Innovation system HsinChu, Taiwan

1. Innovation system HsinChu, Taiwan Chintay Shih Chairman, III Chair Professor, National Tsing Hua University April 16, 2012

2. Area: 36,188KM2 highest point is Yu Shan (Jade Mountain) at 3,952 meters, making the world's 4th highest island. Population: Total: 23 million (50th) Density: 641/km2 (17th) 78% resided in metropolitan areas GDP (nominal, 2011 est.) Total: 504.612 billion(24th) Per capita: 21,591.770(37th) Growth rate (’08-’10): -2.25%, -1.10%, 9.08% Labor Force: 11.2 million (2011 ave.) Male:56.3%, Female: 43.7% Unemployment: 4.38% Taiwan Profile

3. 6 National Lab HsinChu Science Based Industrial Park (HSIP) NCTU NTHU ITRI ITRI HSIP 632 ha.

4. NTHU NCTU HSIP ITRI Location NTHU is located in Hsinchu City, Silicon Valley of Taiwan Close vicinity with: • National Chiao Tong University (NCTU) • Hsinchu Science Park (HSIP) • Industrial Technology Research Institute (ITRI)

5. 5

6. High-tech cluster policy • 60’s -Export process Zone • Attract Foreign direct investment, promote external trade • increase employment opportunities • 70’s - Industrial District • development of light industries and capital intensive industries • Establish R&D institutes ITRI, III …. • 80’s - Science Based Industrial Park • Development of hi-tech industries • Provide One-stop service • Late 90’s-2000’s • Incubators • technology-oriented entrepreneurs and business Start-ups • Software,Bio, SoC, Telecom …Park • Provide innovative mechanisms through cooperation between R&D centers, universities and industries

7. Major Research Institutions in Taiwan • Industrial Technology Research Institute (ITRI) • Institute for Information Industry (III) • Development Center for Biotechnology (DCB) • Metal Industries Research and Development Center (MIRDC) • Food Industry Research and Development Institute (FIRDI) • Taiwan Textile Research Institute (TTRI) • Automobile Research and Testing Center (ARTC) • National Health Research Institute (NHRI) • ……. • …….

8. National Tsing Hua University • First established as the Tsing Hua Academy at Tsing Hua Garden in Beijing in 1911 • Re-established in Hsinchu in 1956 • NTHU has been consistently ranked as one of the premier universities in Taiwan • NTHU alumni • two Nobel laureates in physics Drs. Cheng-Ning Yang and Tsung-Dao Lee • one Nobel laureate in chemistry Dr. Yuan-Tseh Lee • one Wolf Prize winner in mathematics Dr. Shiing-Shen Chern.

9. The History of College of Technology Management (CTM) • 2000: CTM was founded • Institute of Technology Management • Institute of Law for Science and Technology • Department of Quantitative Finance • 2001: EMBA program • 2005: Department of Economics (established in 1984 in CHS) • 2006: Undergraduate Program in Management and Technology • 2007:IMBA program、Part-Time MBA program • 2008: Institute of Service Science

10. Department of Economics Department of Quantitative Finance Advisory Board Institute of Technology Management Institute of Service Science College of Technology Management Institute of Law for Science and Technology Undergraduate Program in Management and Technology EMBA / Part-Time MBA Office International MBA Office Office of International Affairs Office Office of Student Career Development Organizational Chart

11. Undergraduate Economics Quantitative Finance Management and Technology Academic Programs Master Economics Quantitative Finance Technology Management Law for Science and Technology Service Science Economics PhD Technology Management Programs EMBA Professional Programs International MBA Part-Time MBA

12. Center for Science and Technology Policy Economic Research Center on Globalization Research Centers Bioethics and Law Center Financial Risk Management Center Center for Technological Innovation & Entrepreneurship Center for Service Technology and Management Research Centers

13. 2012 Faculty & Students (Updatedon February 9, 2012)

14. The TSMC Building for CTM The TSMC Building The grand stairway

15. The TSMC Building for CTM Spacious Learning Environment

16. ITRI • The First Industrial research Lab. established by Japanese in 1936. Transformed into a non-profit Research institute in 1973. • As “bridge” and “partner” for Taiwanese companies • Lead in National R&D projects • Facilitate technological diffusion & spin-off • Talent flow, Encouraging entrepreneurship • Technology disseminating & Sharing • Transfer in foreign technology • Spin-off company • Incubator • Open Lab for technology R&D collaboration

17. ITRI Industrial Technology Research Institute • foundations of Taiwan’s semiconductor & flat-panel display, LED,PV industry • spin off UMC (1979),TSMC (1987), VIS (1994) • AUO started as Acer Display at ITRI incubator in 1997 • Leading advanced research programs • Nano tech • Broadband wireless & Internet • Biotech & medical device • Cloud computing • Green Energy

18. HSIP Rev. growth 億元(台幣) 2010年達11,869億， 較去年同期成長34.3% - 海外生產不納入統計 Financial Crisis 18

19. HSIP employment 19

20. HSIP Tenants 20

21. HSIP stages of development % 100.00 90.00 PC- IC- innovation 資料來源：新竹科學園區

22. Industrial Asso. • TEEMA 電電公會 • TCA 電腦公會Notebook PC Consortium • CISA 軟協X-Terminal Consortium • TSIA 半導體協會DVD Consortium • SPARC Workstation Wireless Consortium • FPD Consortium IP-VPN Consortium • PDA and Windows CE Cons HDTV Consortium • 3G Consortium Dab Consortium • 3DIC ConsortiumWIMAX Consortium • Cloud computing 雲端運算協會 • E-Book 電子書聯盟

23. Taiwan :A system of strategic alliances Professor John A. Mathews; Macquarie Graduate School of ManagementSydney

24. Social Network (HSIP+Silicon valley) Professional society Ventual Capital Hsinchu Silicon Valley

25. Returnees in HSIP 資料來源：新竹科學園區管理局

26. Institution of Venture Capital • Initiate • “Regulations Governing Venture Capital Investment Enterprises” promulgated by Executive Yuan in 1983 • First Syndicated VC Fund Formed in 1984 • Results : (since 1984 to 2003) • 241venture capital companies, and the capital amount almost NT$ 170 Billion • Investment in more than 8,000 technology companies, and supported 300+ start-ups to IPO Source : Taiwan Venture Capital Association

27. Industrial Technology Investment Corporation (ITIC) • Founded in 1979, ITIC is a wholly owned subsidiary of ITRI, one of the first investment firms in Taiwan to have venture capital services • Relation with ITRI • ITRI benefits ITIC in both technical due-diligence and deal sourcing • ITIC has been responsible for creating opportunities of technology commercializing for ITRI’s laboratories while concurrently generating exceptional returns for ITRI

28. Institute for Information Industry (III) • Established in 1979 • R&D in Information technology and promote information society • Provide technology & services for e-government • Training information professional • Market intelligent & legal services • Development of software & service industry • Creating innovation & new start-ups

29. E-government • Offer 3,984 online services for gov’t efficiency • 64.7% tax payers filed Income Tax online • 97.8% business entities pay Sales Tax online • Implement GPKI and information security service to ensure a secure environm’t for gov’t transactions • Rank top 5 from 2001~2008(Top 1 for 3 yrs) in Global e-Gov’t Study by Brown University

30. IDEAS Show – Internet start ups • 國內第一 • -首創、國內第一個網路創意服務發表平台 • -IDEAS Expo成為網路產業的Computex，打造國內第一個網際網路產業嘉年華 30

31. NTHU Univ-Ind Collaborations 31 • Mission：transfer Univ. research results，Promote U-I collaboration • History： • 1981: TheFirst「Department of R&D」 established in Taiwan • 2008: 「U-I office」set up by Detp. Of R&D • 2010: Rename to「Operations Center for Industry Collaboration (OCIC)」as the first level of organization in NTHU • Up to date performance： • Tot incubated Co. ：101 firms；Univ start ups：46 firms • Tot. Investment：NT$ 3.1B • IPO：8 firms • Feed-back from Graduated Companies：NT$ 84 Billion • Received >20 US patents per year since 2007

32. U-spin &I-spin (NTHU) • Join effort for education and innovation • Commercialization of research results • Long-term relationship Curiosity driven Research papers Profit driven IP, ROI Industry Univ TEN & EMBA Club Entrepreneurship education 32

33. Institute of Technology Management & Institute of Service Science 2008 2010 1956 2000

34. I-spin project (2010-2012) Feed back IP, law Alumni & Industrial partner CTIE 技術創新與創業 中心 Energy Saving CEER能環中心 New product 技術移轉／授權 產業價值網絡研究 Web-based Language Learning New service 趨勢判讀與議題確認 New businesses 服務上市 DTCr積體電路 中心 服務塑模 IPTV New demand CSTM 服務科技與管理 研究中心 Industrial R&D Service Design Feed back

35. I-Spin IPTV DTC積體電路中心 CTIE技術創新與創業中心 CSTM服務科技與管理研究中心 Green Energy CEER能源與環境中心 CTIE技術創新與創業中心 CSTM服務科技與管理研究中心 • English Web Learning • DTC積體電路中心 • CTIE技術創新與創業中心 • CSTM服務科技與管理研究中心

36. High-tech development & Human Resources HSIP as example source: ITRI

37. Univ-Gov-Industry-PRO in Taiwan Co-creating new value and synergy Industry Innovation Capacity Government Environment for Innovation Value Creation Univ Research Institute Linkage of social needs Service Oriented ITRI lab@-X-University

38. 38

39. Thank You.