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The Advanced Technology Program In Partnership with NIST and the Nation. Marc G. Stanley Director, ATP (301) 975-2162 marc.stanley@nist.gov | www.atp.nist.gov. National Institute of Standards and Technology • Technology Administration • U.S. Department of Commerce. ATP Mission ….

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Marc G. Stanley Director, ATP (301) 975-2162 marc.stanley@nist | atp.nist


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    1. The Advanced Technology ProgramIn Partnership with NIST and the Nation Marc G. StanleyDirector, ATP(301) 975-2162marc.stanley@nist.gov | www.atp.nist.gov National Institute of Standards and Technology • Technology Administration • U.S. Department of Commerce

    2. ATP Mission … To accelerate the development of innovative technologies for broad national benefit through partnerships with the private sector.

    3. ATP is a Part of NIST NIST’s mission:Strengthen the U.S. economy and improve the quality of life by working with industry to develop and apply technology, measurements, and standards. NIST Assets Include: • 3,000 employees • 1,600 associates • $773 million FY 2004 operating budget • NIST Laboratories • Advanced Technology Program • Manufacturing Extension Partnership • Baldrige National Quality Award

    4. Key Features of the ATP • Emphasis on innovation for broad national economic benefit • Industry leadership in planning and implementing projects • Project selection based on technical and economic merit • Demonstrated need for ATP funding • Requirement that projects have well-defined goals/sunset provisions • Project selection rigorously competitive, based on peer review • Program evaluation from the outset

    5. Fourteen Years of Innovation • Since 1990, 6,054 proposals submitted to 43 competitions, requesting $12,969 million from ATP • 709 projects awarded with 1,433 participants and an equal number of subcontractors • 207 joint ventures and 502 single companies • $4,101 million of high-risk research funded • ATP share = $2,114 million • Industry share = $1,987 million • Small businesses are thriving • 65% of projects led by small businesses • Over 165 universities participate • Over 30 national laboratories participate

    6. Participation in the ATP … * Geographic location is not a consideration in project selection. The ATP has an active outreach program that seeks to increase awareness across the entire nation of the program's opportunities for small, medium, and large businesses and other organizations. To date, ATP has received applications from organizations based in every state, and has provided funding to participating organizations located in 40 states, and the District of Columbia.

    7. Technologies in Your States … Illinois • Innovations: • Digital X-Ray • Wireless Communications • DNA Diagnostics • Fuel Cells • Electronics/Photonics • Healthcare Informatics • Civil Infrastructure • HDTV • Many more … Virginia California Michigan

    8. State of Michigan* … Leads Only 167 50 Legend Participants * Dollars represent ATP Amount 280 Awards Applications

    9. Exciting New Technologies … Bridging the Gap Between the Laboratory and the Marketplace

    10. Today’s Investments … Electronics and Photonics • Microelectronics • Optoelectronics • Optics Technologies • Power Technologies • Wireless Electronics • Organic Electronics • Biotechnology • DNA Technologies • Tissue Engineering • Drug Discovery Methods • Proteomics • Medical Devices & Imaging • Microfluidics Manufacturing • Information • Technology • Advanced Learning Systems • Component-Based Software • Digital Video • Information Infrastructure for Healthcare • Electronic Commerce • Dependable Computing Systems • Technologies for the Integration of Manufacturing Applications • Chemistry and • Materials • Chemical Processing Sensors • Metabolic Engineering/Catalysis • Combinatorial Methods • Separations/Membranes • Materials Processing • Advanced Materials • Nanotechnology • Material Interfaces

    11. 709 ATP Awards by Technology AreaAs a Percent of $2,114 M Awarded Forty Three Competitions (1990 – September 2003)

    12. Distribution of Company SizeLead Companies709 ATP Awards Forty Three Competitions (1990 – September 2003)

    13. ATP: Strengthening America’sPhotonics Industry …Since 1998 Nearly $293 million of high technical risk R&D funded ATP share = $147 million Industry share = $146 million • Large cross section of • participants • 65 Companies, 4 Universities • Plus many subcontractors

    14. Ongoing Projects in Photonics •Optoelectronics and Lasers •Sensors, Metrology and Inspection •Data Storage •Displays and Imaging •Lighting and Illumination •Bio-photonics •Nanotechnology and Materials

    15. Nanotechnology ... since 1991 39 ATPawards in Nanotechnology 24 Single applicants 15 Joint ventures Approximately $276 million of high technical risk R&D funded ATP share = $141.5 million Industry share = $134.4 million Large cross-section of participants 69 Companies, 2 Non-profits, 4 Universities Over 90 subcontractors, including 43 universities

    16. Ongoing Projects inNanotechnology • Nanostructured Materials • Nanofabrication Techniques and Tools • Nanometrology • Nanoelectronics and Photonics • Nanodiagnostics • Nanobiotechnology

    17. ATP Investments in Technologies Related to Homeland Security SI BIOMET 3% 7% CPI 42% CBRNE 42% CIP/CS 6% (data compiled over 43 competitions, 1990 – June 2002) • 106 projects • $543M total investment • $290M ATP share • $254M industry share

    18. ATP Manufacturing Support(as a Percentage of $244 M) Inspection 8% Misc. 27% Tools 1% Assembly 8% Machining 11% Control 6% Design 12% Forming 27%

    19. Competition Structure 2004 Technology-Specific Project Selection Committees Electronics & Photonics Biotechnology Information Technology Chemistry & Materials Industry’s Innovative Ideas Awards

    20. For-profit company 3-year time limit $2M award cap Company pays indirect costs Large companies cost share at least 60% of total project cost At least 2 for-profit companies 5-year time limit No limit on award amount (other than availability of funds) Industry share >50% total cost Two Ways to Apply … Research Lab As a Single Company: As a Joint Venture: Alone With Subcontractors Formal Alliances With Subcontractors Company + Company Company University Company Company Consortium Company Research Lab University Research Lab Company University Company • ATP encourages teaming arrangements • Most projects involve alliances

    21. Two Major Criteria • Scientific and Technological Merit (50%) • Technical Rationale • high technical risk & feasibility • technological innovation • R&D Plan • Potential for Broad-Based EconomicBenefits (50%) • National Economic Benefits • Need for ATP Funding • Pathway to Economic Benefits

    22. What we look for • Focus on the civilian sector • Focus on enabling technologies with high spillover potential • Focus on overcoming difficult research challenges • Company-university-laboratory collaboration, when appropriate • Coordination with other public and private funding sources • Clear position after basic science and before product development • Clear pathway to the market

    23. In Short… • The ATPs bottom line is broad benefits for the nation – jobs, economic growth, better quality of life – rooted in innovative technologies. Specifically, we are looking for R&D projects that create: • Technologies with benefits that extend well beyond the companies involved in the project. • Technologies with broad potential applications, particularly across different industrial sectors; and • Path-breaking technologies that open up new potential markets or make possible wholly new products or industrial processes.

    24. What Can ATPDofor You? • Create sustainable technical advantage • you direct the research goals • we share in the risk of longer-range, higher-payoff research • ATP commits ~ $1,000,000 per year per project • Retain your Intellectual Property Rights • U.S. for-profit companies keep rights to intellectual property from ATP-funded projects • Encourage integration of business and technical planning • plan now for commercializing your research results • attend ATP-sponsored workshops with venture capitalists

    25. What Can ATP Do for You?(cont’d) • Gain recognition within industrial and financial sectors • an ATP award will attract attention from investors, strategic partners, potential customers, and others • Find partners through our website • visit ATP’s Collaboration Bulletin Board • join ATP’s Alliance Network List Server • We are flexible and fair, but firm • we will monitor your progress, but also be supportive if roadblocks appear as long as the project continues to meet the criteria

    26. Is ATP Right for You? • Are you looking to further your technical advantage by conducting challenging research? • Are the risks primarily technical? • Does your project have the potential to generate broad-based economic benefits for the United States? • Are you committed to taking the research into the marketplace?

    27. ATP and SBIR “The SBIR and the ATP programs are different in important ways. However, they can be understood as separate steps on a national innovation ladder.” National Research Council The Advanced Technology Program: Assessing Outcomes

    28. ATP is open to companies of all sizes Some SBIR funding is agency/mission specific ATP’s collaborative focus and flexibility of funding enable industry to address large problems ATP funding is available to all technologies ATP requires cost-sharing – commitment to commercialization ATP and SBIR

    29. Program Results • Portfolio of Tissue Engineering Projects ($10.9 B) • Closed Cycle Air Refrigeration • $459 M in public benefits projected • Data Storage • $3.7 B in consumer benefits projected • Component-based Software Projects • $840 M in public and private returns • Flow Control Machining: Impact on the Auto Industry • $142 M increase in GDP annually

    30. Program Results • Considerable success in advancing technologies that can contribute to important societal goals • Net benefits of a handful of projects analyzed to date: $15 B • Far exceeding ATP’s total cost

    31. Encouraging State Involvement How can your state be a resource? INDIVIDUAL State Resources FEDERAL FUNDING (ATP, SBIR, MEP etc.) VENTURE CAPITAL STATE FUNDING GENERAL ASSISTANCE

    32. Encouraging State Involvement Benefits of working with ATP … Sustained Economic Growth within your State by • Fostering high-risk technologies • Developing revolutionary technology • products - processes - services • Broad-based economic benefits to your state and nation • Economic activity Foster business infrastructure of State • Encourage partnerships between state industries, universities, incubators, and federal government to compete globally

    33. What We Would Like Your State to Do … • Expand opportunities to engage: • Small businesses • Medium and large businesses • Universities • Bring the best R&D projects to ATP for potential funding

    34. For Info on ATP and to Join Our Mailing List . . . • Call toll-free: 800-ATP-FUND (800-287-3863) • Fax your name and address to: 301-926-9524 • Send e-mail to: atp@nist.gov • Visit ATP’s website: www.atp.nist.gov

    35. ADDITIONAL SLIDES ADDITIONAL SLIDES

    36. Addressing a NationalProblem or Need Lewis M. Branscomb Aetna Professor of Public Policy And Corporate Management, emeritus Kennedy School of Government, Harvard University Philip E. Auerswald Assistant Director, Science, Technology, and Public Policy Program Kennedy School of Government, Harvard University • Evidence • Federal funding plays a critical role in crossing the Valley of Death • ATP represents a more important element in bridging this gap than may have been appreciated • VC, State Government and Universities only contribute between 8 and 16% toward early stage technology development • ATP and SBIR account for between 21 and 25%

    37. Early-Stage Technology Development Estimated distribution of funding sources for early-stage technology development, based on restrictive and inclusive criteria Note: The proportional distribution across the main funding sources for early-stage technology development is similar regardless of the use of restrictive or inclusive definitional criteria.

    38. Venture Capital Investments The Washington Post Monday, May 5, 2003

    39. Federal Role Critical Leverages funds and contributions from other parties … Evidence– • In 709 awards, $2,114 million in ATP funds matched by $1,987 million in industry cost-share • ATP Award Statistics

    40. Appendix A: ATP Statute • [Note: The ATP statute originated in the Omnibus Trade and Competitiveness Act of 1988 (Pub. L. 100-418, 15 U.S.C. 278n) but was amended by the American Technology Preeminence Act of 1991 (Pub. L. 102-245).] • SUBPART C – ADVANCED TECHNOLOGY PROGRAM • SEC. 5131. ADVANCED TECHNOLOGY PROGRAM • (a) Advanced Technology Program. – The Act of March 3, 1901, as amended by this part, is further amended by adding after section 27 the following new section: • “ADVANCED TECHNOLOGY PROGRAM • “SEC.28.(a) There is established in the Institute an Advanced Technology Program (hereafter in this Act referred to as the ‘Program’) for the purpose of assisting United States businesses in creating and applying the generic technology and research results necessary to – • “(1) commercialize significant new scientific discoveries and technologies rapidly; and • “(2) refine manufacturing technologies.

    41. The Competitive Environment • Advances in technology account for more than 50 % of U.S. economic growth • Global competition has forced a focus on short-term return on investment • Now more than ever, our nation’s economic well being depends on rapid development and commercialization of technology

    42. Participation in ATP … 709 ATP Awards (Forty Three Competitions (since 1990)

    43. Lessons Learned • Address a National Problem or Need • Avoid Duplication of Effort • Keep it at the Most Appropriate Level • Strong, Well-Publicized Criteria • Leverage Other Resources • Evaluate Early and Often

    44. Lessons Learned • Address a National Problem or Need • Avoid Duplication of Effort • Keep it at the Most Appropriate Level • Strong, Well-Publicized Criteria • Leverage Other Resources • Evaluate Early and Often

    45. National Problem or Need: The Competitive Environment • Advances in technology account for more than 50 % of U.S. economic growth • Global competition has forced a focus on short-term return on investment • Now more than ever, our nation’s economic well being depends on rapid development and commercialization of technology

    46. Addressing a National Problem or Need Evidence • Federal funding plays a critical role in crossing “Darwinian Sea” • ATP represents a more important element in bridging this gap than may have been appreciated • VC, State Government and Universities only contribute between 8 and 16% toward early stage technology development • ATP and SBIR account for between 21 and 25%

    47. Crossing theValley of Deathonly to … “Valley of Death” The Darwinian Sea Basic Research Invention Innovation & New Business … arrive in the Waters of theDarwinian Sea

    48. Addressing a National Problem or Need Investments in– Manufacturing: $224 M Tissue Engineering: $100 M Nanotechnology: $142 M Homeland Security $290 M

    49. Key Features of the ATP • Focuses on the civilian sector • Focuses on enabling technologies with high spillover potential • Focuses on overcoming difficult research challenges • Encourages company-university-laboratory collaboration • Coordinates with other public and private funding sources • Positioned after basic science and before product development

    50. Lessons Learned • Address a National Problem or Need • Avoid Duplication of Effort • Keep it at the Most Appropriate Level • Strong, Well-Publicized Criteria • Leverage Other Resources • Evaluate Early and Often