Federal Priorities For Commercialization Office of the Bureau du National Science Advisor Conseiller national des sciences Kevin Fitzgibbons Office of the National Science Advisor TechExpo 2004 Ottawa 05 October 2004

Office of the Bureau du National Science Advisor Conseiller national des sciences Role and Priorities of National Science Advisor to the Prime Minister Position created in April 2004 Provide sound, independent, non-partisan advice on the government’s directions and priorities for S&T Provide input on priorities for future investments in S&T with benefits to society and the economy: Commercialization and innovation International S&T and challenges of the developing world Horizontal collaborations between various departments, agencies, institutions, and business

Office of the Bureau du National Science Advisor Conseiller national des sciences US Canada Labour Productivity Source: CME 2004

Office of the Bureau du National Science Advisor Conseiller national des sciences Productivity/GDP Growth Source: OECD – Conference Board 2004

Office of the Bureau du National Science Advisor Conseiller national des sciences Canada’s Excellence Gap Source: CME 2004

Office of the Bureau du National Science Advisor Conseiller national des sciences Commercialization of Research Results High expectations; multitude of ideas but lack of clarity on best approaches Need a mind-set change in understanding dynamics and relationships – linear mode of innovation outdated Technology pull from firms, market place at least as important as technology push from labs Building a seamless interface between the two through collaboration and partnerships is key

Office of the Bureau du National Science Advisor Conseiller national des sciences  Virtually every OECD country and beyond sees the commercialization of research as a priority  Remains a priority of the Federal Government and Minister of Industry (after health, cities and child care... )  Expectations for the Speech from the Throne and Government Response to deliver on commitments in the Liberal Party election platform:  Promote increased venture capital  Support technology transfer  Underwrite NRC Network of Commercialization Centres  Create a Canada Innovation Award Context

Office of the Bureau du National Science Advisor Conseiller national des sciences Skills  Address technology commercialization skills gaps in business, tech transfer offices and government programs Risk Financing  Look at the complete ecosystem of risk financing system in Canada to move it to international standards Regulations  Factor commercialization considerations into smart regulations Market development and networking  Ensure strong international support networks for facilitating partnerships at all stages of the innovation spectrum Attitudes  Shift from a supply focus to stimulating demand for R&D and new technologies in the private sector through partnerships Commercialization of Research Results New directions and challenges

Office of the Bureau du National Science Advisor Conseiller national des sciences  A fundamental priority for the NSA and for Canada  Underpinning philosophy and focus:  It’s all about markets  It’s all about creating and enabling Canadian based firms to grow as viable businesses  Governments can and do have a role to play  What is required is not a massive program response but rather a coordinated and cohesive set of pragmatic actions  Need for a whole of government approach Commercialization of Research Results: Position of the NSA

Office of the Bureau du National Science Advisor Conseiller national des sciences $270 M announced in 2004 Budget for BDC and FCC to support high tech-venture capital and seed / pre-seed investments in partnership with the private risk capital community Recommendations of ACST report on seed, pre-seed and VC financing and commercialization skills: – $240 M of public funds to leverage $465 M from private investment – $65 M investment for risk financing skills through an entrepreneur in residence program, mentoring, and a national network of commercialization nodes  Private sector-government discussions on initiatives that across angel, professional VC and institutional financing communities Commercialization of Research Results: Risk Financing

Office of the Bureau du National Science Advisor Conseiller national des sciences External Advisory Report Released in September Comprehensive (73 recommendations) covering – International, Federal-provincial, Intra-Federal coordination – Manufacturing and product approval (automotive) – Life Sciences – Environmental Assessment – Oil And Gas – Etc. Focus on clarity, consistency, efficiencies cooperation and communications Smart Regulation

Office of the Bureau du National Science Advisor Conseiller national des sciences $25 M increased IRAP funding for SME innovation Two funds announced in 2004 Budget – $50 M/5 years for commercialization of University and Hospital Research – $25 M/ 5 years for commercialization of federal lab research Advisory Committee, representing private sector expertise (VC, angel, entrepreneurs, scientific experts) to adjudicate competitive process – Committee to meet in October 2004 to agree on ToR – First call for proposals winter 2005 Process managed by Industry Canada Commercialization Funds

Office of the Bureau du National Science Advisor Conseiller national des sciences