SSTI Digest

Despite the global growth of the industry over the past few decades, U.S. venture capital remains as concentrated as ever in the Silicon Valley region, and to a lesser extent, Massachusetts. Of the 87 venture capital firms included in the PricewaterhouseCoopers list of most active firms of 2008, 40 firms (46 percent) were located in Silicon Valley and San Francisco; only one California firm was located outside of that region (Santa Monica); another 18 of the most active firms were located in Massachusetts. The dominance of Silicon Valley and Massachusetts also are reflected in the number of deals and dollars invested in local companies (see the April 18, 2008 issue of the Digest). When companies in other regions are able to obtain venture capital, the source of that funding is often a VC firm in Silicon Valley, Massachusetts or one of the few other select venture hotspots. A new study, however, suggests that although it may be more difficult for companies outside of those regions to obtain VC, proximity to venture firms has little to do with the overall amount of capital a company obtains from an individual firm. In "Geography and the Structure of Venture…

W. Steven Burke is the new president of Biofuels Center of North Carolina. Bill Gimson has been named executive director of the Cancer Prevention and Research Institute of Texas. Gimson recently retired as the chief operating officer of the Centers for Disease Control and Prevention. Jeremy Hill has been named the director of the Center for Economic Development and Business Research at Wichita State University. Hill replaces Janet Harrah, who left the post for Northern Kentucky University. Jack Jewett, a former president of the Arizona Board of Regents and five-term member of the Arizona House of Representatives, was chosen as the president and chief executive officer of the Flinn Foundation. He succeeds retiring president and CEO John Murphy, who has led the foundation since 1981. Jewett will assume the position in June. Judith Krauthamer has been appointed executive director of the Mid-Atlantic Coastal Ocean Observing Regional Association. The Angel Capital Association (ACA) and Angel Capital Education Foundation (ACEF) has named William Payne, ACA founder and active participant in four angel groups, as the recipient of the 2009 Hans…

The role of a technology incubator or accelerator for supporting nascent firms generally is regarded with the utmost importance by the tech-based economic development community. Tech incubators provide essential resources for startup companies to develop and commercialize new technologies, leading to the creation of high-quality jobs. With estimates suggesting there could be as many as 5,000 incubators of all shapes and sizes worldwide, finding the latest and best practices for tech business incubation could be a challenge. Fortunately, award programs, such as the currently open SSTI's 3rd Annual Excellence in TBED Award, can help call attention to some of the most successful approaches. The longest running award program for incubation is offered by the National Business Incubation Association (NBIA), which recently announced its top incubation programs, clients and graduates as part of its 2009 awards competition. San Jose BioCenter was named the 2009 Randall M. Whaley Incubator of the Year, the organization's most prestigious honor for technology incubators. The BioCenter and the six other award recipients were recognized at a ceremony during NBIA's 23rd annual…

In the midst of a national economic recession contributing to a record number of job losses in traditional industries, forward thinking states are exploring ideas and committing funds to help grow and diversify their economies and strengthen their renewable energy portfolios. Over the past several months, governors, legislators and economic development groups have announced new initiatives aimed at job growth and energy independence in the new economy. The following overview provides a sampling of green energy initiatives and investments from numerous proposals and announcements across the nation. Arizona Science Foundation Arizona (SFAz) announced a recent investment of $4 million to support five science-based businesses in the solar industry, according to an article in The Arizona Republic. SFAz also formed a new branch called the Solar Technology Institute to further support the industry. Projects approved for funding include development of reflectors that concentrate sunlight on solar panels, expansion of a photovoltaic testing laboratory, and development of software to help determine where to build power plants, storage sites and other energy…

One of the biggest challenges for green technologies and products is breaking into the market. Achieving the critical mass that allows production volume to drive down prices is difficult, particularly when the commodity being sold is, at least initially, more expensive to make because more of the actual cost of production is captured in the green company's business model. Successful state, university and local TBED strategies to grow green(er) companies help fund product demonstrations and early adoption strategies to help with market penetration.  In Toronto, a broad group of CEOs took matters into their own hands.  Greening Greater Toronto has announced the creation of a working group comprised of more than 25 senior executives who will encourage and lead other organizations to buy products and services that minimize environmental impact and create green jobs. The working group, called the Green Procurement Leadership Council, represents approximately $40 billion in annual buying power. In addition to creating the Green Procurement Leadership Council, Greening Greater Toronto plans to: Host the Green Procurements Marketplace event…

On March 12 from 1:00-5:00 p.m. in San Francisco, SSTI is co-hosting a meeting with officials from the Technology Innovation Program (TIP) and the Manufacturing Extension Partnership (MEP) that we would encourage you or one of your colleagues to attend. TIP and MEP are two of the most market-driven programs operated by the federal government. Both programs have launched new investments and innovative services in the last year. Registration and additional information is available at: http://www.ssti.org/tipreg/tipreg.htm.

On March 12 from 1:00-5:00 p.m. in San Francisco, SSTI is co-hosting a meeting with officials from the Technology Innovation Program (TIP) and the Manufacturing Extension Partnership (MEP) that we would encourage you or one of your colleagues to attend. TIP and MEP are two of the most market-driven programs operated by the federal government. Both programs have launched new investments and innovative services in the last year. The meeting will give you a chance to learn about: New federal funding opportunities; New resources to support early-stage research; New products and services to expand manufacturing; New tools to help foster growth and innovation in companies you work with; New models to accelerate technology commercialization and translation; and New ideas about ways to integrate state, local,and federal investments. Who should attend? Company officials responsible for new product development; Local and regional economic developers interested in innovation; University technology transfer officials; Managers from non-profits interested in commercialization of new technologies; and State agency technology program managers. …

Massachusetts Gov. Deval Patrick's secretary of Housing and Economic Development, Daniel O'Connell, resigned for personal reasons and was replaced by Greg Bialecki, an undersecretary who has been responsible for business development SRI International announced that Stephen Ciesinski has been appointed Vice President of Strategic Business Development. John Fremstad has left his post at the Metro Orlando Economic Development Commission to join the BE&K Building Group. Maryland Gov. Martin O'Malley announced the appointment of Christian Johansson, a Harvard University-educated entrepreneur who most recently ran a Baltimore-based business and government alliance, as the secretary of the Department of Business and Economic Development. Johansson, who must be confirmed by the Senate, would replace David Edgerley. The South Dakota Wind Energy Association, a group geared toward supporting the development of wind energy in South Dakota, has been established. Suzy Ticknor joined Oak Ridge National Laboratory as the director of the Industrial Partnership Program. Previously she was vice president of the Council on Competitiveness.

Gov. Jim Douglas plans to merge the Vermont Departments of Economic Development and Housing and Community Affairs. Douglas's deputy chief of staff Betsy Bishop was appointed commissioner of the Department of Economic Development. She replaces Mike Quinn, who stepped down after serving six years in the position. Linda Brander resigns as program manager of the Montana Technology Innovation Partnership Program to begin a new job as the Restoration Coordinator at the Department of Natural Resources and Conservation. John Collar has been named Executive Director of the Colorado BioScience Association. The Tech Council of Maryland has announced that chief executive office Julie Conns is resigning her post. Matt Dugener resigned from the LEAP (Lansing Economic Area Partnership). Denyse Ferguson, Executive Vice President, has agreed to serve as the interim president. Governor Brad Henry of Oklahoma has been elected chairman of the Southern Growth Policies Board. Saul Kaplan resigned as the executive director of the Rhode Island Economic Development Corporation. Kelsey Kohler has left her position as executive director of the…

Oregon Oregon Governor Ted Kulongoski has unveiled a suite of policies to address global climate change and support the state's renewable energy and clean technology industries. His proposals include instituting a cap and trade system for carbon emissions, improving the energy efficiency of commercial and residential construction, and tax credits for energy-conscious investments. The governor hopes to see the climate plan passed by the legislature in the coming year. The governor's recommendations include: Participating in a regional cap and trade program that would go into effect in 2012; Giving local governments bonding authority for energy efficiency projects; Expanding the Business Energy Tax Credit (BETC) and creating a BETC Energy Fund to support renewable energy projects; and Creating an incentive pilot program for solar energy that would pay for the electricity produced by solar projects, instead of a traditional program offering capital investments. Governor Kulongoski says the plan will cost an estimated $10 million, and will be possible despite the current economic crisis. The governor maintains that by investing in new energy…

The outcome of Tuesday's election resulted in several wins and some defeats for TBED among the more than 150 ballot measures presented to voters across the nation. Outlined below are the unofficial election results of select ballot measures from each state's respective election office and local media reports as of Wednesday, Nov. 5. More detailed information on the measures is provided in last week's issue of the Digest, which is available at: http://www.ssti.org/Digest/2008/102908.htm#election. Arkansas Voters approved 63 percent to 37 percent a constitutional amendment authorizing the General Assembly to establish, operate and regulate state lotteries to fund scholarships and grants for residents enrolled in two- and four-year colleges and universities in the state. Voters also approved a measure to shift the state's budgeting from a two-year cycle to an annual cycle. California Two measures supporting renewable energy were defeated by California voters. Proposition 7, requiring public and private utilities to generate a percentage of their power from renewable energy, was defeated 65 percent to 35 percent. Proposition 10, authorizing the state to…

While the Presidential election takes center stage on November 4, voters in several states also will cast their votes on statewide ballot issues affecting the TBED community. In addition to the 11 gubernatorial races and more than 5,800 state legislative seats up for grabs, voters across the nation will consider measures to provide funding for public education, expand investment in alternative and renewable energy, lift restrictions on stem-cell research, and eliminate income tax and state spending caps. Following is a summary of selected ballot issues from across the nation. Funding Public Education Florida Florida voters will be asked to amend the state constitution to require that the legislature authorize counties to levy a local option sales tax to supplement funding for public community colleges. Ballot question 8 requires voter approval to levy the tax. Maryland A proposal in Maryland asks voters to approve an amendment to the state constitution authorizing video lottery terminal gaming to provide funds for public education. Question 2 legalizes up to 15,000 machines at sites in four counties and the city of Baltimore. HB 4 requires…