof of real outcomes. Bring this curiosity to your next team meeting or when evaluating the latest service—your critical thinking will set you apart.