SSTI Digest

Gov. Mike Rounds announced Steve Zellmer will replace Dave Snyder, who resigned his position as board member for the South Dakota Science and Technology Authority. Zellmer previously served as Commissioner, Bureau of Finance and Management and Secretary of Revenue in Pierre.

Thirty-Six Percent Drop in First-Year Foreign Engineering Students Reported Increased global competition, changing visa policies and diminished perceptions of the U.S. abroad have lead to an overall decline in first-time international graduate student enrollment, according to a survey from the Council of Graduate Schools (CGS). Overall enrollment decreased 6 percent between 2003-2004, the third straight year of decline after a decade of growth, survey results show. First-time international graduate school enrollment fell 10 percent between 2002 and fall 2003 and fell 8 percent the year before. Results from the third survey in a trio of studies conducted by CGS indicate the U.S. may be slipping as a leader in higher education. Although the numbers are distressing, CGS President Debra Stewart says, graduate schools are battling the declines by streamlining their admissions processes, enhancing their use of technology, and forming important international partnerships. Highlights of the October 2004 survey include: 68 percent of responding graduate schools reported a…

Last year, China replaced the U.S. as the most popular destination for foreign direct investment (FDI). The creation of an IBM Research Innovation Center as an extension of its China Research Lab near Beijing University provides a recent example of U.S. interest in capitalizing on China's emergence as the planet's hottest economy. As the world's most populous nation looks beyond providing cheap labor for manufacturers, a recent working paper suggests three regions of China are particularly well suited to support the growth of an innovation-based economy. In Regional Innovation Systems in China, Jon Sigurdson of the European Institute of Japanese studies singles out the Yangtze River Delta, the Pearl River Delta and the Bo-Hai Rim as leading examples for forging various elements of a national innovation system. The regions encompass 5 percent of China’s total land area and nearly 20 percent of the total national population. Combined, the three regions could account for two-thirds of China’s total gross domestic product by 2025, which would likely attract large-scale migration, the author says…

As the angel investment community continues to evolve from individual investors to sophisticated angel investment groups, the Kauffman Foundation and the Angel Capital Association (ACA) have jointly published a new guide designed to help angels form the most effective angel organizations for their communities. Angel Investment Groups, Networks, and Funds addresses the decision-making process in forming an angel group, from evaluating whether a particular community can support an angel group to determining the best structure. The 158-page guide offers examples of organizational structures and management functions and provides critical documents such as membership agreements, funding options, term sheet samples and due diligence checklists for more informed investment decision-making. To alleviate some of the risk and work in angel investing, angels have begun forming angel groups, the guide points out. About 200 such groups were active in 2003, up from an estimated 10 in 1996. The increase, the author says, represents an evolution of the angel investing market as individual investors find many…

Implementation of the Global Grid Exchange, a state-sponsored open public computing grid in West Virginia, is underway. Hewlett Packard will provide the infrastructure technology that will power the grid, an initiative of the West Virginia High Technology Consortium (WVHTC) Foundation. The Global Grid Exchange utilizes the Internet to aggregate idle or unused computer processing resources throughout West Virginia. HP will furnish hardware such as desktop personal computers for customer service personnel and robust, reliable high-end servers. With access to such resources, the grid reportedly will be the largest open public computing grid in the world. The nonprofit WVHTC received a $14.7 million grant from the West Virginia Economic Development Authority to launch the grid, according to the Associated Press. The project's first phase cost $2.8 million, the AP reports. Using Frontier, a grid computing solution from strategic partner Parabon Computation, the Global Grid Exchange enables a cost-effective computation infrastructure that could drive innovation globally, WVHTC says. Users…

What policies, investments and programs would be most effective for communities trying to attract, retain or build a local pharmaceutical industry? Research parks? Tax incentives? Biotech seed capital funds? The answers one gets will vary, but using historical data on patent activity and observing the location of the largest pharmaceutical companies, a group of researchers suggests investments in academic R&D that lead to publications is not a bad place to start. While earlier research has shown the U.S. biotech industry has grown around "star" researchers, (see Intellectual Capital and the Birth of U.S. Biotechnology Enterprises, for example), a working paper summarized in the latest Economic Paper from the Federal Reserve Bank of San Francisco (FRBSF) finds "exposure to an additional 1,000 scientific papers authored in a locality by individuals at public institutions has about the same effect on a firm's patent count as an additional $1 million of R&D expenditures." Alternately, "proximity to the labs of competing drug firms that are publishing many scientific papers…

If you haven't purchased your 2005 wall calendar or updated your computer-based planner yet, you will need to soon, to schedule travel and update budget requests. At the top of many lists will be SSTI's 9th annual conference, Oct. 19-21, 2005 in Atlanta, but how do you conveniently find out about the many other high quality events happening throughout the year? While many organizations and associations only post their own events, SSTI maintains an open calendar web page as a service to the larger TBED community. Each of the more than 100 current announcements includes a link or contact to obtain additional information. For example, here is one offering from each of the next four months from the calendar page: Dec. 7-8: The 2nd Annual Southeast Wireless Symposium 2004 will be held in Winston-Salem, N.C. This year's theme is Broadband for Everyone - The Role of Wireless and Deploying Wireless. More information is available at: http://www.e-nc.org Jan. 9-13:  The 84th Annual Meeting of the Transportation Research Board will be held in Washington, D.C. More information is available at…

Going into yesterday's elections, it was clear at least five states would have freshmen governors as three incumbents chose not to run for re-election and two incumbents lost their parties’ nominations to seek new terms. The five states were Missouri, Montana, Utah, Washington and West Virginia. With the tallying of the votes, the number had grown to seven new governors as incumbents in New Hampshire and Indiana were unseated by successful challenges. Winning re-election were four sitting governors: Ruth Minner in Delaware, Mike Easley in North Carolina, John Hoeven in North Dakota, and Jim Douglas in Vermont. At press time, no winner had been declared in the extremely close Washington race for governor. Republican Dino Rossi was ahead of Democrat Christine Gregoire by four one-hundredths of a percent at the last count. (see http://vote.wa.gov for more information) Four of the six new governors in the decided races bring a change in party-affiliation to their governors mansions. Democrats took control in Montana and New Hampshire, while Republicans claimed Indiana and Missouri. So what…

The Oct. 25 issue of the SSTI Weekly Digest previewed ballot issues in six states that would have implications for their respective state efforts to grow a knowledge-based economy. The unofficial results at press time for each are provided below: Arizona -- Proposition 102, allowing university tech transfer authority, failed with 527 percent voting against. Arkansas -- Amendment Two, allowing state to issue $500 million in bonds for economic development, passed with 61.9 percent in favor. California -- Proposition 71, $3 billion stem cell research, passed with 59 percent in favor Maine -- Question 1, a property tax cap, failed with 63 percent against. Rhode Island -- Question 13, authorizing $50 million in bonds for a biotechnology center, passed with 57.9 percent approving. Utah -- Amendment Two, allowing university tech transfer authority, passed with 57.5 percent in favor.

Unofficial results posted today on the National Conference of State Legislatures (NCSL) website reveals political control of at least 10 of the country's 99 state legislative chambers (Nebraska has a unicameral legislature resulting in the odd total for the country) changed parties in yesterday's election. NCSL reports "Based on unofficial results, the Democrats won the Colorado House, Colorado Senate, North Carolina House, Oregon Senate, Vermont House and Washington Senate. In case of the Colorado and Washington chambers, the margin of victory is only one seat, and recounts are expected in several districts." Republicans took control of the Georgia House, Indiana House, Oklahoma House and Tennessee Senate. NCSL also says control of chamber in a number of state legislatures still await the outcome of key races. Chambers in the balance include the Oregon House, Maine Senate, Minnesota House, Montana House and Montana Senate. More information is available at http://www.ncsl.org.

Gov. Rick Perry announced last month a long-term, strategic job creation plan that will focus state efforts on six industry clusters that economists say will be the engine of future job creation and economic growth in the U.S. Although the state already has an advantage in terms of a growing workforce, the key is retaining workers that are skilled and trained in emerging technology fields, the governor said. A study conducted for the Texas Workforce Commission identified the following clusters for the state: Advanced technologies and manufacturing; Aerospace and Defense; Biotechnology and life sciences; Information and computer technology; Petroleum refining and chemical products; and Energy Resulting from last year’s passage of Senate Bill 275, which called for the development of strategies to strengthen the competitiveness of key industry clusters, the initiative aims to attract and retain high-paying jobs. Legislators agreed that by identifying these clusters, the state would be better positioned to compete both nationally and internationally, according to the…

Venture capital (VC) investing dipped in the third quarter of 2004, with $4.3 billion going to 601 companies, according to the latest MoneyTree™ Survey by PricewaterhouseCoopers, Thomson Venture Economics and National Venture Capital Association. The Q3 2004 figure was below the prior quarter of $5.9 billion, but equal to the $4.3 billion posted in Q3 2003. The Life Sciences sector continued to dominate as it has for the past nine consecutive quarters, among MoneyTree™ Survey highlights. Investments in the sector totaled $1.26 billion, or 29 percent of all venture capital. Biotechnology and Medical Devices, the sector's two components, accounted for $771.4 million and $486.3 million, respectively. Seventy-five biotech and 52 medical device companies were funded during the quarter. With $942 million going to 160 companies, the Software Industry remained in the top slot as the largest single industry category. Software companies accounted for 22 percent of all venture dollars, keeping consistent with the industry's performance historically. Telecommunications continued its two-year decline…