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Open Innovation Ecosystems for Horizon 2020 - New Approach Helsinki/Espoo, April 2013. Bror Salmelin Advisor to the DG, Innovation Systems European Commission bror.salmelin@ec.europa.eu.
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Open Innovation Ecosystems for Horizon 2020 - New ApproachHelsinki/Espoo, April 2013 Bror Salmelin Advisor to the DG, Innovation Systems European Commission bror.salmelin@ec.europa.eu
The digital economy is growing at seven times the rate of the rest of the economy, but this potential is currently held back by a patchy pan-European policy framework. 2013 will be the busiest year yet for the Digital Agenda. My top priorities are to increase broadband investment and to maximise the digital sector's contribution to Europe's recovery. European Commission Vice President NeelieKroes (18/12/2012)
Very fast internet supply and demand Broadband drives competiveness European Commission, 2011 A 10% increase in the broadband penetration rate results in 1 to 1.5% increase in annual GDP per-capita. Faster broadband = higher GDP growth. (Czernich et al. - University of Munich, 2009)
Sustainability • Sustainable innovation is full of disruptions! • Sustainable innovation is about (value) choices! • Sustainable innovation is beyond (political) buzzwords • Sustainable innovation is holistic!
Diversity means breakthrough probability high Breakthrough Value of innovation average insignificant Low low High Alignment of team members’ disciplines
New entrepreneurship -> new skills, attitude, talent! Connectivity!
Policies • Open innovation processes and environments (e.g. Living Labs) • Technology enablers (ICT, KET) • Societal innovation • -> Business model innovation a weak point in Europe
Innovation? • Makethings happen! Science based linear innovationis NOT mainstreamanymore! • User-centricinnovation • Open innovation • Systemicinnovation • Experimental mash-up • Leadershipwithcourage -> newmanagementskills
Innovation as parallel activities Research Prototyping Pilot roll-out Markets Knowledge Production Each activity collects knowledge about product/market fit
Innovation moving out of the Lab Centralized inward looking innovation Closed Innovation Externally focused, collaborative innovation Open Innovation Ecosystem centric, cross-organizational innovation Innovation Networks Sources: Chesbrough 2003, Forrester 2004, von Hippel 2005
The European Perspective Europe 2020 “smart, sustainable and inclusive growth” Innovation Union Digital Agenda for Europe Towards a European Digital Single Market Regional/Cohesion Policy Contributing to Smart growth Smart Cities and Regions Future Internet for citizen-centric innovation Other instruments: Structural Funds, National funding, Financial Instruments Common strategic Framework for Research and Innovation HORIZON 2020 CIP/ICT-PSP Pilots in specific domains across borders FP7/ FP8 ICT theme: FI PPP, EIPs, JTIs EIT / KICs : bridging education research innovation Other policies: industrial policy for the globalisation era, youth on the move, Agenda for new skills and jobs, resource efficient Europe, the green digital charter…
Essential drivers connectivity open interaction “organic” (OrganiCsations..) NON-controllable, only catalyzing possible
ODI scheme using complementary H2020 Instruments • Phase 1: Technicalmarketfeasibility and prototyping • R&I grantlump sum x 3-9 months • Phase 2: Validation & piloting of scalable solutions • R&I grantcoveringeligiblecosts x 12-18 m • Support measures • Succesfulprojectsreaching end of Phase 2 = EU Disruptive Innovation Label/Prizes • Exposure on dedicated platforms (e.g. crowd-funding and V.C. seeds) Ph.1 EU Disruptive Innovation Label Ph. 2 On-line assessment EU Disruptive Idea Label & Exposure on EU Dedicated Platforms & events etc.
SME instrument ? Pre-commercial procurement Phase 2: Demonstration Market Replication R&D Phase 1: Concept & Feasibility Assessment Phase 3: Commercialisation SME window EU financial facilities Demonstration, prototyping, testing , market replication, scaling up, miniaturisation, research Quality label for successful projects, access to risk finance, indirect support Idea to concept, risk assessment, technological & commercial feasibility IDEA continued support throughout the project MARKET
PCP to steer the development of solutions towards concrete public sector needs, whilst comparing/validating alternative solution approaches from various vendors • PPI to act as launching customer / early adopter / first buyer of innovative commercial end-solutions newly arriving on the market PCP and PPI complementary Public Procurement of Innovative Solutions (PPI) R&D / Pre-commercial Procurement (PCP) Phase 0 Curiosity Driven Research Phase 1 Solution design Phase 4 Deployment of commercial end-products Diffusion of newly developed products / services Phase 2 Prototype development Phase 3 Original development of limited volume of first test products / services Supplier A Supplier B Supplier B Supplier B Supplier(s) A,B,C,D and/or X Supplier C Supplier C Supplier D Supplier D Supplier D • Two possibilities in H2020 (for PCP/PPI) & CEF (for PPI) • EC can co-finance PCPs/PPIs carried out by grant beneficiaries • EC or EU agencies can carry out PCPs/PPIs on their own behalf or jointly with Member States
Important considerations • Cost of NOT doing something? • How to make innovation space fluid? • How to move from control to encouragement? • Rules of the game clear, ex post control • Rules to share and build value • Experimentation mentality (fail fast in small things, not in the big one)
More information www.ec.europa.eu/research/horizon2020 http://ec.europa.eu/digital-agenda https://ec.europa.eu/digital-agenda/en/grand-coalition-digital-jobs-0 http://ec.europa.eu/digital-agenda/en/open-innovation bror.salmelin@ec.europa.eu