1. Honorable Jerry MacArthur Hultin President © Polytechnic Institute of NYU, 2008 The University’s Role in Economic Growth: Creating an Innovation Economy… and Society

2. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID Setting the Stage NYC -- is seeking to be a global center of innovation Polytechnic Institute -- has 150 years of history marked with discovery and innovation

4. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID Setting the Stage NYC -- is seeking to be a global center of innovation Polytechnic Institute -- has 150 years of history marked with discovery and innovation NYU -- Our merger with New York University brings us a global partner Values -- My life has been committed to technology in creating a better world

5. 150 YEARS OF POLYTHINKING WHO TURNED CELLPHONES INTO LIFE LINES? WE DID Universities should support innovators Education Research Technology transfer Entrepreneurial mesh Cultural capital

6. 150 YEARS OF POLYTHINKING WHO MADE BULLS AND BEARS RUN BETTER? WE DID S&T Helps Innovation Happen S&T system and investments in Research & Development are central to innovative success Readily available S&T talent is a must in an innovative economy Knowledge economy and service economy require a new direction for S&T and R&D

7. 150 YEARS OF POLYTHINKING WHO BROUGHT THE WORLD CLOSER FROM A DISTANCE? WE DID We need to be more innovative! Faster growth of S&T –If S&T stagnates, innovation suffers Make innovation a priority –Significantly raise the levels of R&D investment, invention, and innovation Challenge universities to be more innovative –Increase the innovative and entrepreneurial activity of all universities

8. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID Four places to look 1.Universities and economic development –Lester’s (MIT, 2005) study on university role in local economic development 2.Innovative readiness –ITIF’s indicators of readiness for innovation and competitiveness 3.Governors in the United States –Building bridges between universities and corporations 4.Creating an innovation society –It’s no longer linear –A collaborative mesh that breeds invention, innovation, and entrepreneurship (i 2 e),

9. 150 YEARS OF POLYTHINKING WHO TURNED CELLPHONES INTO LIFE LINES? WE DID Universities, innovation, and local economies The ‘Standard Model’ is based on technology transfer through patenting and licensing of IP to local firms But universities have an even bigger role: –Teaching innovation and risk –Research with the market in mind –Technology transfer that builds firms –Creating “Idea capitals” that attract talent and spur creativity

10. 150 YEARS OF POLYTHINKING WHO MADE BULLS AND BEARS RUN BETTER? WE DID This new role requires industry to change What kind of change? –Upgrading of mature industry –Industry transplantation –Diversification into new but related industries –Indigenous creation of new industries Everyone does not buy-in” –Difficult to measure secondary benefits of universities

11. 150 YEARS OF POLYTHINKING WHO WORKED MIRACLES TO PRODUCE THE MIRACLE DRUG? WE DID Innovate in the domestic economy Do not focus solely on trade –Many countries under-value innovation in the non-traded sectors of their economy A over-looked opportunity –Productivity gains in the domestic economy will increase innovation, economic wealth, and global competitiveness Increase the focus on services –Services make up a major portion of a nation’s GDP and are a major source of employment – and they facilitate trade

12. 150 YEARS OF POLYTHINKING WHO WORKED MIRACLES TO PRODUCE THE MIRACLE DRUG? WE DID Services dominate and knowledge is key Global access is equal for all countries –All transactions are global and instantaneous The “post-scientific society” * –Work structures and organizational practices dominate the 21 st century * Christopher Hill 2007

13. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID Dynamic markets Global competition Networked organizations Flexible production Ideas and innovation are key factors of production Broad and changing skills Risky, not stable employment 21 st Century has new measures ITIF Report, 2007

14. 150 YEARS OF POLYTHINKING WHO BROUGHT THE WORLD CLOSER FROM A DISTANCE? WE DID ITIF Strategies for the New Economy Align incentives with innovation economy fundamentals Co-invest in an innovation infrastructure Co-invest in the skills of the workforce Cultivate entrepreneurship Support industry clusters

15. 150 YEARS OF POLYTHINKING WHO BROUGHT THE WORLD CLOSER FROM A DISTANCE? WE DID ITIF Strategies for the New Economy Reduce business costs without reducing the standard of living Boost productivity Reorganize economic development efforts Enlist federal help

16. 150 YEARS OF POLYTHINKING WHO TURNED CELLPHONES INTO LIFE LINES? WE DID What do Governor’s in the United States do? Facilitate regional innovative activity Invest in high-return economic activities and knowledge-intensive production Make education a core investment Focus on –Science –Business policies –Tax reforms –Industry clustering

17. 150 YEARS OF POLYTHINKING WHO MADE BULLS AND BEARS RUN BETTER? WE DID The Case for Innovation in Ohio Tax reform, technology research, and higher education Creating professional, health and education jobs Aggressive investment strategy aimed at: –Research grants –Higher education and scholarship in high-tech –Advanced materials –Bioscience –Advanced energy and aerospace industries

18. 150 YEARS OF POLYTHINKING WHO WORKED MIRACLES TO PRODUCE THE MIRACLE DRUG? WE DID An ecosystem for innovation Create an innovation mesh –Silicon Valley –Boston –Philadelphia Collaboration –Break down the silos everywhere Teach and practice i 2 e

19. Higher Education High Schools Big Research Large Corporations University Research Innovation Infrastructure Infrastructure Polytechnic is here

20. Funding Sources (M&A, venture, angel) Higher Education High Schools Big Research Science and Technology Entrepreneurs Large Corporations University Research Innovation Infrastructure Infrastructure Entrepreneurship Polytechnic is here … often here …

21. Increased Innovative Interactions Funding Sources (M&A, venture, angel) Higher Education High Schools Big Research Cultural Entrepreneurs Science and Technology Entrepreneurs Large Corporations Small Businesses University Research Innovation Infrastructure Infrastructure Entrepreneurship Polytechnic is here … often here … … and expanding here.

22. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID Making i 2 e the heart of education Education – learning to discover, design, and create products and services Research – focusing on areas that will impact technology, companies, and economies Technology transfer – incubators, venture funds, industry consortiums, licenses that improve the economy and teach students Economic development – an economic system that cultivates risk taking, accepts failures, and engages the community in jobs and opportunity

23. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID i 2 e and t Adding breadth to depth in all technical education Universities encouraged to educate T-students Companies encouraged to seek “T” graduates Cities encouraged to be “idea capitals” that attract and retain T-citizens

24. 150 YEARS OF POLYTHINKING WHO BROUGHT THE WORLD CLOSER FROM A DISTANCE? WE DID Polytechnic’s i 2 e priorities Information Technology –Center for Advanced Technology in Telecommunications (CATT) –Institute for Mathematics and Advance Supercomputing (IMAS) –Wireless Internet Center for Advanced Technology (WICAT) Health and Wellness –Cooperative Bio-Active System (C-BAS) –Center for Biocatalysis & Bio Processing of Macromolecules –Center for Drug Delivery Research (CDDR) Urban Sustainability –Center of Innovation and Urban Sustainability –Urban Security Initiative –Urban Utility Center

25. 150 YEARS OF POLYTHINKING WHO WORKED MIRACLES TO PRODUCE THE MIRACLE DRUG? WE DID What this means for the future All of the conventional rules are still true –Liberal arts education that includes science, math and technology –Increased science and technology research in universities –Greater understanding of risk, failure, and opportunity in the economy … and society –Global awareness and global standards

26. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID 1.Education embedded with i 2 e 2.S&T and R&D intensely directed focused on the needs and advancement of the economy … and society 3.Technology transfer that provides a laboratory for students to understand i 2 e What I am proposing is much more

27. 150 YEARS OF POLYTHINKING WHO “INTEGRATED CIRCUITS” INTO MAINSTREAM TECHNOLOGY? WE DID 4.A commitment by universities to create companies, jobs and opportunities 5.Innovation in the services sector of the economy 6.Becoming an “idea capital” with ICE

28. 150 YEARS OF POLYTHINKING WHO WORKED MIRACLES TO PRODUCE THE MIRACLE DRUG? WE DID Last night, as I was sleeping, I dreamt -- marvelous error! That I had a beehive Here inside my heart. And the golden bees Were making white combs And sweet honey From my old failures. Antonio Machado

29. YOUR QUESTIONS AND IDEAS THANK YOU