Presentation on theme: "Winning the Wealth Creation War for Wales Role of its Universities Engineering Professors Conference April 2004."— Presentation transcript:
Winning the Wealth Creation War for Wales Role of its Universities Engineering Professors Conference April 2004
Wales has traditionally depended upon sunset industries, inward investment and grant aid for its economic well-being. Is it possible to move away from this dependency culture by a greater reliance on indigenous talent?
…………..and if so what should the role be of the Universities?
The Challenge GDP is 75% of EU average 23 listed Welsh Companies (0.8% of UK) (5% of Population) 2500 new Companies needed per year to reach UK average (VAT Registrations)
Objective One £2.4 Billion Over the period 2001 to 2007
Universities as a Resource 80,000 Students 4000 Staff Diverse expertise Specialist Technical Services £80M annual Research income Capacity for Training and Consultancy
What can they Contribute? Support Graduates Training Consultancy Projects Collab. R&D Enabling Grants Deal Flow Alumni Entrepreneurs Intellectual Property Spin-Out Companies
Some more Fastlane Starvision SpaceBridge Beam SceneDouble Coastform Seden Ind & Tech Serv. Pty Ltd Palang Sophon Breconridge Crosskeys Mitel LTX Corporation Bridgewater Systems Cambrian Elantec Castleton Newport Networks Enfis Ltd Acorn/Arm
Alumni Entrepreneurs Some 30 to 40 out of Swansea alone Aggregate value, some $6Bn Mkt. Cap. 10s of thousands of jobs created All Over the world No direct use of University IP No Women! More than 20 listed Companies!! Often not with the best degrees One in several hundred students
Some Views about Patenting Expensive to maintain VCs often insist on a strong IP portfolio Rarely make large amounts of money Often used defensively (Blocks of IP traded or cross-licensed) Best Protection of IP is to continue to innovate
Make your own products obsolete before your Competitors do
How they are Conceived Brilliant Research Profitable Business Market Analysis Profitable Business
How Businesses Start (Silicon Valley Experience) Transistor Integrated Circuit MicroProcessor Silicon Compiler Neural Networks Quantum Computing?
Carver Mead The best Innovative ideas come from a coalescence of what is possible and what the market requires. The process can inform and enrich University Research
Structure Preferred Option: Bring together the following and form University-linked spin-out companies: Entrepreneurs Alumni, Staff, Incomers University IP (Assigned to Company in selected Sector) Finance (VCs Bus.Angelss and Grant Aid) Premises: Technium Centres
Support through Partnership (TECHNIUM) Start- Up BroadBand R&D IP Premises Grants Venture Capital Staff Business Planning Sale IPO Fail Life- Style
Statistics Year00/0101/0202/0303/0404/0505/0606/07 Tot Start 5142227313745 Fail1235667 Left4121922253138 XX Actual XX Projected
Technium 1 Over 18 Months: 17 Companies 75% Graduates 72% R&D Turnover (5M to 7.5M) 300% Increase in Staff
Breakdown of 38 companies in 2007 Life Style/Ongoing 29 Trade Sale 3 IPO 4
All Wales Breakdown of 96 companies in 2007 Life Style/Ongoing 76 Trade Sale 8 IPO 12
Conclusions To meet the Challenge, Universities need to Raise awareness for future Entrepreneurs to start their companies locally Show a greater understanding of the role of their Intellectual Property Form Public/Private Partnerships to provide support networks Recognise Entrepreneurial Success