SSTI Digest

DC Tech, the Washington DC Technology Council, announced Penny Pickett will be the new president.

IEDC's legislative director, Toby Rittner, has been named executive director of the Council of Development Finance Agencies.

Jay Tieber is the new president of the National Association of Seed and Venture Funds.

The vast majority of the nation's four million science and engineering (S&E) occupations are held by individuals with a bachelor's degree education or higher; however, a surprising 22 percent - 1.036 million - are not, according to a National Science Foundation (NSF) InfoBrief released last week. The analysis, based on the April 2003 Current Population Survey, reveals 5 percent of S&E workers hold only a high school diploma and 17 percent reported an associate's degree as their highest level of educational attainment.

While not argued in NSF's InfoBrief, the findings support arguments for the important role vocational education and community colleges can play in training a regional tech-based economic development workforce. This is particularly apparent when the data are sorted by occupational group.

A recent study completed for Iowa calls for continued investment in the biosciences - a 10-year, $302 million plan - to grow the industry and to create new job opportunities for the state.

Iowa's Bioscience Pathway for Development, released earlier this month, highlights Iowa’s core competencies and platforms for development of the biosciences industry. The researchers recognize three important assets: strong bioscience research capacity at several of the state's universities; core bio-industrial competencies in sectors such as biomass conversion, traditional biotechnology, pharmaceuticals and medical devices; and a significant workforce base already employed in bioscience-related jobs.

Conditions favorable for entrepreneurship in 2003 laid the foundation for job gains in 2004, according to a report issued last week U.S. Small Business Administration's (SBA) Office of Advocacy. Small Business Economic Indicators for 2003 notes that “the outlook for future small business expansion was positive at the end of 2003” due to the progress of some important economic indicators throughout the year.

Among the report's highlights, 2003 saw an estimated 572,900 employer firm births and 554,800 terminations. This resulted in a net increase in employer firms of 18,100, or 0.3 percent, while the number of non-incorporated self-employed rose by 369,000, or 3.7 percent. The report also confirmed that by the year’s end interest rates were low and banks had relaxed lending standards, leading to an uptick in job creation and employment.

Few of us would consider one piece of a jigsaw puzzle to be sufficient for comprehending the whole picture. Similarly, a state or regional strategy to develop a knowledge-based economy is not complete with just one element of a complete portfolio to nurture science, technology and entrepreneurship.

Research has found innovation does not follow a simple linear path, but instead requires a complex system of inputs. It also happens locally with the presence of key resources. Strategically developed public and public-private initiatives can be supportive players in strengthening a regional innovation system, but only if well designed, well managed and well funded.

Forum Aims to Support Entrepreneurs in Southern New Jersey

A business support group for newly-formed companies, the Entrepreneurs Forum of Southern New Jersey, is promoting a more entrepreneurial-friendly environment in the Southern New Jersey region by partnering with universities and area businesses. The nonprofit group plans to leverage the resources of Rowan and Rutgers universities, business leaders, and government officials to improve the flow of ideas, services and funding to entrepreneurs. Private companies are providing funding for the forum to deliver free and low-cost services as well as planned seminars, events and networking opportunities to young companies in the region.

Rowan University Wins Approval for Technology Park Loan

A $5 million low-interest loan was approved in June to fund the South Jersey Technology Park at Rowan University. The Delaware River and Bay Authority’s (DRBA) Board of Commissioners approved the loan, which will be owned by the DRBA and leased to the university until the loan is repaid, according to the Courier-Post. The Courier-Post article states Rowan has secured more than $12 million for the first phase of the project, including a $6 million grant from New Jersey’s Economic Development Authority. The park could open as soon as 2006.

Boise Gains First Angel Investor Network

The Boise Angel Alliance, the city's first angel investor network, was launched in June drawing about 50 investors to its first session, The Idaho Statesman reported. The Idaho Office of Science & Technology and the venture capital committee of the Boise Metro Economic Development Council, which together formed the alliance, said they expect to run the network on their own. A screening committee reviews the plans set forth by companies that must then make a 10-minute presentation at the angel meetings, followed by a five-minute question-and-answer session. Investors may privately contact the companies afterwards if they are interested.

Citing the input of participants in a series of public hearings among other reasons, U.S. Department of Commerce Under Secretary of Technology Phil Bond announced in a conference call today that a systemwide recompetition for the Manufacturing Extension Partnership (MEP) would not be held “at this time.” Instead, MEP will use a re-application process that will be integrated into the current review process.

The Administration in January issued Manufacturing in America: A Comprehensive Strategy to Address the Challenges to U.S. Manufacturers that called for a "recompetition for all MEP centers, with a focus on effectiveness and cost-efficiency" (see our coverage of the report at http://www.ssti.org/Digest/2004/012304.htm).

The steady upward trend in venture capital (VC) investments continued in the second quarter of 2004, with $5.6 billion going to 761 companies, according to the latest PricewaterhouseCoopers/Thomson Venture Economics/National Venture Capital Association MoneyTree™ Survey. The Q2 2004 figure compares to $5 billion invested in the year's first quarter and $5.4 billion in the fourth quarter of 2003..

The Life Sciences sector outpaced other industries for the eighth consecutive quarter, among MoneyTree™ Survey highlights. Investments in the sector totaled $1.41 billion, or 25 percent of all venture capital. Biotechnology and Medical Devices, the sector's two components, accounted for $922.8 million and $485.3 million, respectively. A total of 85 biotech and 70 medical device companies were funded during the quarter.