1. San Diego: A Case Study of Invention and Reinvention Mary L. Walshok, Ph.D. University of California San Diego IFMA San Diego January 13, 2016 1

2. San Diego’s Unique Character Distinct absence of natural resources suited to either an agricultural or industrial economy. A pristine, temperate natural environment attractive to health seekers and utopians. A local economy characterized by small farms and businesses. Early settlers were largely well-educated, affluent, health- seeking immigrants from “gritty” urban places. An under-developed harbor which was turned to advantage with the dawn of the Pacific Century. The cultivation of the military as a “clean industry” through aggressive civic leadership and land use decisions. 2

3. The early and persistent demand among the naval and aviation services for new technology. Expansion of R&D in the post-World War II (Vannevar Bush), Cold War, Sputnik, Vietnam eras. Advocacy and land use decisions favorable to light industry, research institutions and a new University of California campus in the 1950s. Deliberate civic initiatives to assure the commercialization of R&D and the growth of globally traded clusters from the mid-1980s onward with the end of the Cold War and new global competitiveness challenges. Emergence of interdisciplinary, cross functional and converging technologies productive of new 21 st century economic clusters championed by private sector, supported by public sector. 3

4. OCEANSIDE CARLSBAD DEL MAR LA JOLLA The Scripps Institution of Oceanography (1903) UC San Diego (1960) Salk Institute (1960) Today there are over 75 research institutes in San Diego, with five founded in the last two years. The Core 4

5. OCEANSIDE CARLSBAD DEL MAR LA JOLLA Convair was formed in 1943 by a merger of Reuben H. Fleet’s Consair and Vultee. Today there are more than 260 Defense and Security Companies operating in San Diego. Defense and Security 5

6. OCEANSIDE CARLSBAD DEL MAR LA JOLLA Linkabit was founded by UC San Diego professor Irwin M. Jacobs in 1968 as one of the first “high tech” communications companies in San Diego. Today there are more than 3000 IT, Wireless and Software Companies operating in San Diego. IT / Wireless / Software 6

7. OCEANSIDE CARLSBAD DEL MAR LA JOLLA Hybritech was founded in 1978 by UC San Diego professors Ivor Royston and Howard Birndorf as the first “biotech” company in San Diego. Today there are more than 600 Life Science / Biomedical companies operating in San Diego. Life Sciences/Biomedical 7

8. General Atomics was founded in 1955 as San Diego’s first Energy Company by General Dynamics. Today there are more than 700 Energy and Environmental Companies operating in San Diego. Energy and Environment OCEANSIDE CARLSBAD DEL MAR LA JOLLA 8

9. OCEANSIDE CARLSBAD DEL MAR LA JOLLA San Diego’s Sport Innovators traces back to the founding of Gordon and Smith Surfboards in 1959. Today there are more than 600 Sport Innovator Companies operating in San Diego. Sport Innovators 9

10. What Does This Mean for San Diego’s Future? We have the talent We have excellence in multiple sectors We are opportunistic and adaptive to change We have cross border synergies We continue to be vital to the nation’s military and security priorities We have an unbeatable quality of life 10

11. Conclusion Contemporary San Diego is the product of a distinctive pattern of evolutionary development. It has become a community that continuously repurposes its assets and realigns its economic development strategies and organizations in order to renew prosperity as external realities change. 11

12. Invention & Reinvention: The Evolution of San Diego’s Innovation Economy 12

13. Thank you Mary L. Walshok, Ph.D. mwalshok@ucsd.edu 858-534-3411 13