SSTI Digest

Two states are looking to make college more affordable through state programs aimed at decreasing or eliminating tuition costs. The New York legislature will decide the fate of a new proposal for free tuition at its state universities for middle income earners there, while in Kentucky students may be eligible for financial aid through the Work Ready Kentucky Scholarship Program.

Artificial intelligence and automation technologies have the potential to alter millions of jobs, yet the positive benefits associated with increased productivity are worth pursuing, according to a December 2016 White House report. The authors – which include staff from the Council of Economic Advisers, Domestic Policy Council, National Economic Council, Office of Management and Budget, and Office of Science and Technology Policy – suggest that responding to the economic effects of this technology will be an important consideration for the next administration, and as a result, policymakers should be prepared for a wide variety of outcomes. Artificial Intelligence, Automation, and the Economy is a follow up to the White House’s October 2016 report Preparing for the Future of Artificial Intelligence.

Two new hubs have been announced in the Manufacturing USA network, one focusing on sustainable manufacturing innovation and the other on tissue biofabrication, bringing the total network of institutes to 13 since its inception four years ago.

Efficiency measures will be the focus of the latest institute, announced yesterday by the Energy Department. The new Reducing Embodied-energy and Decreasing Emissions (REMADE) Institute will be headquartered in Rochester, New York, and be led by the Sustainable Manufacturing Innovation Alliance. It will leverage up to $70 million in federal funding, subject to appropriations, and will be matched by $70 million in private commitments from over 100 partners. Recognizing that manufacturing consumes nearly 25 percent of the nation’s total annual energy use, REMADE will focus on driving down the cost of recycling and remanufacturing technologies and aims for a 50 percent improvement in overall energy efficiency by 2027.

The U.S. Small Business Administration (SBA) launched the 2017 InnovateHER: Innovating for Women Business Challenge – a cross-cutting prize competition to unearth innovative products and services that help impact and empower the lives of women and families. The challenge officially kicks off in early 2017 with local competitions to be hosted by over 250 organizations registered to host local competitions including universities, accelerators, clusters, scale-up communities, SBA resource partners, and other economic development organizations. Through these local competitions, the SBA will identify up to 10 finalists who will be invited to the National InnovateHER: Innovating for Women Business Challenge to be held in mid-2017. The finalists will pitch their products and ideas to a panel of expert judges and compete for the top three awards along with $70,000 in prizes provided to SBA through a gift from the Sara Blakely Foundation. Nominations from host organizations are due May 12. 

After a down year for both the number of venture capital (VC) deals and the total dollars invested in U.S.-based startups, analysts remain split on whether 2017 will be a continuation of the downward trend or a rebound year. Those bullish on the market point toward strong fundraising totals in 2015-2016 and a likely uptick in the number of initial public offering (IPO) market. Whereas, those bearish on the VC market are concerned about a congested industry.

This week, we take a look at the top SSTI Weekly Digest stories from 2016 and give you an idea of what to look for in the coming months.

Venture capital market stories are always popular with our readers, and this year you found the January story VC Trends to Look for in 2016 particularly interesting. If you liked that one, you may have also read one of the follow ups that ran later in the year, when Companies Receiving VC Funding Declined for 5th Straight Quarter, or you may have turned to the picture of the global VC market in the story that ran the following week. And you’ll want to check back for more information on what is happening with VC in 2017 in the forthcoming January and February issues.

The National Institute for Innovation in Manufacturing Biopharmaceuticals (NIIMBL) becomes the eleventh institute in the Manufacturing USA network, U.S. Secretary of Commerce Penny Pritzker announced last week. The $70 million award marks the first institute with a focus area proposed by industry and the first funded by the U.S. Department of Commerce (DOC). The institute will focus on the complex manufacturing process used to produce treatments for conditions such as cancer, autoimmune disorders and infectious diseases and also seeks to develop manufacturing capabilities for a quick response to pandemics and other biological threats. Each of the institutes has a unique technological concentration and is designed to accelerate U.S. advanced manufacturing as a whole.

Last week, Congress passed the American Innovation and Competitiveness Act (S. 3084), which reauthorizes the America COMPETES Act. The Act does not include any funding levels for any of the programs or agencies reauthorized in the bill but does reinforce Congress’s support for research and makes adjustments to some programs. One crucial component of the bill adjusts the cost share requirement for NIST’s Hollings Manufacturing Extension Partnership to 1:1 throughout the new authorization period. In a press release, Senator Cory Gardner (R-CO) emphasized that the act will also provide agencies more leeway to adjust EPSCoR solicitations and encourage NSF to expand I-Corps through agreements with other federal agencies, state and local governments, and follow-on grants.

The National Institute of Standards and Technology (NIST) is requesting feedback on a 2017 funding opportunity that will allow the Hollings Manufacturing Extension Partnership (MEP) Centers and their partners to add capabilities to the MEP program, including projects to solve new or emerging manufacturing problems. Small and medium-sized U.S. manufacturers are encouraged to send information about their needs in four areas: critical manufacturing technologies; supply chain; potential business services, including information services; and other technologies or services that would enhance global competition. NIST also requests recommendations for other critical issues that it should consider in strategic planning for future investments. More information can be found here. Responses will be accepted through Jan. 13, 2017.

Gov. Andrew Cuomo proposed a new initiative this week to grow the life science research cluster throughout the state, pledging $550 million through a variety of programs including tax incentives, state capital grants, and investment capital with an expected match of $100 million from private sector partnerships for operating support.

The life science initiative includes $250 million in tax incentives for new and existing life sciences companies that are expanding research and development.  Under this program:

Congress approved the National Defense Authorization Act for FY 2017, which now awaits the President’s signature. The bill includes several significant provisions for the innovation community, including:

Megatrends like ageing societies and digitization are expected to shape future research and development agendas across the globe, according to a recent report by the Organisation for Economic Co-operation and Development (OECD). A broader distribution of science, technology and innovation are expected around the world due to the fast pace of economic development in emerging economies, and global competition for talent and resources will most likely intensify according to the OECD Science, Technology and Innovation Outlook 2016. Such megatrends, and others highlighted in the report, require policy responses that will likely face major constraints, including high public debt, international security threats, a possible erosion of social cohesion and the rise of influential non-state actors, the report maintains.