ECA Technology Transfer Developments IN THE EURASIA REGION Stefan Holger Schandera

1. ECA Technology Transfer Developments IN THE EURASIA REGION Stefan Holger Schandera infoDev regional facilitator Eastern Europe and Central Asia Asia and the Pacific Incubator Conference AAPIC Hanoi, October 03.-06.2007 Asia and the Pacific Incubator Conference AAPIC

4. Former Soviet Union Block

5. East Germany Saxony

6. 1 Saxony / East Germany (I) Transition shock therapy • GDR: Soviet R&D system with research institutes independent from universities; • Total number of industrial researchers declined from 24.000 in 1989 to about 10.000 in 1992; • Privatization of research institutes after 1990; • Reform of education system, including strengthening of academic research after 1990; • West German legal system after 1990. Asia and the Pacific Incubator Conference AAPIC

7. 2 Saxony / East Germany (II) Transition shock therapy State support mechanisms: • Strategic technology sectors, • State support for individual and collaborative R&D, • Technology transfer centers, • Patent support (and Patent Information Centers), • Innovation Assistants for SME, • Investment support for non-academic research organizations. Asia and the Pacific Incubator Conference AAPIC

8. 3 Russia 1993 • In 1991 Russia's 4,000 institutes employed close to 1 million scientists and engineers (OECD estim. 1991). • Total employment in R&D institutes in the FSU fell by 40 percent between 1989 and 1993; the employment of R&D specialists alone fell by 44 percent during the same period (Russian Center for Science Research and Statistics 1994). Asia and the Pacific Incubator Conference AAPIC

9. 4 Comparing transition economies (early 1990‘s) * compared to 1989 level

10. 5 Comparing transition economies (late 1990‘s)

11. 6 Comparing transition economies (2000 - 2005)

12. 7 Comparing transition economies (2007 and beyond)

13. 8 AMZ Automotive Supplier Network • Started in 1999 • To compensate disadvantages of small suppliers in automotive industry • 2005: 798 members • 1999 - 2005: 206 projects with 27 Mio Euros financed (50% support rate) • 1999 - 2005: Generated turnover of about 1.7 Bio Euro = 2.064 new jobs in the automotive industry

15. 9 Armenia IT Cluster • In 2001, IT sector proclaimed key sector in Armenia • In 2005, innovation program (venture and investment funds, improved legislation and infrastructure, incubators and technoparks, education and training), • EIF incubator (founded 2002): training of 80 local IT companies, • IT sector today: Revenue growth of 30% p.a., productivity growth of 17% p.a, workforce growth of 16% p.a. Asia and the Pacific Incubator Conference AAPIC

16. 10 Russia National Innovation System • 2004 - 2007 • 150 - 170 business incubators founded. • 80 technology transfer centres established. • 60 technology parks founded or strengthened. • 6 special economic zones and 10 science cities created, partly based on existing structures. • 10 VC fonds, business angel network, and crediting systems created. • Several sectoral associations in formation stage. * Source: Olga Lapteva, Tambov Business Incubator, Russia Example Kazakhstan • 5 strategic innovation clusters in petrochemical industry, textile production, tourism, ICT, and biotechnology (innovation program 2015)

17. 11 Lessons learned • Innovation policies: Don‘t copy and paste. • Real pressure helps - Dutch Disease does not. • Skilled people on all levels including regional government are key. • IPR means trust. • Thank you very much for your interest!

18. 12 business incubators network network of business incubators and technology parks in eastern europe and central asia Fact sheet • Founded in 2005 • 25 members from 15 countries (September 2007) • Key value for members: International contacts, skills and knowledge, extented services • Activity focus: Incubator development and managment skills, collaboration in technology transfer and innovation development, SME education (training and councelling), benchmarking and research