DAVE GIBSONLecture 1

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Entrepreneurship and Internationalization
Rethinking Regions, Digital Technologies, and
Competitive Advantage by Eliza Evans,
PhD Program Manager for Research The IC2
Institute The University of Texas at
Austin eliza_at_icc.utexas.edu

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Agenda

• Approaches to technology-based economic
  development
• IC2 Institute Global Initiatives
• IC2 New Experiments Local Development in a
  Global Competitive Context

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The Technopolis A Model for Technology-Based
Economic Development
Education
LargeCompanies
SupportGroups
EmergentCompanies
Networks
LocalGovernment
FederalGovernment
StateGovernment
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The Technopolis A Model for Technology-Based
Economic Development
Education
LargeCompanies
SupportGroups
EmergentCompanies
Networks
LocalGovernment
FederalGovernment
StateGovernment
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The Technopolis A Model for Technology-Based
Economic Development

• Whats missing?

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The Technopolis A Model for Technology-Based
Economic Development

• Whats missing?
• Capital

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The Technopolis A Model for Technology-Based
Economic Development

• Whats missing?
• Capital
• Global networks

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Innovation, Creativity, and Capital IC2 Institute

• University of Texas at Austin action research
  laboratory whose mission is to generate economic
  prosperity leading to sustainable civil
  societies.
• Multiple activities to support an eco-system
  for wealth creation
• Technology entrepreneurship and management
  education
• Technology support networks
• Technology incubator
• Knowledge workforce development through
  e-learning
• Masters degree in technology commercialization
• Technology-based economic development programs

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IC2 Core Programs
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IC2 Core Programs

• Austin Technology Incubator
• Established 1989
• 70 graduates
• 3B direct and indirect impact
• Replicated around the world

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IC2 Core Programs

• Austin Technology Incubator
• Established 1989
• 70 graduates
• 3B direct and indirect impact
• Replicated around the world
• The region is the incubator
• Incubation as a distributed function

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IC2 Core Programs

• Austin Technology Incubator
• Established 1989
• 70 graduates
• 3B direct and indirect impact
• Replicated around the world
• The region is the incubator
• Incubation as a distributed function
• Next challenge startups are global at Day One
• specific lead-generation assistance
• specialization

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IC2 Core Programs

• Masters of Science in Science and Technology
  Commercialization (MSSTC)
• Assess Technology Commercial Potential
• Re-energize Existing Ventures
• Create New Ventures
• Develop Executable Technology Commercialization
  Plans
• Acquire Resources to Implement Plans

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IC2 Core Programs

• Masters of Science in Science and Technology
  Commercialization (MSSTC)
• Assess Technology Commercial Potential
• Re-energize Existing Ventures
• Create New Ventures
• Develop Executable Technology Commercialization
  Plans
• Acquire Resources to Implement Plans
• Non-degree programs
• Companies/agencies
• Special topics (technology strategy)

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IC2 Core Programs

• Masters of Science in Science and Technology
  Commercialization (MSSTC)
• Assess Technology Commercial Potential
• Re-energize Existing Ventures
• Create New Ventures
• Develop Executable Technology Commercialization
  Plans
• Acquire Resources to Implement Plans
• Non-degree programs
• Companies/agencies
• Special topics (technology strategy)
• Global participation
• Global replication

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IC2 Core Programs

• Original Research
• Serial entrepreneurship
• System dynamics analysis of startups
• Bootstrap entrepreneurship

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IC2 Core Programs

• Original Research
• Serial entrepreneurship
• System dynamics analysis of startups
• Bootstrap entrepreneurship
• Applied Research/Experiments
• Cross Border negotiation simulation
• Integration of AI into digital media learning
  tools
• Technology strategy development

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IC2 Core Programs

• Original Research
• Serial entrepreneurship
• System dynamics analysis of startups
• Bootstrap entrepreneurship
• Applied Research/Experiments
• Cross Border negotiation simulation
• Integration of AI into digital media learning
  tools
• Technology strategy development
• Dissemination
• Conferences, workshops, publications, visiting
  scholars

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IC2 Knowledge Creation and Transfer Process
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IC2 Knowledge Creation and Transfer Process
Projects
Kazakhstan
Hungary
Jordan
Poland
Mexico
Portugal, Canada, Texas, Florida, Mexican States
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IC2 Knowledge Creation and Transfer Process

• Kazakhstan
• Training of 12 incubation managers
• Commercialization of oil-related technologies
  into other sectors
• Commercialization of non-oil related scientific
  research

Projects
Kazakhstan
Hungary
Jordan
Poland
Mexico
Portugal, Canada, Texas, Florida, Mexican States
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IC2 Knowledge Creation and Transfer Process

• Poland
• Replicated all core IC2 programs in University of
  Lodz
• Incubation
• Masters in Technology Commercialization
• Facilitating the transfer of model to other
  regions in Poland
• Linking Polish technology startups to resources
  in the US

Projects
Kazakhstan
Hungary
Jordan
Poland
Mexico
Portugal, Canada, Texas, Florida, Mexican States
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IC2 Knowledge Creation and Transfer Process

• MexicoBusiness Acceleration
• Austin, Silicon Valley, Montreal
• Assisting Mexican technology companies in gaining
  access to US markets, capital, technological
  resources
• Established companies
• Startups
• Training to replicate IC2 programs in home
  institutions

Projects
Kazakhstan
Hungary
Jordan
Poland
Mexico
Portugal, Canada, Texas, Florida, Mexican States
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IC2 New Regional Experiments

• The Digital Convergence Initiative

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Digital Convergence Initiative

• Mission to catalyze public and private
  collaboration to transform the Waco/Austin/San
  Antonio corridor into a global competitor in
  digital convergence products and services

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Digital Convergence Leaders

• US Digital Convergence Centers
• New York City
• Washington DC
• Central Florida
• San Francisco/Silicon Valley
• Los Angeles
• San Diego
• Phoenix
• Denver
• Las Vegas

• Global Digital Convergence Centers
• South Korea
• Finland
• China
• Taiwan
• Sweden
• Denmark
• Germany
• UK
• Israel
• Malaysia
• Japan

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How do we be more competitive?
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• Better Relationships
• --Cross-sector Integration
• --New institutions

dci
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• Better Relationships
• --Cross-sector Integration
• --New institutions

dci
2. Better Information --Create economy of scale
for creation and distribution of
information --Organizational tools to find, form,
and foster collaborative relationships
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• Better Relationships
• --Cross-sector Integration
• --New institutions

dci
Electronic Marketplace
2. Better Information --Create economy of scale
for creation and distribution of
information --Organizational tools to find, form,
and foster collaborative relationships
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• Better Relationships
• --Cross-sector Integration
• --New institutions

dci
Electronic Marketplace
Partnering Agreements
2. Better Information --Create economy of scale
for creation and distribution of
information --Organizational tools to find, form,
and foster collaborative relationships
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• Better Relationships
• --Cross-sector Integration
• --New institutions

Technology Resource Map
dci
Electronic Marketplace
Partnering Agreements
2. Better Information --Create economy of scale
for creation and distribution of
information --Organizational tools to find, form,
and foster collaborative relationships
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• Better Relationships
• --Cross-sector Integration
• --New institutions

Technology Resource Map
dci
Electronic Marketplace
Partnering Agreements
2. Better Information --Create economy of scale
for creation and distribution of
information --Organizational tools to find, form,
and foster collaborative relationships
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Tools for Tech-based Economic Development

• Business incubation
• Angel/VC networks
• Technology parks
• Venture competitions
• University technology transfer offices

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Tools for Tech-based Economic Development

• Business incubation
• Angel/VC networks
• Technology parks
• Venture competitions
• University technology transfer offices
• Technology resource mapping and strategy
  development tools

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Technology Mapping and Strategy Development
Process

• Background
• Origins in US intelligence
• Project Socrates
• Use in private sector, Fortune 500
• Technology Strategic Planning
• Digital Convergence Initiative
• Austin Clean Energy Economic Development Council
• first time method used for the purposes of
  regional economic development

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Digital Convergence Technology Mapping and
Strategy Development Goals

• Develop a Digital Convergence technology strategy
  for Central Texas
• Which technology paths can the region develop to
  achieve a competitive advantage?
• Which technologies are available in the region
  and which need to be acquired through
  recruitment?
• Which recruitment targets are likely to survive
  and grow due to their superior competitiveness?
• How can Austin be more attractive to digital
  convergence companies?
• Demonstrate an understanding of the digital
  convergence marketplace
• Identify synergistic relationship between the
  company and the regional strategies

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Technology Strategic Planning--Assumptions

• All competitive advantage comes from satisfying
  the customers needs better than the competition
• Satisfying the customers needs is accomplished
  with technology
• Technology is any application of science to
  accomplish a function
• To satisfy customer needs better than
  competition, org must exploit technology more
  effectively than competition

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Technology Strategic Planning--Process

• Process Overview
• Define digital convergence
• Develop framework for analyzing and understanding
  digital convergence technologies, processes, and
  know how
• Map regional resources to framework
• Use map to create technology strategy options for
  taking advantage of the digital convergence
  opportunity

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Digital Convergence Defined

• Digital Convergence is the coalescence of the
  functions for the acquisition, storage,
  distribution, and use of knowledge

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Digital Convergence Defined

• Digital Convergence is the coalescence of the
  functions for the acquisition, storage,
  distribution, and use of knowledge
• Characterized by
• Increasing digitization of data
• Ease of use
• Integration of data handling systems
• Satisfaction of increasing portion of customer
  needs
• Integration of components and networks
• Global reach

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Digital Convergence
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Technology Map
Modify For Interface
Search/Select Data
User Receives
User responds
ProduceData
Transmit Data
User modifies
ProcessData
ArchiveData
Prep Data
Store Data
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Technology Map
Modify For Interface
Search/Select Data
User Receives
User responds
ProduceData
Prep Data
Transmit Data
Store Data
ProcessData
ArchiveData
User modifies
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Technology MapExample of Technology Path for a
PDA
Modify For Interface
Search/Select Data
User Receives
User responds
ProduceData
Prep Data
Transmit Data
Store Data
ProcessData
ArchiveData
User modifies
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Technology Map
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Technology Map
Magnetic
Mechanical
Electrical
Passive
Optical
Chem/bio
Active
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Technology Map
Magnetic
CD
Passive
Mechanical
DVD
Electrical
Blu-ray
Optical
Chem/bio
Nanobot Digital
Active
Nanobot Holographic
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Technology Map
Magnetic
CD
Passive
Mechanical
DVD
Technology Parameters Max data rate (I/O
rate) Max operating temperature Max storage
capacity/volume Max storage capacity/cost Max
MTBF Min seek/access time
Electrical
Optical
Blu-ray
Chem/bio
Nanobot Digital
Active
Nanobot Holographic
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Passive
What do technology parameters tell us?
Optical
Active
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Identify targeted customer needs
Passive
What do technology parameters tell us?
Optical
Active
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Identify targeted customer needs
Passive
Identify organizations have compatible interests,
goals, and technologies
What do technology parameters tell us?
Optical
Active
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Identify targeted customer needs
Passive
Identify organizations have compatible interests,
goals, and technologies
What do technology parameters tell us?
Optical
Increase/improve potentially productive
relationships among organizations
Active
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TECHNOLOGY STRATEGY
Identify targeted customer needs
Passive
Identify organizations have compatible interests,
goals, and technologies
What do technology parameters tell us?
Optical
Increase/improve potentially productive
relationships among regional and global
organizations
Active
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Technology Map
Modify For Interface
Search/Select Data
User Receives
User responds
ProduceData
Prep Data
Transmit Data
Store Data
User modifies
ProcessData
ArchiveData
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Waco/Austin/San Antonio
Digital Convergence Technology Map
Modify For Interface
Search/Select Data
User Receives
User responds
ProduceData
Prep Data
Transmit Data
Store Data
User modifies
ProcessData
ArchiveData
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Digital Convergence Technology Map
Large Company
Global Co.
Start up Co.
Fed Lab
University
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Digital Convergence Technology Map PRODUCT
Health/Human Performance Monitor
Large Company
Global Co.
Start up Co.
University
Fed.
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Digital Convergence Technology Map Other uses?
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Digital Convergence Technology Map
Large Companies Identify potential partners and
sources of new innovations
IP Portfolio Managers Better leverage portfolio
assets
Entrepreneurs Insight into new product
possibilities
Economic Developers Identify recruitment targets
with complementary technology assets
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Current Status
Geographic Coverage
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Next Steps Global Digital Convergence Technology
Map
Geographic Coverage
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Current Status Technology Flow
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Next Steps Technology Flow
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Next Steps Technology Flow

• TOMORROW
• Great density in regional, national, and global
  networks

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Results to date

• Experiment 25 complete
• Experiments results to date
• Used by local artist/entrepreneur to develop
  global media event
• Approach incorporated into system dynamics model
  used by large networking company
• Map used to identify potential partners
  (particularly start ups) to participate in global
  communication companys experiment in new methods
  of delivering media to the home
• 4 start ups have used approach to create
  commercialization strategies
• State interested in adapting method understand
  and meet future workforce needs.
• Other research opportunities under development.

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• Thank you
• ELIZA EVANS
• PROGRAM MANAGER FOR RESEARCH
• IC2 INSTIUTE, UNIVERSITY OF TEXAS AT AUSTIN
• eliza_at_icc.utexas.edu