In an age of knowledge, the capacities of professional and continuing education to open up new networks, overcome organizational hurdles, and foster an environment for innovation have assumed great relevance. This article makes the case as to why. It discusses key forces driving change--the knowledge economy, demographics, technology, and globalization--and reviews opportunities as well as threats arising therefrom. Finally, it explores why professional and continuing education units are well positioned to be a powerful influence for innovation in higher education. (Contains 1 table and 33 endnotes.)