Towards an effective photonics and quantum sciences technologies cluster in Latvia

1. Towards an effective photonics and quantum sciences technologies clusterin Latvia on the basis of the FOTONIKA-LV Project LU 72. ScientificConference, Photonics and QuantumScienceSection 07 FEB 2014

2. „The project aims at unlocking and boosting Latvian R&D potential for photonics at the University of Latvia (LU) with activities contributing to the realization of the full research potential on national scale for the enlarged Union and vision of Innovative Union 2020” FOTONIKA-LV REGPOT project challenge

3. Context • Smart specialization and clusters • Baltic Photonics Cluster • Latvia Photonics, Quantum Science and Technology cluster • Institutes • Companies • Opportunity created by FOTONIKA-LV project • Three scenarios for Latvia • Plans for cluster development TOPICS

4. Present situation in Latvia • EC economic development policies Clusters are the focal tool for implementation of EC policies Context

5. Regional focus on fields that promise sustainable, high returns. • Links R&D, education, production, marketing, sales, other capabilities • Deciding factor in structural funds and cohesion funds. • Projects not in smart specialization will not be funded through these funds. • EC strategies for R&D funding • Key enabling technologies • Innovation Divide and Stairways to Excellence • Clusters are the means to implement smart specialization Smart specializationand clusters

6. Photonics – control of photons (quanta of light) to achieve human objectives • Fiber optics – faster internet, telecommunications • Biophotonics – safer, cheaper medical diagnostics and treatments • Laser technologies – measurement, manufacturing, communications • Lighting systems – key to quality of life • Entertainment systems – image information recording • Optics, astronomy, space technology • quantum technologies Photonics technologies and markets

7. Photonics – horizontal technology across multiple markets and sectors Thousands of market applications with high margin opportunities!

8. SWOT PhotonicsinEurope

9. European Commission (EC) defined photonics as key to the long term competitiveness of the EU • 2014-2020 EC funding priorities intended to accelerate development of photonics technologies • Photonics involved in 10% of jobs in EU • Global photonics market • 2012 exceed 300 billion € • forecast to grow to 480 billion € by 2015 • Implicit growth rate - 18% per annum overall. Specific technologies much higher growth. Photonics - a key enabling technology

10. Key-enablingtechnologies

11. Innovation performance R&D Investment

12. The brain drain from Latvia will intensify unless smart actions are taken • The EU needs one million more scientists by 2020 to meet development goals the innovation divide is a danger to latvia

13. Strong links between R&D and industry drive innovation • Clusters facilitate training of specialists needed by industry and by R&D • Clusters focus national attention and investment needed to generate results • Clusters attract foreign investment Effective Clusters address the challenge

14. Critical mass of businesses 22 companies, turnover 30 million EUR, very high potential • Strong R&D base700 researchers. 40% of total R&D publications from Latvia from 2004 Photonics can form a highly productive cluster for Latvia

15. Cluster theory emerged from the work of Michael Porter – The Competitive Advantage of Nations • The UN, World Bank and later the European Commission built economic development strategies around the idea of clusters of interlinked businesses • The idea evolved to Triple Helix, Ris3, cluster based innovation strategies Triple helix

17. Foresight to better anticipate the future • Roadmap for cluster development • Strengthen R&D in high potential areas • Double researchers by 2020 • Biophotonics, quantum technology, Electro optical displays, laser technology, space related technologies…. • Strengthen technical education to support photonics industry • Strengthen public understanding and support for photonics, quantum science and technologies Required actions

18. Formed in April 2011 in Tartu by Estonian and Lithuanian business and R&D • Now has 26 members, 7 from Latvia. • Janis Spigulis is president • 120 million EUR turnover (2012). • Outlook – very promising. Baltic photonics cluster

19. Research shows that the triple helix model works and the public sector plays a crucial supporting role. • To achieve the full potential of the cluster we need strong, focused support from government. • There is no defined economic development entity that is pan Baltic. Economic development policy is defined and executed at a national or sub-national level. Why a Latvia photonics cluster?

20. All members of LPC are members of BPC • LPC services also made available to BPC members unless government regulations disallow • BPC fulfills mandate of smart specializations across Latvia, Lithuania and Estonia • Critical mass, a united face supporting photonics industry and R&D in the Baltic States BPC – lpc relationship

21. Form a association “biedriba” according to Latvian law • Build membership to include all related businesses 21 and related institutes – 12 • Build the cluster by fulfilling FOTONIKA-LV activities relating to technology commercialization and public outreach • Seek funding to further develop the cluster in the 2015 and beyond timeframe. Lpc action Plan

22. RigaPhotonicsCenter Šķūņu iela 4 Rīga, LV-1050 Latvia