Copyright State Science & Technology Institute 2002. Information in this issue of the SSTI Weekly Digest was prepared under a cooperative agreement with the U.S. Department of Commerce, Economic Development Administration. Redistribution to all others interested in tech-based economic development is strongly encouraged — please cite the State Science & Technology Institute whenever portions are reproduced or redirected. Any opinions expressed in the Digest do not necessarily reflect the official position of the U.S. Department of Commerce.
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Report Says U.S. Still Leader in Innovation but no Room for
Complacency
A new report issued by the Council on Competitiveness maintains that the U.S. must have a strong, sustained commitment to investment in science and technology to maintain its global competitiveness. In Going Global: The New Shape of American Innovation, the Council focuses on support for basic research, the need for a skilled talent pool, and favorable legal, regulatory and accounting rules to promote U.S. innovation as three key factors for innovation.
The Council looked at several major changes in the global market that have a significant impact on the way companies do business. Those changes include:
- A new wave of competition from developing economies.
- The rapid pace of technology churn and development cycle times.
- Globalization of investment choices.
- Global availability of talented workers.
- Globalization of markets and consumer demand.
- Globalization of research, and
- A shift of focus away from basic, frontier research and advanced technology with the end of the Cold War.
The Council looked at the impact these changes are having on the innovation capacity of five industry sectors: health services, information technology, advanced materials, automotive and express package transport. They examined each sector for current competitiveness trends, innovation needs and priorities, and strengths and weaknesses in the U.S. environment for innovation.
Major findings cited in the individual sector reports include:
HEATLH: In health care innovation, the U.S. is a clear global leader, but its position is based largely on previous investment. The Council expressed concerns about the future of innovation and continued public support for biomedical research.
INFORMATION TECHNOLOGY: The pace of technology "churn," the emergence of new competitors, and insufficient investment in IT- related research and human talent leave little room for complacency about future leadership.
ADVANCED MATERIALS: The Council found that the challenge is not overseas competition but the possibility that U.S. companies will fail to reach their innovative potential because of insufficient support for the physical sciences and engineering, lack of capital for small start-ups, and an uncompetitive tax structure.
AUTOMOTIVE: The growth of demand offshore and the emergence of new national competitors will continue to drive global investments. Although the U.S. remains the dominant location for research, R&D investments at the margin are flowing overseas, according to the report.
EXPRESS PACKAGE TRANSPORT: Principal concerns for the future are the availability of networking computer science professionals and lack of net-work based university curricula.
Released in conjunction with Going Global is a new report from the U.S. Department of Commerce, The New Innovators: Global Patenting Trends in Five Sectors, that analyzes the competitiveness of the research capabilities of the United States, the European Union, and fourteen other countries including China and Japan.
This analysis, which uses key indicators generated from utility invention patents granted under the U.S. patent system, shows that the United States has a technological edge in each of the five sectors examined. However, according to the patent data, quickening technology cycle times have helped a number of countries emerge as global players within a brief time span. Going Global: The New Shape of American Innovation is available from the Council on Competitiveness at 202/682-4292.
The opening chapter of the report is posted on the Council website at http://www.compete.org.
The Department of Commerce report is available on-line at http://www.ta.doc.gov/reports/09111998.pdf or by calling 202/482-3037.
MAINE RESIDENTS TO VOTE ON BOND ISSUE
Mainers will vote on Election Day on a research and development bond issue that if passed would allocate $20 million to improve the Maine economy by supporting innovative research and development in the fields of biotechnology, computers and other information technology, aquiculture and marine technology, forestry and agriculture, and advanced materials.
If passed, funding from the bond issue would be allocated to the following:
- The University of Maine System would receive $13.5 million for capital improvements and equipment purchases;
- The Maine Science and Technology Foundation would receive $4.5 million to enhance research and education capability among public and private educational institutions conducting marine research and nonprofit marine research institutions, and to provide funds for a Research Challenge Grants Program to enhance research and development capacity and productivity; and
- The Department of Economic and Community Development would receive $2 million to leverage $2 million in matching private contributions to build the Gulf of Maine Aquarium Research Laboratory that would support applied fishery research and marine biotechnology research in Maine.
The bond proposal is the result of a unanimous bi-partisan recommendation of a special legislative committee that studied Maine's investment in research and development. Those supporting the bond issue argue that if it is passed the funding will:
- Create new jobs, new products, new business and industries;
- Attract millions of dollars in federal funds to support Maine-based research and development;
- Help strengthen Maine's economy and improve its quality of life; and,
- Help make Maine more competitive with other states.
For more information, visit the Maine Science and Technology Foundation’s webpage at www.mstf.org.
FELLOWSHIP POSITIONS AVAILABLE:
Eisenhower Exchange Fellowships announces a competition for U.S. citizens in leadership positions with significant professional experience (10-20 years) for Fellowships to:
- Hungary: Technology in education, economy, and communications; and,
- Malaysia: Computer technology and systems in education; science and technology policy; and, telecommunications policy.
Fellows will meet with top level authorities in government and business throughout the country for a period of 4-10 weeks. Benefits include all travel costs and living allowance for Fellow and spouse.
Applications are due November 30, 1998. Applications may be requested from: J. Hartl, Eisenhower Exchange Fellowships, 256 S 16th St, Philadelphia, PA 19102; e-mail: jhartl@eef.org; and, fax 215/546-4567.
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