Search

STEM degrees lead to higher salaries and more employment opportunities than other degrees, according to the National Center for Education Statistics (NCES). Despite these economic advantages, only 16 percent of 2008 graduates received a STEM degree. The lack of workers with STEM skills has created a difficult hiring environment for many U.S. firms. A recent Brookings Institution study reveals that the lack of STEM graduates has meant that STEM job postings take twice as long to fill as other postings.

In addition to the recent announcement of the U.S. Department of Energy’s Clean Energy Incubator program, several other countries announced initiatives that will provide financial and other resources to support innovation incubator and accelerator programs that help cultivate new tech startups and increase economic growth. Nations that made recent announcements include Canada, United Kingdom, and New Zealand.

About 74 percent of U.S. residents with a bachelor’s degree in science, technology, engineering and math (STEM) fields are not employed in STEM occupations, according to data from the U.S. Census Bureau’s American Community Survey. While STEM graduates are less likely to be unemployed, they generally find careers outside of science and technology.

Over the next three years, the National Institute for Standards and Technology (NIST) Hollings Manufacturing Extension Partnership (MEP) plans to hold open competitions for MEP center cooperative agreements in all 50 states and Puerto Rico. The process will begin with a demonstration program this summer, in which competitions will be held in six to 10 states in each of MEP’s six regions.

As Congress continues negotiations over the FY15 federal budget, SSTI is hard at work trying to secure additional funding for the Regional Innovation program. The Regional Innovation Program was authorized under the American COMPETES Act and is designed to provide funding to support regional innovation activities. The Senate has approved $20 million for the program for FY2015, while the House did not provide any funding for the program. SSTI has prepared a support letter to Congressional leaders and is seeking organizations to sign on to the letter.

New York Gov. Andrew Cuomo announced the creation of the Power Electronics Manufacturing Consortium, a 100-member public-private partnership between public research universities, private sector companies, and other research partners to develop next generation of materials and processes used in the manufacturing of wide band gap semiconductors.

As the world becomes more globally connected, both public and private entities have turned their attention to foreign markets in the hopes of spurring innovation, capital creation, and economic prosperity. Whether their effort is developing international business partnerships, attempting to attract foreign direct investment (FDI), investing in startups, or taking advantage of international demand, the entities establishing these initiatives view long-term economic success for both firms and regions as dependent upon entering the global market place.

Several scholarly articles published within the past few months highlight the role that entrepreneurship, high-tech employment, and place play in both economic growth and economic development. In a landscape where seemingly every place desires the successes found in the Silicon Valley model, new frameworks that support the economic efficacy of human capital, entrepreneurship, and place are needed to encourage innovation and prosperity.

Anchored by the largest ever investment since the MoneyTree Report began covering venture capital investment in 1995, the $13 billion total dollars invested in the second quarter of 2014 marks the largest total quarterly investment since $13.1 billion was invested in the first quarter of 2001, according to new data from the National Venture Capital Association (NVCA) and PricewaterhouseCoopers (PWC) MoneyTree survey. Likewise, the $22.7 billion invested in the first half of 2014 is the highest first half total since 2001.

JPMorgan Chase & Co. launched Small Business Forward℠ — a five-year, $30 million grant program to help industry cluster initiatives in cities across the country.  Through Small Business Forward, JPMorgan Chase will fund nonprofit organizations that work with small businesses concentrated in a single industry sector.

President Barack Obama signed the Workforce Innovation and Opportunity Act (WIOA) into law on July 22 – a federal-wide reform effort designed to help job seekers access employment, education, training, and support services to succeed in the labor market and to match employers with the skilled workers they need to compete in the global economy. WIOA is the first legislative reform in 15 years of the public workforce system.

The Federal Communications Commission (FCC) has released its latest broadband report. The report provides summarized data on Internet access connections in the U.S. (over 200 kilobits per second in at least one direction). Key findings include the number of broadband connections with downstream speeds of at least 10 Mbps increased by 118% in the U.S. between June 2012 and June 2013.

The White House Rural Council has launched a $10 billion rural economic development fund. This launch was announced last Thursday at the Rural Opportunity Investment Conference held in Washington D.C. CoBank, a Denver-based national cooperative bank, serves as the anchor investor of the fund that will be managed by Capitol Peak Asset Management. Capitol will also recruit additional institutional investors to the fund including pension funds, endowments, and foundations that are interested in investing in rural areas.

In an increasingly globalized marketplace, the ability to penetrate the ultra-valuable U.S. market is still an end goal for companies throughout the world. Since the early 2000s, foreign governments have opened accelerators as one mechanism to provide funding, mentorship, and additional support for young firms hoping to enter the U.S. market. Although many of these accelerators feature common characteristics, each has its own strategy for best reaching the needs of its young and promising companies.

In 2011, U.S.-located companies spent $29.6 billion for extramural (purchased and collaborative) research and development performed by mostly domestic organizations, according to a National Science Foundation (NSF) InfoBrief. Approximately $24 billion in R&D spending was purchased R&D. The additional $5.6 billion was payments to R&D collaborators.

The Office of Science and Technology Policy announced a public comment period that will assist in the development of an upcoming update of the Strategy for American Innovation. Via a notice of Request for Information (RFI), individuals and organizations have the opportunity to provide input on one or more of nine topic areas:

The Manufacturing Extension Partnership (MEP) released federal funding opportunity award competitions for the operation of MEP state centers. States up for competition include Colorado, Connecticut, Indiana, Michigan, New Hampshire, North Carolina, Oregon, Tennessee, Texas, and Virginia.

Between 2000 and 2010, about one-third of U.S. manufacturing employment – approximately five million jobs – were lost as a result of new technologies in the manufacturing process or competition from abroad, according to The Brookings Institution.

In an SSTI Digest article last month, SSTI detailed the most recent MoneyTree reports from National Venture Capital Association (NVCA) and PricewaterhouseCoopers (PWC). Halfway through FY 2014, U.S. venture capital investments reached $22.7 billion, the highest first-half total since 2001. Using halves of fiscal years as the unit of analysis, this Digest article examines each state’s share of venture capital dollars and deals since 2010.

On August 1, the Massachusetts lawmakers enacted a comprehensive economic development bill (H.4377). The bill currently awaits Gov. Deval Patrick’s approval. Per state law, Gov. Patrick has until August 14 to sign the bill, 10 days after he received it. The approved bill that received unanimous approval by the Massachusetts state Senate was passed as a comprise package between two bills proposed in the Senate and House.

The Manufacturing Institute announced that it is accepting applications for the 2015 STEP Awards program, a national awards program to honor women who have demonstrated excellence and leadership in manufacturing. Part of the Science, Technology, Engineering and Production (STEP) Ahead initiative, STEP Awards aim to recognize women at all levels of manufacturing. These awards illustrate the widespread impact women have on shaping the industry, whether they are running the company, designing the next big product, or testing innovations on the shop floor.

The Angel Resource Institute (ARI), Silicon Valley Bank (SVB) and CB Insights released the Halo Report for the first quarter (Q1) of 2014. The national survey of angel group investment activity reported encouraging results as both investments and valuations climbed in Q1— median round sizes increased to $980K per deal up from 2013 averages, and pre-money valuations rose to $2.7 million from $2.5 million in Q4 of 2013. The climb was driven mostly by investments in Internet-related companies that jumped significantly.

To compete in the global world market, regions must continue to evolve and better understand how best practices support their regional industries, including defining the benchmarks of a successful industry cluster. In a recent academic article from Harvard researchers, Mercedes Delgado, Michael Porter, and Scott Stern unveiled a new algorithm tool that generates and assesses sets of cluster definitions. The new algorithm will be integrated into the U.S. Cluster Mapping Project to help researchers and policymakers cultivate more successful regional clusters.