The paper traces the role of government policy support and entrepreneurship in economic development and technological innovations. Incubation programs in Sweden, Tanzania and Uganda with respect to partnerships, policies and strategies has been investigated. It further examines whether, and to what extent, open innovation is a relevant perspective in fostering innovation and entrepreneurship through incubators. It provides an overview of open innovation theory and explores the integral aspects into business incubation for purposes of sustainability. Based on empirical examples, surveys and interviews with some incubator managers and staff, policy makers, and consultations from various agencies and experts in the subject area across the three cases, it confirms that openness and networks can enhance incubation processes. Adoption of open innovation approach into business incubation a conceptual base, from which external resources are faster utilized to enhance innovative activities, capabilities and entrepreneurship culture, can enhance growth and sustainability. The key learning points include need to develop more technological capability, focus on increasing education infrastructure; strengthening coordination and networks among the institutions and private sector.