Trends and Issues regarding IndustryAcademiaGovernment Collaborations in Japan

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Trends and Issues regarding Industry-Academia-Gove
rnment Collaborations in Japan
Joint Workshop on Research Cooperation between
Japan and Croatia 2008/2/11
Hiroyuki AbéCounselor to the President, Japan
Science and Technology Agency (JST)Former
Executive Member of Council of Science and
Technology (CSTP)Former President of Tohoku
University
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1. Introduction

• Science and Technology Basic Law
• Science and Technology Basic Plans
• 1st plan (96-00), 2nd plan (01-05),
• 3rd plan (06-10)
• In the 3rd plan in particular innovations
  originating in Japan are being emphasized.
• Intellectual Property Strategic Program
  released every May or June.
• Note) Long-term strategy guideline Innovation
  25 (June 2007, Under the leadership of Prime
  Minister Abe)

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2. Cases before WW II

• 10 greatest Japanese inventions (1985, 100th
  anniversary of the industrial property system)
• 5 university-related cases (7 in a broader
  sense)
• Kikunae Ikeda (Univ. of Tokyo) Manufactured
  monosodium glutamate
• Umetaro Suzuki (Univ. of Tokyo) Discovered and
  separated Vitamin B1
• Kotaro Honda (Tohoku Univ.) Magnetic alloy KS
  steel, etc.
• Hidetsugu Yagi (Tohoku Univ.) Electromagnetic
  orientation system (Antenna)
• Tokushichi Mishima (Univ. of Tokyo) Magnetic
  alloy MK steel
• RIKEN contributions are also significant.

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3. Origin of Science and Engineering in Japan

• (1) In addition to significant discoveries many
  inventions were developed at faculties of science
  (at seven Imperial Universities) before WW II.
• (2) The Imperial University had a faculty of
  engineering from its very establishment in 1886.
  The faculties of engineering at Japanese
  universities emphasize basic science.
• Probably merely chance but all four Japanese
  winners of the Nobel Prize in chemistry graduated
  from engineering fields.
• Materials science departments or divisions,
  something Japan excels at, belong to schools and
  graduate schools of engineering.

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4. Industry in Japan after WWII
(1) Industry was almost completely
devastated. (2) Japan grew to be an economic
power in the 1980s by introducing technology from
the U.S. and then improving it and producing
large amounts of superior quality
products.However, they were basically playing
catch-up (in second place). (3) Many small- and
medium-size companies were subcontractors of
large companies. This consequently provided a
kind of unification of industrial
structures. Sony and Honda were both venture
companies established after WWII.
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5. Recent Examples of Large Scale Innovation
(First-place type)

• Examples that regard the large market as being
  secure emerged despite the aforementioned
  industrial structure.
• Features
• 25 to 30 years have passed since first being
  discovered or invented at universities, etc.
• Appropriate public support (by JSPS, JST, NEDO,
  etc.)
• Enthusiastic participation by companies in the
  appropriate period
• Appendix 2 lists these cases.

JSPSJapan Society for the Promotion of
Science NEDONew Energy and Industrial Technology
Development Organization
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6. Contribution of Universities to the Industrial
Field

• a. Human resource development (education)
• b. Technical (and management) advice and
  instruction
• c. Technical improvement through continued
  instruction
• Company development
• Company group development
• d. New industry creation
• From large companies
• With venture-type companies

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7. University Research and Company Research
(1) Industrialization is part of the mission of
academic research. Papers Patents (2)
Creation of new academic, science and technology
fields (3) A science and technology-oriented
nation through innovations originating in
Japan (4) Arrangement of industry-academia-govern
ment support systems Reference Message from
Prof. Jerome I. Friedman
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8. Intellectual Property Strategy
2002.3 Meeting on intellectual property
strategy (Instructed by Prime Minister. Chaired
by the author.) 2002.11 Intellectual Property
Basic Law came into effect. 2003. 3
Intellectual Property Strategy Headquarters
established. (Chief Prime Minister. All cabinet
members and experts) Creation, protection,
exploitation of intellectual property, and human
resource development etc. Contents business is
also emphasized. 2004.4 Conversion of national
universities into corporate entities (Patents
belong to the university.)
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9. General Strategy for Innovation Creation
Venture
University, etc.
Industry
Basic research
Product development Product release Dissemination
Application/ commercialization RD
Creation of new demand
Return to basic research
Meeting new needs
1.Amplification of innovation sources
2. Enhancement of a system that fosters
innovations from seed through to fruition
Acceleration of innovation creation
3. Policy enhancement to bring innovations into
fruition
4. Promotion of system reformation aiming at
innovation creation 5. Enhancement of human
resources development that can support
innovations
(Source CSTP 2006.5.23)
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9-1. Amplification of Innovation Sources (1)

• Securing the diversity and continuity of basic
  research
• a. Grants-in-aid for scientific research (JSPS,
  MEXT)
• About 190 billion yen (2007 fiscal year)
• Aimed at about 1,100 organizations (including
  670 or more universities)
• Half that amount goes to 13 universities and
  RIKEN
• 10 billion or more yen goes to 4 universities
  (Tokyo, Kyoto, Osaka, and Tohoku)

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9-1. Amplification of Innovation Sources (2)

• b. Establishment of global research and education
  bases
• 21st century COE project
• Number of projects 274 (selected 02 to 04)
• Global COE project
• (Commenced in 07) 150 bases to be established.
• Global top-level research base (World Premier
  International Research Center (WPI) Initiative)
• 4 universities (Tohoku, Tokyo, Kyoto, and Osaka)
  and the National Institute for Materials Science
  (07)
• Note) Best base open to the world

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9-1. Amplification of Innovation Sources (3)

• The source of innovations has nothing to do with
  centralization
• (Bud of new paradigms)
• a. Structural carbon fiber (Osaka Industrial
  Laboratory Toray)
• b. Light-Emitting Diode (White/blue LED, NICHIA)

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9-2. Enhancement of a System that Fosters
Innovations from Seed through to Fruition

• (1) Enhancement of innovations at prefectures
  and/or regions.
• (2) New deployment of industry-academia-government
  collaborations
• Super collaborated graduate schools
• (11 mid-level national, public, and private
  universities)
• Innovation creation base in advanced
  interdisciplinary fields (MEXT)
• Programs by JST, NEDO, etc. (Appendix 1)

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9-3. Policy enhancement to bring innovations into
fruition
(1) Promotion of new technology use, enhancement
of exit policies such as international
standardization (2) Enhancement of innovations
by venture companies Smoother sponsorship of
investors (3) Enhancement of private research
and development In particular in terms of the
creation of new industries
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(Reference) Examples of Issues regarding
Industry-Academia-Government Collaborations in
Japan

• Investment in RD by industry is flowing
  overseas.At least double the investment in RD
  at domestic universities made by domestic
  companies is going to overseas research
  organizations.
• The number of venture companies at universities
  is steadily increasing but still small when
  compared with overseas.
• Japan U.S.
• Total No. established 1576 4543
• No. of survivors (End of 2006. 3) 1509 2671
• No. established (2005) 171 462
• Comparison with overseas
• China 5039 Germany 2780 Japan 1347
• U.S. 4543 U.K. 933

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9-4. System Reformation Aiming at Innovation
Creation

• In addition to the aforementioned,
• Improvements in the immigration control system
• Comprehensive promotion of clinical trials
• Improving the working environment of female
  researchers, etc.
• Further system reformation is essential.

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9-5. Enhancement of Human Resource Development

• In addition to the aforementioned,
• Enhancing mathematics and science education at
  elementary, junior and high schools
• Enriching mathematics and science textbooks
• Enhancing basis of education for knowledge
• Further public understanding of new technologies
  such as biotechnology

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10. Concluding Remark
(1) Ferment of an atmosphere where the creation
of knowledge is valued (Has actually decreased
since the late 60s.) (2) Construction of an
ethos that fits the 21st centuryAfter WWII Japan
rid itself of its traditional spiritual culture
and has not constructed a new ethos since then.
Japan used to be in a rather favorable
situation It was under the U.S. umbrella during
the cold war era and unification of an industrial
structure that suited a second-place country was
promoted. Must change in the 21st century so as
to emphasize innovations originating in Japan.
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Appendix 1. Industry-Academia Collaboration
Program in Japan
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(Reference) Examples of Collaboration between
Grants-in-Aid for Scientific Research and Other
Competitor Funds
(Source Grants-in-aid for scientific research
News 2007 Vol. 2)
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Examples from the JST Industry-Academia
Collaboration Program (Competitive)

• 1. Collaborative Development of Innovative Seeds
• Potentiality verification stage
• (About 8 million yen/theme 115 themes)
• Practicability verification stage
• (About 50 million yen/theme/year 9 themes Upper
  limit is the amount contributed by companies.)
• 2.Project to develop innovative seeds
• Modeling of Innovative Research Results
• (About 20 to 30 million yen/issue 14 themes)
• Supporting Program for Creating
  University-Initiated Ventures
• (About 30 million yen/issue/year 15 themes)
• Contract development About 1 to 2 billion
  yen/theme 10 issues Refunding the
  development costs unnecessary if unsuccessful.)
• Commercial Development by Innovative Venture
  Companies
• (About 30 million yen/theme/year 6 themes
  Refunding the development costs necessary depends
  on sales amount.)

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Examples from the JST Industry-Academia
Collaboration Program (Uncompetitive)

• Patent application support systemComprehensive
  support of patent applications and intellectual
  property protection including support for
  acquisition of patents overseas by universities,
  etc.
• Linking mechanism of research results to
  practical application
• Support making it to the next step for
  commercialization by collecting technology seeds
  at universities and analyzing their evaluations.
• New technology presentation meeting
• A briefing session where the developer explains
  patent details, etc., mainly private patents, for
  companies wanting to commercialize new technology
• Innovation Japan (University Fairs)
• One of the largest events in Japan for the
  purpose of transferring technology of industry,
  academia, and the government
• Licenses (Development conciliation/licensing)
• Licensing business to commercialize the research
  results of universities

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Examples from the NEDO Industry-Academia
Collaboration Program (Competitive)

• 1. Industrial technology research subsidization
  project
• Helps young researchers at universities, etc. by
  finding and developing industrial technology
  seeds that meet the needs of industry and fosters
  human resources for use in industrial technology
• (About 10 to 50 million yen/theme 58 themes)
• 2. Innovation commercialization subsidization
  project
• Performs research and development for
  commercialization through industry-academia
  collaborations that leverage excellent technology
  seeds from universities.
• (About 10 to 100 million yen/theme 61 themes 1/2
  or 3/2 of the RD cost are subsidized.)

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Local Industry-Academia Collaboration
Program-Intellectual Cluster Creation Project
(MEXT)-
1. Purpose Creation of an accumulation
(intellectual cluster) of internationally
competitive technology innovations made by
research institutes and RD type companies
related to universities and public research
institutes as a base for intellectual creation
and enhancement of the independence of local
government 2. Budget Scale About 500 million
yen/year/area Period 5 years Grant for the
core organization specified as the implementation
body by local government
(Source Intellectual Cluster Creation Project
Brochure)
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Local Industry-Academia Collaboration
Program-Industrial Cluster Creation Project
(METI)-
1. Purpose The creation of new industries and
business mainly by local government through
constructing a wide area network of
industry-academia-government collaborations and
industry-industry/cross industry collaborations
for companies and universities throughout various
areas of Japan and for mutually leveraging their
intellectual properties for the purpose of
revitalizing local economies as well as enhancing
the international competitiveness of Japan. 2.
Target amountNumber of new businesses to be
launched 40,000 over a total of five years
METIMinistry of Economy, Trade and Industry
(Source Industrial Cluster Project Brochure)
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Local Industry-Academia Collaboration Program -
Comprehensive Support Programs for Creation of
Regional Innovation (JST) -
1. Purpose Aims at creating new businesses using
technology innovations by promoting communication
between industry, academia, and the government
and developing the research results of industry,
academia, and the government, and providing
collaborations between researchers at
universities and national and public testing and
research organizations and local areas regarding
local creative research results at JST Innovation
Plazas and JST Innovation Satellites. 2.
Programs to be conducted Seeds discovery test 2
million yen/issue 1 year 1,250 issues Research
fostering About 30 million yen/issue/year
2 3 years 32 issues

• Areas with Plazas (8 areas)
• Areas with Satellites in 2005 (4 areas)
• Areas with Satellites in 2006 (4 areas)

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Appendix 2 Actual Large Innovation Examples
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?Example1? Perpendicular Magnetic Recording
Technology
Contribution to national life and Industry
2005 Start of product distribution
1976 Invention (Professor Shunichi Iwasaki of
Tohoku University)
Sales forecast 600 million or more units a year
(2010) Market scale\3.3 - \6 trillion (30 -
55 billion) Source Institute of
Information Technology, Ltd
?
?
?
Super Advanced Electronic Technology Development
Promotion Project
(scientific research expense subsidies, etc. at
universities, etc.)
Nano Function Synthesis Technology Project
1st Plan
2nd Plan
1970
Present
1980
1990
2000
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?Example2?Development of New Optical
Glass (Result of research by Professor Kazuyuki
Hirao of Kyoto University, etc.)
Contribution to national life and industry
High-performance optical devices, new luminous
glasses, mechanically strong glasses,
etc. Feasible market scale Waveguides, optical
circuits (2010-15) Approx. \1 trillion (9
billion) Electronic media (2015) Approx. \100
billion (910 million)
Strategic Creation Research Promotion Project
International joint research
Industrial Technology Research and Development
Project
1st Plan
2nd Plan
1970
Present
1990
2000
1980
Source NEDO
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?Example3? Photocatalyst to Decompose Substances
by Light Energy
Contribution of national life and industry
Market Scale DomesticApprox. \50 billion
(450 million) Overseas Approx. \15 billion
(140 million) The market is expected to expand
to \200 billion (\140 million) or more by
2010. Feasible energy-saving effect (2010)
Crude oil equivalent of 420,000 kiloliters per
year
1967Discovery of the Honda-Fujishima Effect
(Univ. of Tokyo)
Regional Integrative-Type Joint Research Project
?
Topic Fixed-Type Industrial Technology
Development Expense Assistance Project
(Various research through scientific research
expense subsidies, etc. at universities, etc.)
1st Plan
2nd Plan
1970
1990
2000
1980
Present
Source NEDO
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?Expamle4? New Cancer Treatment Method
Contribution of national life and industry
Application in heavy ion medical accelerator
(HIMAC) treatment, etc. Treatment of 2,371
cancer patients for whom operations were
impossible previously (up to August 2005)
Approval of high-level advanced medical treatment
(2003)
1993 National Institute of Radiological Sciences
Completion of new treatment device
?
Joint use research
1st Plan
2nd Plan
1970
Present
1990
2000
1980
Source National Institute of Radiological Science