Ulrich Schuh AN OVERVIEW OF AUSTRIAN APPLIED RD

Ulrich Schuh AN OVERVIEW OF AUSTRIAN APPLIED R&D POLICIES Vilnius, March 21, 2019 © FFG I Austrian Research Promotion Agency I www. ffg. at

TODAY‘S MENU (1) Background and motivation (2) Key Features of Austrian applied research system (3) Facts & Figures (4) Current priorities & digital aspects © FFG I Austrian Research Promotion Agency I www. ffg. at

SOME FACTS ABOUT THE AUSTRIAN ECONOMY Population 8. 9 Mio (Lithuania 2. 8 Mio) GDP per capita 43. 3 T€ (Lithuania 15. 4 T€) Share of Manufacturing 16. 6 % (Lithuania 17. 3%) © FFG I Austrian Research Promotion Agency I www. ffg. at

Lithuania: • Finished Products • Food • Machinery Austria: • Machinery • Chemicals • Manufactured Goods © FFG I Austrian Research Promotion Agency I www. ffg. at

AUSTRIA, AN EXCELLENT HUB, WIDELY RECOGNISED >> BY GLOBAL COMPANIES AND ORGANISATIONS • 314 headquarters • 1, 000 international companies such as Siemens or Hewlett-Packard • Approximately 40 international institutions with a focus on the CEE region • Outstanding Central and Eastern European know-how on the part of Austrian service providers such as banks and law firms • historically matured cultural understanding for the CEE region, political stability as well as transparent laws © istockphoto. com © FFG I Austrian Research Promotion Agency I www. ffg. at 5

AUSTRIA >> EXCELLENT EDUCATION POSSIBILITIES • Qualified Staff & Low youth unemployment • Dual education system • 22 public universities • 11 private universities • 21 universities of applied sciences © istockphoto. com / © boanet. at © FFG I Austrian Research Promotion Agency I www. ffg. at 6

AUSTRIA >> IS THE HOME OF HIGHLY SPECIALISED WORLD MARKET LEADERS 68 % of Austrian’s global leaders out of engineering • metal production and processing • chemical industry Export • 17, 5 % Key Enabling Technologies • 9, 7 % Environmental Technologies Source: BACI Daten, WIFO Berechnungen, 2012 © FFG I Austrian Research Promotion Agency I www. ffg. at 8

AUSTRIAN INNOVATION SYSTEM © FFG I Austrian Research Promotion Agency I www. ffg. at 9

EUROPEAN INNOVATION SCOREBOARD 2018 Summary Innovation Index (relative to EU 2010) Strong Innovator Rank 10 EIS 2018 © FFG I Austrian Research Promotion Agency I www. ffg. at 10

3. 5 3. 0 12, 336. 88 11, 679. 31 8, 066. 44 7, 479. 75 7, 548. 06 6, 867. 82 6, 318. 59 6, 029. 81 5, 249. 55 2, 000 3. 19 2. 5 6, 000 4, 000 3. 07 10, 743. 50 2. 43 3. 10 10, 444. 16 2. 37 2. 68 10, 099. 78 2. 38 2. 61 2. 96 9, 571. 28 8, 000 2. 17 2. 59 2. 93 9, 287. 84 10, 000 2. 74 3. 07 3. 16 R&D Quota [% of GDP] 2018: 3, 16% of GDP [EU-28 average 2, 1%] 12, 000 8, 276. 34 R&D Expenditures [Mio. €] R&D EXPENDITURES IN AUSTRIA 2. 0 1. 5 1. 0 0. 5 R&D Expenditures in Mio. € © FFG I Austrian Research Promotion Agency I www. ffg. at R&D Expenditures 8 201 7 201 6 201 5 201 4 201 3 201 2 201 1 201 0 201 9 200 8 200 7 200 6 200 200 5 0. 0 4 0 Source: Statistik Austria; Globalschätzung 2018 11

AUSTRIA: RESEARCH INTENSIVE COUNTRY © FFG I Austrian Research Promotion Agency I www. ffg. at • Austria GERD : 3, 14 % • Germany GERD: 2, 94 % 12

EC VISIT TO FFG SOURCES OF R&D FINANCING 3, 7 billion EUR © FFG I Austrian Research Promotion Agency I www. ffg. at 13

EC VISIT TO FFG » PROMOTES IN COMPETITION » FINANCING MODEL OF FTI POLICY Federal R&D expenditure; ESA/H 2020 returns: distribution by financing mode FWF 6% universities, RTOs 5% others* 16% companies 7% institutional and indirect research funding 2, 8 billion Euro 76 % of total expenditure ESA/H 2020 6% 2017 3, 7 billion Euro competitive research promotion: 0, 8 billion Euro 24 % of total expenditure tax credit 16% GUF („General University Funds“) 44% * esp. core financing RTOs, contributions to international organisations © FFG I Austrian Research Promotion Agency I www. ffg. at 14

EC VISIT TO FFG >> PROMOTING INNOVATION 2, 4 Supporting European Research Area EU: ESA/Horizon 2020 Strategic Programmes – structural transformation – R&I networks – human resources 3. 775 3. 477 57 funded projects funded organisations thereof 2. 288 companies thereof 1. 809 SMEs thereof 543 start ups international jurys Supporting finance ministry equity capital in FFGfunded projects 1, 5 billion Euro 6. 000 consultations 13 webinars direct FFG-funding (incl. broadband) 562 Mio. EUR excl. broadband billion Euro for applied research and broadband infrastructure in Austria 2017 Tax premium for companies 2. 715 certificates in million Euro Quelle: FFG-Gesamtförderung inkl. Breitband (123 Mio. Euro); FFGFörderstatistik 2017 © FFG I Austrian Research Promotion Agency I www. ffg. at 15

TYPES OF SUPPORT © FFG I Austrian Research Promotion Agency I www. ffg. at 16

FFG – CAPTURE GROWTH OPPORTUNITIES THROUGH INNOVATION FFG – 3 Key Activities 1. Funding at various stages of growth Nurturing Start Ups and Growing Businesses 2. Partnership – between large organisations, SMEs and academic institutions 3. Internationalisation – reaching out for new markets © FFG I Austrian Research Promotion Agency I www. ffg. at 17

FFG – 3 KEY ACTIVITIES Funding at various stages of growth. Nurturing Start ups and growing businesses 1. Grants 2. Loans 3. Vouchers 4. Consulting services 5. (Tax Premium – support for tax officers and Ministry of Finance) © FFG I Austrian Research Promotion Agency I www. ffg. at Partnership between LEs, SMEs and academic institutions Internationalisation reaching out for new markets 18

FFG – FUNDING >> CHARACTERISTICS - © FFG I Austrian Research Promotion Agency I www. ffg. at funding awarded on defined quality criteria and in a competitive procedure independent project selection and evaluation procedures leverage effect: funded companies have to bear significant parts of their own costs strict project monitoring (ex ante, midterm review, final review) periodical program-evaluation funding priorities & bottom up schemes international reputation: EU commission and OECD recognized some of our programs as best practice broad set of target groups and funding instruments 19

VARIOUS INSTRUMENTS AVAILABLE Funding range: - from TRL 2 to TRL 7/ TRL 8 Funding opportunities: - Instruments for project initiation - Instruments targeting collaborative research - Instruments dedicated to individuals © FFG I Austrian Research Promotion Agency I www. ffg. at 20

FFG » PROGRAMMES Entry Company projects Interface Science/Economy Flagship projects • Single firm project • Frontrunnner • Early Stage • Bridge • Cooperative projects with thematic focus • COMET (K-Projekt) • Model projects with thematic focus • Innovation labs with a thematic focus Innovation / Open Innovation R&D-Infrastructure Incubation / Start-up • Innovation labs without thematic focus • COIN networks • Impact Innovation • R&D infrastructure • Fellowship-programme • single firm project • Markt. Start Qualification Impulse Talents Broadband • Fo. Ko – Seminars • Fo. Ko – networks • Endowed professorships • Fo. Ko – lectures • Internships – pupils and students • Dissertations • Connect • Backhaul • Access • • • Innovation voucher Exploration Feasibility study Patent voucher Project. Start Research structures • • COMET(K 1/K 2) RSA – Research Studios COIN build up Laura Bassi © FFG I Austrian Research Promotion Agency I www. ffg. at 21

FFG – INSTRUMENTS European and International Programmes/Services © FFG I Austrian Research Promotion Agency I www. ffg. at 22

FFG – CAPTURE GROWTH OPPORTUNITIES THROUGH INNOVATION - PARTNERSHIP Partnership – between large organisations, SMEs and academic institutions FFG offers a range of Support Tools: 1. Collaborative Projects 2. Sector Specific Support 3. Centers of Excellence © FFG I Austrian Research Promotion Agency I www. ffg. at 23

R&D IN AUSTRIA >> SUPPORTED BY STRATEGIC PARTNERSHIPS Centers of Excellence, Industry Clusters and networks in Austria between Industry, SMEs and Academia Source: Cluster Platform Austria, 2014 © FFG I Austrian Research Promotion Agency I www. ffg. at 24

FUNDING AND SERVICES TO SUPPORT INTERNATIONAL STI COOPERATION >> more than 40 national research promotion programmes enable quick access to research funding services - 100 Joint Calls proposed, with more than 1. 400 proposals and more than 650 funded project - General openness for international participation - RTD cooperation project: international participation possible: up to 20% of budget or 400. 000€ - Dedicated programme for international cooperation: BEYOND EUROPE - FFG is the hub of the Austrian National Contact Points (NCPs) for Horizon 2020, offering training, coaching and consultancy for applicants and project participants © FFG I Austrian Research Promotion Agency I www. ffg. at 25

RESEARCH PRIORITIES/DIGITAL ASPECTS © FFG I Austrian Research Promotion Agency I www. ffg. at 26

FFG » FUNDING 2017 » THEMATIC PRIORITIES Other 84 Mio. €; 15% Space 8 Mio. €; 1% Energy, Environment 84 Mio. €; 15% Security 8 Mio. €; 1% 562 2017 100% = million Euro Production 130 Mio. €; 24% Mobility 70 Mio. €; 12% ICT 118 Mio. €; 21% Life Sciences 60 Mio. €; 11% Quelle: FFG-Gesamtförderung inkl. Breitband (123 Mio. €); FFG-Förderstatistik 2017 © FFG I Austrian Research Promotion Agency I www. ffg. at 27

CORE BUSINESS DIGITALISATION 450 in Mio. Euro 110% 390 400 350 303 310 287 90% 295 No or subordinate digital aspects 250 Strong digital aspects 100% 80% 70% 180 200 57% 51% Proportion of digitisation 150 60% 50% 39% 100 40% 50 30% 0 20% 2015 2016 Every 2 nd FFGFunded. Euro is invested in digital related projects! 2017 Quelle: FFG-Gesamtförderung mit Breitband; Angabe in Mio. €; FFG-Förderstatistik 2017 © FFG I Austrian Research Promotion Agency I www. ffg. at 28

FFG PORTFOLIO – FOCUS DIGITALISATION RESEARCH AND DEVELOPMENT ICT of the Future Production of the Future Mobility of the Future HUMAN RESOURCES DIFFUSION Digital Fit Bootcamps Digital Innovation Hubs Digital Fit Trainings AT. Net Broadband Austria 2000 INFRASTRUCTURE © FFG I Austrian Research Promotion Agency I www. ffg. at 29

WHICH DIGITAL TECHNOLOGIES? 2018 2017 2016 2015 5, 548, 393 5, 032, 016 7, 111, 036 WELTRAUM TELEKOMMUNIKATION 106, 747, 762 1, 910, 517 166, 486, 838 165, 554, 904 10, 812, 360 14, 929, 457 10, 549, 324 16, 781, 524 INDUSTRIELLE FERTIGUNG 32, 029, 800 44, 473, 427 47, 370, 611 41, 900, 936 IKT-ANWENDUNGEN 0 20, 000 40, 000 60, 000 80, 000100, 000120, 000140, 000160, 000180, 000 © FFG I Austrian Research Promotion Agency I www. ffg. at 30

LONGTERM OR SHORT TERM RESEARCH? longterm vs. short term research 26% 74% 1 year © FFG I Austrian Research Promotion Agency I www. ffg. at 3 -4 years 31

Ulrich Schuh Austrian EUREKA Team, HLR of AUSTRIA at EUREKA Network © FFG I Austrian Research Promotion Agency I www. ffg. at