An example of this to me is Dickmann's autonomous cars which were driving around on highways in the 80s (https://youtu.be/_HbVWm7wdmE), yet you'd hardly think they even existed given how the rate of progress is framed in that industry by consumer products.
I guess by that time it was hard to catch up. Also, many of our scientists had left for the US during the war.
Even if Germany's brightest were not brain-drained to USA/USSR, they would not have much funding nor opportunity to pursue their advanced research in occupied Germany.
Population of Germany:
- 1940: 70 million
- 2020: 83 million (about 20% more)
Population of the USA: - 1940: 132 million
- 2020: 331 million (about 140% more)
Population of the world: - 1940: 2300 million
- 2020: 7795 million (about 240% more)
So, they may have stayed equally innovative per capita, but in 1940 about 1:33 of humans were German, while in 2020, that was 1:94.A cultural aspect may be that Americans are more willing to try and fail, which in software has almost zero cost. In engineering it's an advantage to be risk-averse. In software where "building" is automated, and barely a factor. Theory almost equals practice here. So it's cheaper to practice.
...this bit of information was actually news to me, but the brain drain that started in 1933 and then intensified after WW2 is probably an important part of the answer. Maybe it also contributed to a general mindset that the grass is greener across the ocean ;)
A lot of innovation still happened in Germany after the war - even in East Germany, but somehow the fruits were always picked elsewhere, for example: https://www.youtube.com/watch?v=1qccejmqbPg - or this 'German SpaceX': https://en.wikipedia.org/wiki/OTRAG)
I'd say that modern Germany has definitely produced significant contributions.
Germanys economy is just not as consumer driven anymore, as many former industry giants crumbled from the competition form asia, so you don't really interact much with it. But if you look at the metrics instead of personal impressions they have their strengths. You don't really export so much by producing bad, non-innovative products.