In the past decades, the development of higher education institutions (HEIs) in industrialized countries has become intertwined with innovation policy and the goal of national competitiveness. Focusing on the discourses on innovation by the Ministry of Education and Culture (MEC), this article illustrates the transformation of Finnish higher education policy ideas in the late 2010s following the demise of the previous policy consensus built around the notion of the National Innovation System. Through a critical policy discourse analysis of 35 publications by the MEC, we demonstrate that its recent policy discourses are dominated by an increasingly market-centric strategy of entrepreneurialism in conditions of major cuts to the public funding of universities and R&D. This strategy has serious limitations and contradictions, which have generated institutional conflicts and hinder the development of a more sustainable and balanced innovation agenda for the Finnish higher education field.