Electronic presentation for Catania International Workshop, March

Key factors for R&D development :
The role of Catania University and STMicroelectronics
Carmelo Papa
Corporate Vice President
Emerging Markets General Manager
20 March 2004
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
International Workshop
•
•
•
•
•
•
•
Introduction
Key factors for development
The case of South Korea
Public and private research
ST at a glance
ST in Catania
Conclusions
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
STMicroelectronics
a global semiconductor
company
Sales by region % of 2003 sales
14 %
North
America
27 %
Europe
5%
Japan
2003 Sales : US$ 7.24 billion
2002 Sales : US$ 6.32 billion
over 44,500 employees
44 %
Asia Pacific
17 main production sites
16 advanced R&D centers
39 design and application centers
88 direct sales offices in 31 countries
10 %
Emerging
Markets*
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
* Eastern Europe, India, Africa, South America, Middle East
T.Campagna
Key Factors for development
• Infrastructures
Airports, roads, ports
• Government policy
Financial support, availability of investment agency
• Local R&D activity
Universities, Research Entities
• Human resources
Education system
• Local specialization
Presence of small, medium and large enterprises
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
THE PROGRESS OF THE NATIONS
GNP / Pro Capite (US $)
1998 Index
1963
1988
2002
Italy
860 $
48
13330 $
100
25000 $
123
USA
3280 $
67
19840 $
100
37600 $
125
Singapore
291 $
18
9070 $
100
24000 $
174
South Korea
127 $
19
3600 $
100
19400 $
350
GNP Pro Capite is in current dollars.
The index takes into account the inflation, therefore it gives a better indication of the
welfare of the nations than the GNP / pro capite
Source: 2002, 1988 : The world Almanac; 1963 : Enciclopedia Geografica Garazanti ; Inflation : Financial Times
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
3,50%
Private R&D Expenses
GNP/HEAD
3,00%
2,50%
2,00%
1,50%
1,00%
0,50%
A
G
re
ci
a
Sp
ag
na
Po
rto
ga
llo
IT
AL
I
an
da
Irl
UK
O
la
nd
a
Eu
(1
5)
Au
st
ria
Fr
an
cia
gi
o
Da
ni
m
ar
ca
Be
l
US
A
G
er
m
an
ia
G
ia
pp
on
e
la
nd
ia
Fi
n
Sv
ez
i
a
0,00%
1,20%
Public R&D Expenses
1,00%
GNP/HEAD
0,80%
0,60%
0,40%
0,20%
Source: Eurostat 2002
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
Lu
x
Uk
G
ia
pp
on
e
Po
rto
ga
llo
Au
st
ria
IT
AL
IA
Be
lg
io
G
re
ci
a
Irl
an
da
O
la
nd
a
Sv
ez
ia
Da
ni
m
ar
ca
Eu
-1
5
Sp
ag
na
an
ia
Us
a
G
er
m
Fi
n
la
nd
ia
Fr
an
cia
0,00%
Research in Italy
(M€)
Private
Public
5701,68
495,80
3181,37
2096,81
SICILY
30,47
294,38
SARDINIA
14,4
148
NORTH
SOUTH
Source: ISTAT 1997
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
Permanent Effort for R&D
Berkeley
Ottawa
San Diego
Carrollton
Phoenix
Brussels
Geneva
Crolles, Grenoble
Bristol
Tours
Rousset
Castelletto
Catania Agrate
Noida
ST R&D at a glance
• 1022 M$ in 2003 (16 % of sales)
• 7500 people worldwide
• 3800 people in Central R&D
• 3000 CAD seats
• 2 main VSLI development centers
• 14 local technology/design dedicated centers
CR&D
Local center
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
Research activity in Catania
43 projects with Universities and others entities
(L.297/99 ; L.488/92 ; 5°- 6° FW EU)
Universities,
CNR, etc
ST
Enterprises
ST extramuros
ST
M€
M€
M€
M€
extra-muros
Others enterprises
Universities and other public entities
142
6
39
25
TOTAL COST
206 M€
YTD: December 2003
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
Academic Research inside ST Catania
CATANIA UNIVERSITY
• DIEES Automation
• DIEES RF ADG
IMM Bologna
ex LAMEL
SUPERLAB
IMM Roma
ex PSM
CNR IMM
 Total floor area over 1000 m2
I.M.M.
Headquarters Catania
coordinates
- Ex IMETEM Catania
- Ex IME
Lecce
- Ex PSM
Roma
- Ex LAMEL
Bologna
- Ex IRECE
Napoli
IMM Lecce
ex IME
IMM Napoli
ex IRECE
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
IMM Catania
ex IMETEM
T.Campagna
Employees with a Degree
STMicroelectronics Catania
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
TOT
29
42
61
51
29
67
80
170
184
112
143
98
1066
Physics
5
8
17
24
13
29
31
49
59
35
19
11
300
Chemistry
1
2
2
4
3
4
12
29
30
15
22
1
125
Computer
Science
0
0
2
2
0
8
8
57
80
35
51
42
285
Other
5
7
18
17
6
4
7
20
48
34
23
15
204
TOTAL
40
59
100
98
51
112
138
325
401
231
258
167
1980
Electronic
Engineering
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
Microelectronics Industry Structure
Raw
Materials
Materie
prime
Services
Servizi
Equipment
Imprese Microelectronics
del settore microelettronico
Industry
Distributors
Dealers
Retailers
Prodotti di
Consumer
consumo
Original
Equipment
Manufactures
Manufacturers
Telecommunications
Computer
EMS
(Contract
Manufactures
Manufacturers)
Automotive
Automobile
Applicazioni
Industrial
industriali
CONSUMATORE
END CONSUMER
FINALE
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
STMicroelectronics impact effect
on Catania development
• Attracting international suppliers
• Contributing to local suppliers
growth
• Spinning off new entrepreneurial
ventures
• Attracting new hi-tech ventures in
other technology - based industries
Alcatel, Applied Materials, Canon,
Olin, Submicro-System, Tegal,
Watkins-Jonson … Total 22 TNC
Elmec, E.T.C., Marconi Impianti
Meridionale Impianti, Phoenix
Elettronica, ...
Advice Hitec, Ion Beam, S.A.T.,
Tecnos Media-Dintel, ...
Accent, CRF, Nokia, Magneti
Marelli (Power Train), Maxim
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna
Conclusions
•
The presence of a good University is essential for the location
of High-tech Companies
•
Good laws should be applied to foster the collaboration
•
Quite quickly the High-tech Companies exceed the capabilities
of the public entities whose bottle neck can stop the development
•
The national competitiveness becomes eventually the limit for
further developments
Public Research Institutions, International Business and Technological and Economic Catch Up in Developing Regions
T.Campagna