Accelerating Emerging Technologies to the Marketplace

1. Accelerating Emerging Technologies to the Marketplace Marc G. StanleyActing Director, ATP(301) 975-4644marc.stanley@nist.gov | www.atp.nist.govNorth Dakota R&D Showcase IIDecember 9, 2002 National Institute of Standards and Technology • Technology Administration • U.S. Department of Commerce

2. 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

3. NIST Mission … Strengthen the U.S. economy and improve the quality of life by working with industry to develop and apply technology, measurements, and standards. Gaithersburg, MD Boulder, CO

4. ATP is part of NIST • 3,000 employees • $820 million annual budget • 1,200 industrial partners • 1,550 guest researchers • $1.5 billion co-funding of industry R&D • National measurement standards Helping America Measure Up

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

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

7. Addresses 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%

8. 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

9. Federal Role Critical : vis a vis Other Federal Programs “The SBIR and the ATP programs are different in important ways. However, they can be understood as separate steps on a national innovation ladder.” The Advanced Technology Program: Assessing Outcomes, p. 96

10. 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 Federal Role Critical: ATP vis a vis SBIR

11. Thirteen Years of Innovation • Since 1990, 5,451 proposals submitted to 43 competitions, requesting $11.7 B from ATP • 642 projects awarded with 1,329 participants and an equal number of subcontractors • 195 joint ventures and 447 single companies • $3.9 billion of high-risk research funded • ATP share = $2.0 billion • Industry share = $1.9 billion • Small businesses are thriving • 63% of projects led by small businesses • Over 160 universities participate • Over 25 national laboratories participate

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

13. The Difference ATP Makes With the ATP, R&D is: • Higher risk • Creating leap-frog technologies • Leading to multiple applications • Expanding company and national competencies • Broadly diffused ATP

14. Distribution of Company SizeLead Companies 642 ATP Awards (Forty Three Competitions (1990 – September 2002) Forty Three Competitions (1990 – September 2002)

15. 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, except Alaska, and has provided funding to participating organizations located in 40 states, and the District of Columbia.

16. 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 Research Lab Company University Research Lab University Company • ATP encourages teaming arrangements • Most projects involve alliances

17. 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

18. Project SelectionProcess PROPOSALS SCREENING CLASSIFICATION Gate 1: FULL TECHNICAL PLAN + PRELIMINARY ECON/BUS PLAN ECONOMIC/BUSINESS MERIT TECHNOLOGICAL MERIT • National Economic Benefits • Need for ATP Funding • Pathway to Economic Benefits • Technical Rationale • technological innovation • high technical risk & feasibility • R&D Plan Gate 2: FULL ECONOMIC/BUSINESS PROPOSAL + BUDGET INFO Gate 3: SEMIFINALISTS IDENTIFIED • Oral review DEBRIEFING Cooperative Agreement Gate 4: AWARD

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