Finnish innovation policy -Some trends and challenges Christopher Palmberg DM 02-2014 The rise and…reinvention of Finnish IP? DM 02-2014 Some challenges Faltering exports, detoriating Exports of goods by country, 1995=100 trade balance and terms of trade Slower productivity and economic growth Sluggish renewal of traditional industries and public sector Public debt approaching 60% of GDP Relatively low levels of FDI into Finland Demise of Nokia (but don’t count them out!) DM 02-2014 Declining impact of Nokia but also new opportunities! DM 02-2014 Recent trends in Finnish innovation policy • Towards broad-based policies • User- and demand driven innovation • Intangibility • Towards system-level and Public RDI by sectors, Million € 700 600 ecosystem promotion • Bioeconomy, healthcare • Cities as platforms • From direct towards indirect RDI support Yliopistot 500 400 Yliopistolliset keskussairaa lat Suomen Akatemia 300 Tekes • R&D tax incentive experiment 200 • Cutbacks in Tekes budget • New funding instrument for strategic research 100 Valtion tutkimuslaito kset Muu rahoitus • Re-invention of industrial policy, 0 integration with innovation policy? • Towards Innovation policy 2.0 • Ecosystems, experimentation etc. DM 02-2014 Recent trends at Tekes as reflected in our new organization DM 02-2014 Tekes programmes* – towards system-level ambitions Vitality of people • BioIT – 2012–2014 • Innovations in Social and Healthcare Services 2008–2015 • Learning Solutions 2011–2015 • Skene - Games Refueled 2012–2015 Natural resources and a sustainable economy • Arctic seas 2013-2017 • Green Growth – Towards a Sustainable Future 2011–2015 • Green Mining - 2011– 2016 • Groove – Growth from Renewables 2010–2014 Intelligent living environment • Built Environment 2009– 2014 • EVE – Electric Vehicle Systems 2011–2015 • Feelings – Intangible value creation and experienced value 2012–2018 • Witty City 2013–2017 • Smart Procurement 2013– 2016 Worklife development • Trial- Environment for Cognitive Radio and Networks 2011–2014 • Liideri – Business, Productivity and Joy at Work 2012–2018 • Innovative Cities INKA 2014-2020 *Examples of recent programs, not a complete list DM 1242782 02-2014 Governance challenge? Megatrends Innovation environment 1.0 RDI Platforms Infrastructures Regulations Taxation Consumers, users etc. Innovation environment 2.0 Ministries Agencies Innovations, entrepreneurship Time Source: modified from Geels (2011) DM 03-2013 Some opportunities • Aalto related start-up boom • Demise of Nokia • Bioeconomy, cleantech, intangibility • Digitalisation, IoT, 5G etc. • Is ’NMT2.0’ a possibility e.g. in smart city, healthacare, education • Global challenges – global opportunities •… DM 03-2013 Thanks! DM 03-2013
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