University of Southern California School of Engineering Technology Transfer Center 1 International Tech Transfer David Rosenburg Cloning Silicon Valley Reuters (Person Education), 2002

University of Southern California School of Engineering Technology Transfer Center 2 SV not 128 Regional Advantage:Culture and Competition in Silicon Valley and Route 128, AnnaLee Saxenian, 1994, Harvard Press –128 -“autarkies proprietary knowledge, self sufficiency –SV- “Webs between entreprenuers, universities, VCs The SV model performs many functions outside of a formal group and draw on greater resources and enjoy greater flexability IP is shared widely, from a lunch break to a strategic alliance Employees move from company to company New firms are spun out of old ones SV based on two principles: proximity, and speed SV subcontract everything you can

University of Southern California School of Engineering Technology Transfer Center 3 Clones 105 areas Wired magazine found 46 worthy of rating Only 6 countries outside of US scored consistently in the top third –Britain –Finland –Israel –India –Singapore –Taiwan

University of Southern California School of Engineering Technology Transfer Center 4 Rosenburg Scale (Reuters)

University of Southern California School of Engineering Technology Transfer Center 5 Singapore $24,000 per capital GDP Economic growth 8% per year for 40 years Heritage Foundation worlds second freest economy IMD 2nd most competitive economy Economists Intelligence Unit #6 global business environments

University of Southern California School of Engineering Technology Transfer Center 6 How did they do it? One of the worlds most hospitable places for multinational companies Future needs –older industries up the value chain –better educated workforce –better infrastructure –transform disciplined team-players into free thinking, risk taking entrepreneurs –tech-savvy financiers –create regulatory environment friendly to small growing businesses –reduce barriers to imported labor

University of Southern California School of Engineering Technology Transfer Center 7 Next move Singapore is now too wealthy and educated for low value added industries How does a tiny county (250 square miles) create a Knowledge Based Economy KBE? Develop a virtual model of Silicon Valley –Singapore will be the nerve center –Network cluster that stretches from Korea to Australia

University of Southern California School of Engineering Technology Transfer Center 8 Shared Understanding Singapore is one big technology cluster Broadband is king High speed Internet and Multi media to every home Networking creates wealth not teamwork See Japan as too insular and culturally unfit for a cluster approach

University of Southern California School of Engineering Technology Transfer Center 9 Shared purpose Government and industry agree –Share labor resources of surrounding countries –Set up back offices in low cost Malaysia –Import management and technical talent from China and India –Venture capital encouraged to invest outside the country –Create 175 telecom service providers in 7 months –China is the market

University of Southern California School of Engineering Technology Transfer Center 10 Challenges Workforce is not Singaporeans and they are too obedient Only 2 % think of starting their own business “The existing work force cannot conceive of what might be, only what is” Jeff Goh CEO Lightspeed Technologies They have 90,000 IT professional and they will need 130,000 more over the next 5 years Cisco’s Asian IT work force is in Singapore and it rotates on a monthly as needed basis. Targeting High Schools Rote to Ruin

University of Southern California School of Engineering Technology Transfer Center 11 Taiwan “Taiwanese companies don’t start as local players before expanding into global markets; they begin as cogs in a global high-tech machine whose motor is the US.” A huge portion of the Taiwan entrepreneurial class did their graduate training and worked in the US before taking their skills and connections back home

University of Southern California School of Engineering Technology Transfer Center 12 Taiwan Excellence in Education Licensing from abroad Grew a venture capital community Highly integrated into Silicon Valley –Education –15% of all Taiwanese university graduates have done advanced work in the US. –3600 high tech SVrs have returned home 169 active VCs control $3.73B –some funds invest up to 15% in the U.S. –Provides access to the Taiwan Stock Exchange

University of Southern California School of Engineering Technology Transfer Center 13 Challenges 19th on IDC IT rating Rote to Ruin