INNOVATION:IN THE IRISH Timeslast Monday, the case for increased investment into IP commercialisation was argued. Although there is significant merit in the development of a more strategic approach to research investment, with funding to be provided for the commercialisation of intellectual property, the return from university research needs to be assessed by what it delivers to the country and the economy.

The specific example of Trinity College Dublin (TCD) was highlighted where a research budget of €71 million in 2008 was compared with royalty income of €130,000. While recognising that this is a proxy example for the sector as a whole it fails to articulate the multifaceted return to Ireland of investment into university research.

At a time of unprecedented financial constraints for Government funding it is vital that the return on research investment to the State is properly analysed and understood.

Ireland’s increased focus on research has been well documented, with significant additional funding channelled through both the Department of Enterprise and the Department of Education and Science. In particular in relation to university research Science Foundation Ireland (SFI) has been operating with annual budgets of €122-€165 million over the last five years.

In that time SFI has supported over 300 principal investigators and 2,500 researchers, and attracted more than 100 leading researchers to Ireland. The immediate outcome from this investment is impressive. Ireland is now positioned in the top 20 countries globally in terms of the quality of research output. In addition all Irish universities show significantly improved world rankings; TCD and University College Dublin are now ranked 43rd and 89th respectively.

Ireland is for the first time successfully competing in research on the international stage. However, universities don’t carry out research in a vacuum. There are burgeoning links between academic research and industry.

These links provide industry with access to highly skilled researchers and leading-edge infrastructure. This combination is enabling industry to carve out a local R&D mandate and to effectively compete for resources within their global organisations.

This partnership between the research community and industry has increased the profile of the Irish operations, significantly deepening and further anchoring their presence in Ireland. Importantly it has already succeeded in creating new jobs and stimulating the growth of indigenous industry.

In 2008 the IDA reported that almost one-third of its new R&D investments were in direct collaboration with third-level research facilities, and that total R&D investment had grown by 22 per cent, totalling €420 million.

The 10 SFI Centres for Science Engineering and Technology (CSETs) have built partnerships with 75 companies, many of them brand-name multinationals – Intel, IBM, Medtronic and Disney to name a few; and 23 small and medium-sized indigenous companies such as Enfer and Creganna.

These investments are important in validating the potential Ireland is developing as a research economy and also the role of research in anchoring the significantly greater investments by these companies in associated manufacturing facilities.

It helps to illuminate these figures with examples of where Ireland is winning international competition for resources through research excellence in universities.

The Alimentary Pharmabiotic Centre SFI CSET at UCC is engaged in a joint research programme with GlaxoSmithKline resulting in the creation of 21 high-value jobs. The Clarity SFI CSET was an important factor linked to IBM establishing a global centre of excellence for water management in Ireland. The Crann SFI CSET based in TCD is engaged in separate collaborative research programmes with three of the largest employers in Ireland: Intel, Hewlett-Packard and Boston Scientific.

These programmes in areas as varied as semiconductors, display technologies and medical devices, all underpinned by nanotechnology, are critical in developing these companies’ relationship with and perception of Ireland; aiding in retaining their existing commitment; and providing a platform for future growth.

In addition university research, by enabling new intellectual property and developing highly skilled researchers, is also one of the best foundations for launching new high-tech businesses. In 2008 Havok.com, a company co-founded by a TCD academic, was sold to Intel for €76 million.

This economic return for Ireland is not captured in the simplified TCD analysis described last week, nor does it account for successful entrepreneurs reinvesting their time and expertise in the formation of new ventures and the pivotal role the university research environment can play in the development of successful high-tech businesses.

There are many additional companies, in diverse sectors now emerging as a result of university research, including Opsona Therapeutics, a drug-discovery company from TCD; Socowave, a technology innovator of advanced wireless access systems, originating from the CTVR CSET; and Firecoms, a spin-out from Tyndall National Institute, which develops innovative lasers and LEDs enabling low-cost, high-speed optical data transmission.

These companies are representative of a growing cohort of new businesses developed on the back of research investment.

A decade ago Ireland took a decision to invest in the development of world-leading science. It is critical when assessing the return on this investment for the taxpayer that the full spectrum of economic benefits is considered. The investment has changed the way Ireland is perceived internationally.

It has resulted in the creation of new jobs, the generation of new investment and the attraction of new industry. Ireland is now an internationally competitive location for research. In this time of economic flux we must remain committed to what is delivering success. Research within the university sector is not for the benefit of the university sector alone but is a key component of the engine driving Ireland’s growing international reputation as a smart economy.

Dr Diarmuid O’Brien is the executive director of the SFI-funded Crann CSET.