Written evidence submitted by UK Computing
Research Committee (UKCRC) (TIC 30)
DECLARATION OF
INTERESTS
1. Our evidence covers UK research in computing,
which is internationally strong and vigorous, and a major national
asset.
2. The UK Computing
Research Committee (UKCRC), an Expert Panel of the British Computer
Society, the Institution of Engineering and Technology and the
Council of Professors and Heads of Computing, was formed in November
2000 as a policy committee for computing research in the UK. Its
members are leading computing researchers from UK academia and
industry. Our evidence reflects the experience of researchers
who each have an established international reputation in computing.
3. The UK has
always been exceptionally strong in computing research: the first
modern computer was developed at Manchester University and ran
its first program in June 1948; since that time, the UK has played
a part in almost all the scientific and engineering advances in
computing. Computer systems have transformed modern life, but
the world is still in the early stages of discovering, inventing
and exploiting its full potential. UK computing research remains
worldclass,[35]
and is a national asset that enhances the UK's international prestige,
attracts inwards investment, and supports innovation for wealth
creation and improved quality of life.
4. Computing
is at the heart of almost every Government policy because almost
every such policy requires new, and usually very complex, IT systems.
What is the Fraunhofer model and would it be applicable
to the UK?
5. The Fraunhofer
Society is a collection of 59 Institutes in Germany, each institute
being responsible for a particular area of applied research. The
funding model for these Institutes has one third of income coming
from government and the remaining two thirds coming from contract
research derived from industry and the public sector. The 2009
Annual Report states: "…more than €1.3 billion
is generated through contract research. Two thirds of the Fraunhofer
Gesellschaft's contract research revenue is derived from contracts
with industry and from publicly financed research projects. Only
one third is contributed by the German federal and Länder
governments in the form of base funding, enabling the institutes
to work ahead on solutions to problems that will not become acutely
relevant to industry and society until five or ten years from
now".
6. The Fraunhofer
Institutes employ approximately 17,000 staff, mostly qualified
scientists and engineers. Institutes working in related areas
form Fraunhofer Groups. Current groups are (i) Information and
Communication Technology (ICT), (ii) Life Sciences, (iii) Light
and Surfaces, (iv) Microelectronics, (v) Production, (vi) Defense
and Security, and (vii) Materials and Components.
7. The ICT
Group claims to be largest ICT research group in Europe, and "serves
as a one-stop shop for industrial customers and media enterprises".
Identified business areas within ICT include (i) digital media,
(ii) e-business, (iii) egovernment, (iv) communications systems,
(v) energy and sustainability, (vi) medicine, (vii) production,
(viii) Security, (ix) financial service providers, and (x) automotive.
8. Patent license
revenue was €78 million, the majority of which is derived
from the patents relating to the MP3 audio coder/decoder (e.g.
MP3 players such as the iPod), the most common digital audio file
format. We note that patent licensing does not provide a significant
portion of the Fraunhofer budget.
9. The Fraunhofer
Institutes now include international collaboration, including
the location of Centres and Offices in Europe, Asia, the USA and
the Middle East.
10. The UK
has traditionally had a reputation for excellent research, but
a poorer reputation for commercialization of this research. This
has been long recognized and a number of initiatives have been
introduced to address this issue. A Fraunhofer-like model would
offer another means to address this issue.
11. We note that compared with Germany, the UK
is weaker in manufacturing and stronger in applied ICT and services.
The UK has a greater need for export-led growth, and there is
therefore a need for an even stronger linkage with businesses
capable of applying ICT.
Are there existing Fraunhofer-type research centres
within the UK, and if so, are they effective?
12.
The Hauser Report identified a number
of Fraunhofer-type research centres in the UK, including the Manufacturing
Technology Centre at Ansty, and the Advanced Manufacturing Research
Centre. We are unaware of any such centres related to ICT. The
Hauser Report identifies MediaCityUK as an example of a sector/market
focused example of a Technology Innovation Centre (TIC) in the
UK. However, while MediaCityUK offers a "purpose built home
for creative and digital business", ie it is a property development,
it does not provide a funding mechanism for applied R&D.
13. The Hauser
Report also correctly identifies the lack of a national strategy,
national coordination, and unified branding. Moreover, because
existing centres are funded from a variety of sources with different
agendas, "[t]here is currently no overall framework of criteria
and metrics for measuring the performance of TICs in the UK, and
to assist in the benchmarking of their performance".
14. We note
that the TSB and other organisation have traditionally funded
projects, and such a funding model is not suitable for establishing
R&D institutes.
What other models are there for research centres
oriented toward applications and results?
15.
The UK's universities have a significant
effort directed towards technology transfer. However, this capability
seldom extends beyond technology readiness level (TRL) 4, ie validation
in laboratory environment. It is rare to include validation in
a relevant environment, and prototype demonstrations.
16. The Media
Institute is a model being established by a number of London Universities
to create a Technology Innovation Centre for the UK's Media Sector.
The Institute's researchers will be seconded from universities.
This has the advantages of (i) no career disruption, (ii) guarantee
of regular employment of fresh researchers with expert knowledge
of specific, identified, industry issues, (iii) little or no competition
in funding from Research Councils, (iv) close cooperation between
the Institute and UK universities, and (v) ability to engage PhDs
in Institute research. Foreground IPR will be owned by the Media
Institute and used as a means to quantify key performance indicators
and to defend UK industry. The business plan specifically omits
IPR licensing revenue to ensure a focus on public intent to promote
national growth.
Whose role should it be to coordinate research
in a UK-wide network of innovation centres?
17.
The Technology Strategy Board (TSB)'s role
is to "stimulate technology-enabled innovation in the areas
which offer the greatest scope for boosting UK growth and productivity.
We promote, support and invest in technology research, development
and commercialisation. We spread knowledge, bringing people together
to solve problems or make new advances." As such, it seems
very well placed to coordinate and manage a UK-wide network of
innovation centres.
18. However,
the Fraunhofer model includes a core stream of 33% of income where
such centres conduct basic research, even if such basic research
is application-oriented. This overlaps with the remit of the UK
Research Councils (UKRC). It is imperative that the respective
Research Councils coordinate and manage such research. Moreover,
funding for any Fraunhofer-based centres should not reduce funding
for basic research, nor reduce the funding available to the UKRCs
for fundamental research.
What effect would the introduction of Fraunhofer-type
institutes have on the work of Public Sector Research Establishments
and other existing research centres that undertake government
sponsored research?
19.
If "public sector research establishments"
refer to, for example, NPL, AWE, Culham, and Dstl, we do not expect
to see any affect with regard to ICT.
20.
However, if "public sector research establishments"
refer to UK universities, any effect would depend very much on
the mission of such institutes. As stated above, the current Fraunhofer
Institutes allocate approximately one third of their budget to
"enable the institutes to work ahead on solutions to problems
that will not become acutely relevant to industry and society
until five or 10 years from now". This mission has considerable
overlap with that of existing UKRCs. Great care should be taken
to ensure that long range research remains under the control of
the UKRCs and is not dispersed across other organizations.
21. The
German Fraunhofer Institutes receive two-thirds of their income
from contract research. This funding is a mixture of both public
and private contract research. It is possible that Fraunhofer-like
institutes could be in direct competition with UK universities
for funding.
EVIDENCE
22. UKCRC
would be pleased to provide further detail of any of the issues
raised above, either in writing or by way of oral evidence.
Ingemar J Cox
UK Computing Research Committee (UKCRC)
December 2010
35 This has been confirmed by successive EPSRC International
Reviews, the latest of which reported in 2007. Back
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