2 SYMPOSIUM ON ASSESSING THE ECONOMIC IMPACT OF NANOTECHNOLOGY: SYNTHESIS REPORT This report of the Washington Symposium is dedicated to the memory of Dr. Jung Il Lee, who died suddenly and unexpectedly in March 2012 on the way to the symposium. Dr. Jung Il Lee was the Director of the Heritage Science and Technology Centre at the Korean Institute of Science and Technology (KIST), and led the Korean delegation to the OECD Working Party on Nanotechnology. His invaluable contribution, energy, enthusiasm, generosity and sense of humour, are sorely missed. His deep involvement in issues related to business environments and green growth, in particular on issues related to the impact assessment of nanotechnology, greatly contributed to the success of the symposium and the broader progress made by the Working Party on Nanotechnology. Dr. Jung Il Lee was very active in nanotechnology activities worldwide. His loss is very much felt, both in Korea and in the wider international community. 이 워싱턴 심포지엄 보고서를, 2012년 3월 심포지엄 참석 도중 파리에서 불의의 사고로 돌아가신 고 이정일 박사님께 바칩니다. 고인은 한국과학기술연구원(KIST)의 전통과학기술사업단장으로 재직하시면서, 오랫 동안 OECD 나노기술작업반의 한국대표로 활동해 오셨습니다. 고인의 소중한 기여, 에너지, 열정, 관대함, 그리고 유머까지도 그리울 것입니다. 기업환경과 녹색성장, 특히 나노기술의 영향분석과 관련된 이슈들에 대한 고인의 적극적인 참여는 심포지엄의 성공적인 개최와 나노기술작업반의 광범위한 진전에 크게 기여하였습니다. 고인은 전세계적인 나노기술 관련 활동들에도 매우 적극적이셨습니다. 고인을 잃은 슬픔은 한국뿐 아니라 국제 사회에서도 이루 말할 수 없이 큽니다. 3 SYMPOSIUM ON ASSESSING THE ECONOMIC IMPACT OF NANOTECHNOLOGY: SYNTHESIS REPORT FOREWORD The Organisation for Economic Co-operation and Development (OECD) and the United States National Nanotechnology Initiative (NNI) held an international symposium, Assessing the Economic Impact of Nanotechnology, in March 2012. Hosted by the American Association for the Advancement of Science (AAAS) in Washington DC, it brought together participants from the public and private sectors with expertise all along the nanotechnology value chain – scientists, engineers, policy analysts, private investors, technology leaders, and the general public – from both OECD and emerging economies. The symposium was organised around expert talks and discussions on issues, such as the role of research funding portfolios; intellectual property frameworks; private-sector and industry investments; patents and publications; venture capital; public-private partnerships; state and local initiatives; international co-operation; and development metrics for nanotechnology. In addition to plenary talks, sector-specific breakout sessions were organised in transport and aerospace, nanomedicine, electronics, energy, materials, and food and food packaging. This synthesis report aims to summarise the discussions and key messages from the symposium. It also draws on four background reports that were developed for the symposium: Challenges for Governments in Evaluating Return on Investment from Nanotechnology and its Broader Economic Impact, by Eleanor O'Rourke and Mark Morrison, Institute of Nanotechnology, United Kingdom Finance and Investor Models in Nanotechnology”, by Tom Crawley, Pekka Koponen, Lauri Tolvas and Terhi Marttila, Spinverse, Finland The Economic Contributions of Nanotechnology to Green and Sustainable Growth, by Philip Shapira*#+ and Jan Youtie#+; * University of Manchester, UK; #Arizona State University, USA; and + Georgia Institute of Technology, USA Models, Tools and Metrics Available to Assess the Economic Impact of Nanotechnology,by Katherine Bojczcuk and Ben Walsh, Oakdene Hollins, United Kingdom The report was developed by Marie-Ange Baucher and Richard Scott from the OECD and Chris Cannizzaro, Stacey Standridge, Elizabeth Nesbitt, and Tarek Fadel from the NNI. The OECD and NNI are grateful to those who gave their time to review this report. The report does not necessarily represent the views of the NNI, the OECD, the AAAS; a consensus among participants; or the views of the sponsoring organisation, the National Science Foundation. 4 SYMPOSIUM ON ASSESSING THE ECONOMIC IMPACT OF NANOTECHNOLOGY: SYNTHESIS REPORT TABLE OF CONTENTS Executive Summary ................................................................................................................................... 7 Investment in nanotechnology.................................................................................................................. 7 Challenges for assessing the economic impact of nanotechnology .......................................................... 8 Valuing nanotechnology .......................................................................................................................... 9 Conclusions ............................................................................................................................................ 10 Introduction to the Symposium .............................................................................................................. 11 Opening words ....................................................................................................................................... 11 Setting the scene ....................................................................................................................................... 14 Economic rationale and strategies for an advanced manufacturing sector ............................................. 14 Challenges for evaluating return on investment in nanotechnology and its broader economic impact .... 16 Investment in and impact of nanotechnology: a policy perspective .................................................... 19 Brazil ...................................................................................................................................................... 20 European Union ...................................................................................................................................... 21 India ........................................................................................................................................................ 22 Japan ....................................................................................................................................................... 24 South Africa ........................................................................................................................................... 26 United States .......................................................................................................................................... 27 Finance and investor models in nanotechnology ................................................................................... 29 The impact of nanotechnology on green growth ................................................................................... 32 Nanotechnology research directions for social needs in 2020 .............................................................. 35 Nanotechnology, standards, socioeconomic interaction and regulation ............................................. 36 International standards in support of nanotechnology development ...................................................... 36 Nanotechnology and the race for regulatory certainty ........................................................................... 38 Socioeconomic dynamics of innovation and uptake .............................................................................. 40 Approaches to valuing and investing in nanotechnology ..................................................................... 42 A conceptual and methodological framework for statistics on nanotechnology and other technological areas ................................................................................................................................. 43 Models, tools and metrics to assess the economic impact of nanotechnology ....................................... 45 Science of science and innovation policies applied to nanotechnology ................................................. 48 Redesigning science and innovation systems ......................................................................................... 51 Exploring the qualitative and quantitative dimensions of the economic impact of nanotechnology ......................................................................................................................................... 53 Transport and aerospace ......................................................................................................................... 53 Nanomedicine......................................................................................................................................... 56 Electronics .............................................................................................................................................. 59 Energy .................................................................................................................................................... 61 Advanced materials ................................................................................................................................ 64 Food and food packaging ....................................................................................................................... 66 NOTES .......................................................................................................................................................... 70 ANNEX I: SYMPOSIUM AGENDA ........................................................................................................... 71 ANNEX II: PARTICIPANT