Government Perspectives on University-Industry Engagement
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1 Government Perspectives on University-Industry Engagement 2017 Corporate Engagement Bootcamp The State University of New York (SUNY) Barry W. Johnson, Ph.D. Division Director Division of Industrial Innovation and Partnerships National Science Foundation October 19, 2017
2 Presentation Outline Research and Development Funding Employment of Engineering Doctorate Recipients American Innovation and Competitiveness Act (AICA) NSF s Merit Review Process I-Corps Translational Research Grants NSF Programs to Stimulate Industry-University Collaborations Grant Opportunities for Academic Liaison with Industry (GOALI) Program Industry University Cooperative Research Center (IUCRC) Program Partnerships for Innovation (PFI) Program Innovation Corps (I-Corps ) Program Small Business Innovation Research (SBIR) Program Small Business Technology Transfer (STTR) Program Questions and Discussions 2
3 Research and Development Funding 3
4 Industry and Federal Funding for Research and Development (R&D) R&D Funding by Source Funding (Dollars in Millions) Year Source: National Science Foundation, National Center for Science and Engineering Statistics, 2015 Industry R&D Federal R&D Total R&D FY 2015 Federal R&D Funding $131.4 Billion Industry R&D Funding $296.7 Billion Total R&D Funding $428.1 Billion 5-year Increase/Decrease -- Industry +33.9% -- Federal -10.6% -- Total +16.1% NOTE: Industry R&D Funding is that paid for by the company and performed in the U.S. 4
5 Federal Funding for Research and Development (R&D) FY 2017 Total Federal R&D Funding $142.6 Billion Development $72.8 Billion (51.1%) Basic Research $34.3 Billion (24.1%) Applied Research $35.4 Billion (24.8%) Source: National Center for Science and Engineering Statistics (NCSES), Fiscal Year NOTE: Federal R&D funding increased from $131.4 billion in 2015 to $142.6 billion in The increase was driven by $7.94 billion increase in development.
6 Industry Funding for Research and Development (R&D) R&D Paid for by the Company and Performed in the U.S. R&D Funding (Dollars in Millions) Total Basic Research Applied Research Development FY 2015 Total R&D $296.7 Billion Development $236.0 Billion Basic Research $16.3 Billion Applied Research $44.3 Billion Year NOTE: Breakout into Basic, Applied, and Development is Unavailable Prior to Source: National Center for Science and Engineering Statistics (NCSES),
7 University Research and Development Funding (By Source) FY 2015 Total Funding $65.0 Billion Federal Funding $36.8 Billion Institution Funding $15.0 Billion Business Funding $3.9 Billion NOTE: Institution funding is a university s own investment in research and development. Source: National Center for Science and Engineering Statistics (NCSES), Fiscal Year
8 University Research and Development Funding (By Source) FY 2015 Total Funding $65.0 Billion Federal Funding $36.8 Billion Institution Funding $15.0 Billion Business Funding $3.9 Billion NOTE: Federal funding has decreased from 63.9% to 56.5%. Institution funding has increased from 17.9% to 23.5%. Source: National Center for Science and Engineering Statistics (NCSES), Fiscal Year
9 Federal R&D Funding to Universities by Agency FY 2015 Total $27.04 Billion NSF $4.55 Billion DOD $2.68 Billion HHS $16.15 Billion NASA $1.13 Billion USDA $0.77 Billion DOE $1.13 Billion Source: National Center for Science and Engineering Statistics (NCSES), Fiscal Year
10 University Research Federal Funding Sources FY2015 Federal R&D Funding of Universities in All Fields Federal R&D Funding of Universities in Engineering HHS 53% DOE 5% DOD 13% Other 9% USDA 3% NASA 4% NSF 13% Source: National Science Foundation, National Center for Science and Engineering Statistics, Higher Education Research and Development Survey, Fiscal Year USDA 1% HHS 9% Other 13% DOE 11% NSF 20% NASA 8% DOD 38%
11 Employment of Engineering Doctorate Recipients 11
12 Doctorate Recipients in Engineering Number of Doctorate Recipients in Engineering Year Total Doctorates Granted Doctorates Granted to U.S. Citizens/Permanent Residents Definite Job Commitments (in U.S. or Abroad) Definite Job Commitment in U.S. Definite Job Commitments in U.S. Industry Definite Job Commitments in U.S. Academic 2015 Data 42.7% of all doctoral recipients are U.S. citizens or permanent residents 58.2% of all doctoral recipients had definite job commitments at graduation. 47.9% of all definite job commitments were in the U.S. 14.4% of definite job commitments in U.S. were in academic institutions 72.1% of definite job commitments in U.S. were in industry Source: National Center for Science and Engineering Statistics (NCSES), Doctoral Survey,
13 Tenure-Track Assistant Professors in Engineering 8000 Number of Tenure-Track Assistant Professors in Engineering Number of Assistant Professors in Engineering Source: American Society for Engineering Education (ASEE) 13
14 American Innovation and Competitiveness Act (AICA) 14
15 American Innovation and Competitiveness Act (AICA) Signed into law in January 2017 Reaffirms NSF s merit review process Authorizes NSF s Innovation Corps (I-Corps ) Program Authorizes NSF s translational research grants 15
16 AICA on NSF s Merit Review Process Intellectual merit and broader impacts criteria are appropriate for evaluating proposals. Criteria should assure that the Foundation s activities are in the national interest. Broader impacts review criterion shall include: (1) Increasing the economic competitiveness of the United States. (2) Advancing the health and welfare of the American public. (3) Supporting the national defense of the United States. (4) Enhancing partnerships between academia and industry in the United States. (5) Developing an American STEM workforce that is globally competitive through improved prekindergarten through grade 12 STEM education and teacher development, and improved undergraduate STEM education and instruction. (6) Improving public scientific literacy and engagement with science and technology in the United States. (7) Expanding participation of women and individuals form underrepresented groups in STEM. 16
17 AICA on NSF s I-Corps I-Corps was established to foster a national innovation ecosystem. Encourages identification and exploration of commercial potential of NSF-funded research. Leads to the practical deployment of technologies, products, processes, and services. Improves the Nation s competitiveness, promotes economic growth, and benefits society. Builds networks of entrepreneurs, educators, mentors, and institutions. Translates federally-funded research to a commercial stage more quickly and efficiently. Creates new jobs and companies. Helps solve societal problems. Provides taxpayers with a greater return on their investment in research. I-Corps has a strong record of success that should be replicated at all Federal science agencies. I-Corps should be further developed and expanded. I-Corps should invest in and support female entrepreneurs through mentorship, education, and training. Competitive grants shall be provided to help support: Prototype or proof-of-concept development. Local, regional, and national infrastructure for science and engineering entrepreneurship. 17
18 AICA on Translational Research Grants NSF shall award grants to promote the commercialization of federally funded research results. Identify NSF-funded research with the potential for accelerated commercialization. Support proof-of-concept and prototyping of technologies derived from NSF-funded research. Promote partnerships with the purpose of accelerating technology transfer. Develop multidisciplinary innovation ecosystems. Provide professional development, mentoring, and advice in entrepreneurship and technology and business development. NSF shall consider granting awards to the following organizations: Institutions of higher education Public or nonprofit technology transfer organizations Nonprofit organizations that partner with an institution of higher education Consortia of two or more of the above organizations 18
19 NSF Programs to Stimulate Industry-University Collaborations 19
20 Investing in Engineering Research and Education and Fostering Innovations for Benefit to Society Image credits, clockwise from top left: NSF; NSF; Jessica Hochreiter/Arizona State University; Joe Cheeney, University of California-Riverside; Altaeros Energies; NSF; NSF. 20
21 Directorate for Engineering Programs EFMA Emerging Frontiers in Research and Innovation (EFRI) Multidisciplinary education programs Research facilities Fundamental Research CBET Chemical Process Systems Engineering Biology and Health Environmental Engineering and Sustainability Transport Phenomena CMMI Advanced Manufacturing Mechanics and Engineering Materials Resilient and Sustainable Infrastructure Operations, Design, and Dynamic Systems EEC Centers and Networks Engineering Education Broadening Participation in Engineering Engineering Workforce Development Translational Research IIP Industry University Partnerships Small Business Innovation Research Small Business Technology Transfer Entrepreneurial Training ECCS Electronics, Photonics, and Magnetic Devices Communications, Circuits, and Sensing Systems Energy, Power, Control, and Networks 21
22 GOALI Pilot program created in 1993 Program established in ENG in 1994 Program expanded to all of NSF in 1996 Approximately 80 grants funded each year Typical grant is 3-5 years and $ K per year Focuses on basic research with one or more features: Collaborative industry-university research University faculty/students in an industrial research environment Industry researchers in a university research environment Requires an industrial partner (industry co-pi) INTERN graduate student internship program (started in FY2017) NSF Totals FY 2014 $26.44 M FY 2015 $18.78 M FY 2016 $19.78 M FY 2017 $20.00 M (Estimate) 22
23 IUCRC Focused on developing long-term partnerships Between industry, university, and government Cooperatively defined and shared pre-competitive research 76 Active Centers 211 research sites 37 states with at least one IUCRC site 6 international sites 876 unique members (some members belong to multiple centers) 1,586 center-trained students hired by members ( ) 42:1 leveraging of each member s funds NSF Totals FY 2014 $19.41 M FY 2015 $20.00 M FY 2016 $20.50 M FY 2017 $20.50 M (Estimate) 23
24 Active IUCRC Technology Areas Advanced Electronics and Photonics Advanced Manufacturing Advanced Materials Biotechnology Civil Infrastructure Systems Energy and Environment Health and Safety Information Communication & Computing System Design and Simulation 24
25 Established in PFI:BIC Develops technological and human innovation capacity through university-industry partnerships. Requires an industry partner. Grants are up to $1 million over 3 years. Focused on smart service systems since 2013: Technologies with the potential for transformational change in existing services systems, or to spur entirely new service systems. Understand the interaction of technology with customers. PFI Totals (BIC+AIR) FY 2014 $20.48 M FY 2015 $21.50 M FY 2016 $21.50 M FY $22.00 M (Estimate) 25
26 Innovation Corps (I-Corps) Designed to foster entrepreneurship that will lead to the commercialization of NSF-funded research Uses customer discovery and business model development to validate commercialization opportunities Successful I-Corps projects will be prepared for business formation Distinct components of I-Corps program Teams Technical Lead (TL), Entrepreneurial Lead (EL), Mentor (M) NSF Totals FY 2014 $20.48 M FY 2015 $26.23 M FY 2016 $29.74 M FY 2017 $30.00 M Nodes Hubs for education, infrastructure, and research that engage academic scientists and engineers in innovation Sites Academic institutions that catalyze the engagement of local teams in technology transition and strengthen local innovation 26
27 I-Corps Highlights Started in Nodes involving 27 universities 86 Sites 1047 NSF-funded Teams since startups created 9 MOUs with other Federal Agencies Now Congressionally legislated through the American Innovation and Competitiveness Act (AICA) I-Corps@NIH Lab-Corps I-Corps@DoD 27
28 Established in 2010 PFI:AIR Fulfills translational research grants required in AICA Lineage required to NSF-funded projects Basic research programs I-Corps PFI:AIR-TT $200K for up to 18 months Technology Translation (TT) Focused on faculty researchers to extend discoveries towards commercial application Prototype development Demonstration experiment PFI:AIR-RA $800K for up to 3 years Research Alliance (RA) Leverages center investments to translate technologies and form a sustainable innovation ecosystem Requires an industrial partner Revaluating did not run a competition in FY 2016 PFI Totals (BIC+AIR) FY 2014 $20.48 M FY 2015 $21.50 M FY 2016 $21.50 M FY $22.00 M 28
29 SBIR trial began at NSF in 1976 SBIR-STTR SBIR programs added to other federal agencies in federal agencies have SBIR programs FY 2016 budget was 3.0% of agency s extramural research and development budget FY 2017 budget is 3.2% of agency s extramural research and development budget STTR added in federal agencies have STTR programs NSF Totals FY 2014 $ M FY 2015 $ M FY 2016 $ M FY 2017 $ M (Estimate) FY 2016 budget was 0.45% of agency s extramural research and development budget FY 2017 budget is 0.45% of agency s extramural research and development budget 29
30 SBIR and STTR Goals: SBIR-STTR Congressional Goals Stimulate technological innovation. Increase private-sector commercialization of innovations derived from Federal research and development funding. Additional SBIR Goals: Meet federal research and development needs. Foster and encourage participation in innovation and entrepreneurship by socially and economically disadvantaged persons. Additional STTR Goal: Foster technology transfer through cooperative R&D between small businesses and research institutions. 30
31 Recent Highlights 85% of awards to companies with fewer than 5 employees 72% were founded since % had no prior Phase II awards from any agency 54% were first-time applicants 62% of all Phase I awards were to first-time applicants NSF SBIR-STTR Model Phase IIB Third-Party Investment Plus 1:2 NSF Match (up to $500,000) SBIR-STTR Federal and Private Investments Phase I Feasibility Research 6-12 Months $225,000 Phase II Research Towards Prototype 24 Months $750,000 Phase III Product Development to Commercial Market Federal SBIR-STTR Program Investments Non-SBIR-STTR Federal or Private Investments 31
32 Questions and Contact Barry W. Johnson, Ph.D. Division Director Division of Industrial Innovation and Partnerships Directorate for Engineering National Science Foundation
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