Government Nanotechnology Funding: An International Outlook*

M.C. Roco
Senior Advisor, NSF, mroco@nsf.gov
Chair, NSTC/Nanoscale Science, Engineering and Technology Subcommittee (NSEC)

National Science Foundation, June 30, 2003

The emerging fields of nanoscale science, engineering, and technology - the ability to work at the molecular level, atom by atom, to create large structures with fundamentally new properties and functions - are leading to unprecedented understanding and control over the basic building blocks and properties of all natural and man-made things. The worldwide nanotechnology research and development (R&D) investment reported by government organizations has increased approximately seven-fold in the last six years (Table 1 and Figure 1), from $432 million in 1997 [1] to about $3,000 million in 2003. At least 30 countries have initiated national activities in this field [2]. Scientists have opened a broad net of discoveries that does not leave any major research area untouched in physical, biological, and engineering sciences. Industry has gained confidence that nanotechnology will bring competitive advantages. The worldwide annual industrial production in the nanotechnology sectors is estimated to exceed $1 trillion in 10 - 15 years from now, which would require about 2 million nanotechnology workers [3].

Table 1 (6/2003). Estimated government nanotechnology R&D expenditures in 1997-2003 (in $ millions/year). Explanatory notes: "W. Europe" includes countries in EU and Switzerland; the rate of exchange $1 = 1.1 Euro until 2002; and $1 = 0.9 Euro in 2003; Japan rate of exchange $1 = 120 yen in 2002; "Others" include Australia, Canada, China, Eastern Europe, FSU, Israel, Korea, Singapore, Taiwan and other countries with nanotechnology R&D; ( )* A financial year begins in USA on October 1 of the previous calendar year, six months before in most other countries. ( )** denotes the actual budget recorded at the end of the respective fiscal year. Estimations use the nanotechnology definition as defined in NNI (Roco et al., 2000; this definition does not include MEMS), and include the publicly reported government spending.

Table 1. Worldwide government funding for nanotechnology R&D (June 2003)

The United States has initiated a multidisciplinary strategy for development of science and engineering fundaments through the National Nanotechnology Initiative announced in January 2000. The vision-setting and collaborative model of National Nanotechnology Initiative has received international acceptance. After 2001, virtually all developed countries have national activities in this area. Japan and Western Europe have broad programs backed by government, combining academic and industry led R&D, and their current plans look ahead to four to five years. Other countries have encouraged their own areas of strength, several of them focusing on fields of the potential markets. For illustration, Korea has allocated about $10 million per year for the next ten years in nanoelectronics memory chips (this is one of the projects summing about $200 million per year in 2003 from government funding). Australia has identified nanoscale photonics as a focused area of government investment. Russia and Ukraine maintain research activities establish in 1990s, especially on advanced materials synthesis and processing. Emerging programs have been announced in Eastern Europe. In Asia Pacific, there are growing programs in Japan, China, South Korea, Taiwan and Singapore. In North America, Canadian National Research Council has created the National Institute of Nanotechnology in Edmonton, Alberta with $80 million funding for five years. In Mexico there are about 20 research groups, which are working independently. Differences among countries are observed in the research domain they are aiming for, the level of program integration into various industrial sectors, and in the time scale of their R&D targets. Several countries (beginning with Japan, Korea and China) have adopted coordinating offices at the national level similar to the National Science and Technology Council (NSTC) in the US. Nanotechnology is growing in an environment where international interactions accelerate in science, education and industrial R&D. A global strategy of mutual interest is envisioned by connecting individual programs of contributing countries, professional communities, and international organizations. International activities and agreements have increased in importance. Examples are the agreements are between NSF (US) and EC (EU), NSF (US) and Japan, APEC, Russia and China, the states of New York (US) and Quebec (Canada). For example, NSF and EC have organized periodical workshops (four workshops are held in 2002 on: Manufacturing at the Nanoscale, Revolutionary Opportunities of Nanotechnology and Societal Implications, Tools for Measurements and Manufacturing, and Materials) and sponsored a joint program solicitation for proposals.

The United States fiscal year 2004 funding request for nanoscale science, engineering and technology (noted in brief - nanotechnology) research and development (R&D) in ten federal departments and independent agencies is summarized in Table 2 (http://nano.gov). It emphasizes long-term, fundamental research aimed at discovering novel phenomena, processes, and tools; addressing NNI Grand Challenges; supporting new interdisciplinary centers and networks of excellence including shared user facilities; supporting research infrastructure; and addressing research and educational activities on the societal implications of advances in nanoscience and nanotechnology.

Table 2 (6/2003). Contribution of key agencies to NNI

Nanoscale science and engineering R&D is mostly in a precompetitive phase (the major applications are typically expected to come after five years and are not yet well defined), and there are good win-win partnering and effort-sharing opportunities. International collaboration in fundamental research, long-term technical challenges, metrology, education and studies on societal implications will play an important role in the affirmation and growth of the field.

In 2003-2004, the NNI will continue its focus on fundamental research through investments in investigator led activities, centers and networks of excellence, and infrastructure. Transition from scientific discoveries to technological innovation will increase in importance by considering the increased rate of discoveries in the last couple of years. For example, NSF's priorities in funding are: (1) research to enable the nanoscale as the most efficient manufacturing domain; (2) innovative nanotechnology solutions to biological-chemical-radiological-explosive detection and protection; (3) development of instrumentation and standards; (4) the education and training of the new generation or workers for the future industries; (5) partnerships to enhance industrial participation in the nanotechnology revolution, and (6) societal implications of the new technology. Since April 1, 2003, topics similar to (1), (3), (5) and (6) have been adopted by Japan, Taiwan, Germany, U.K. and several other countries. In addition, an educational focus similar to (4) is in EC, Korea and Canada. The convergence of nanotechnology with information technology, modern biology and social sciences will reinvigorate discoveries and innovation in almost all areas of the economy.

References

1. NSTC, 2000, "Nanostructure Science and Technology", Chapter 8: Research Programs on Nanotechnology in the World, pp. 131-150.

2. M.C. Roco, 2001, " International Strategy for Nanotechnology Research and Development", Journal of Nanoparticle Research, Kluwer Academic Publ., Vol. 3,
No. 5-6, pp. 353-360.

3. M.C. Roco and W.S. Bainbridge, eds., 2001, "Societal Implications of Nanoscience and Nanotechnology", Kluwer Academic Publishers, Boston, pp. 3-4.