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SURVEY OF ATP APPLICANTS 2000
8. What Happens to Nonfunded Projects?
Left to right:  Bioresearchers,  Bose Eienstein Condensate, Circuit Board,  Data Acquisition System, and Tissue Engineering

Through cost-shared funding awards, the Advanced Technology Program (ATP) helps companies pursue high-risk Research and Development (R&D) with great potential for broad-based economic benefit. To assess the funding impact of an ATP award, one can consider what happens to project proposals that are not selected for an award. Evidence from the Survey of ATP Applicants 2000 indicates that without ATP support these projects are generally not carried out as originally proposed.

Nonawardees were asked to indicate whether they are currently carrying out any part of the project they proposed to ATP. They were asked to describe any current effort as larger, smaller, or about the same as originally proposed to ATP. This survey data was collected about 18 months after the conclusion of the ATP award competition in the year 2000.

Picture of two engineers reviewing plans.Most nonfunded projects are either no longer active or have been greatly reduced in scope

  • When ATP decides not to fund a proposed project, the company applicants often do not carry out the work on their own. Among nonawardees, 41 percent report that their company is no longer pursuing any part of the project. (See Figure 1.)
  • The majority of nonawardees still working on their proposed projects are doing so on a scale smaller than what was proposed to the ATP. (See Figure 1.)
  • Among those reporting that their proposed projects are being conducted on a smaller scale, the vast majority (81%) indicate the project is now "less than 40 percent" of the scale initially proposed to the ATP. About half (53%) describe it as "less than 20 percent" of what was originally proposed. (See Figure 2.)
FIGURE 1. Current Status of Nonfunded Projects (Year 2000 ATP Competition)
FIGURE 1. Current Status of Nonfunded Projects (Year 2000 ATP Competition)
[Descriptive link for Figure 1]

Picture of discussing a proposal displayed on a lap top computer.Most nonfunded joint venture projects are no longer active as R&D collaborations

  • ATP fosters R&D collaboration among companies by supporting research joint ventures, which allow companies to share the risk of R&D and gain synergies from combining complementary skills and resources.
  • Among nonawardees asked to respond to the survey, there were 38 joint venture proposals. At least one company responded to the survey from each of these joint ventures.
  • For about two-thirds of the 38 joint venture proposals, at least one company reports they are no longer working on any part of the proposed project (this may be an underestimate of the extent to which companies abandon these proposed joint venture projects, since companies no longer working on any part of the project are probably less likely to respond to the survey).

FIGURE 2. Applicant Beliefs on the Importance of Patent or Copyright for Project Results
FIGURE 2. Applicant Beliefs on the Importance of Patent or Copyright for Project Results
Note: Data shown based on 106 nonawardees who reported they are still working on their proposed ATP project,
though on a smaller scale than what was originally proposed.

[Descriptive link for Figure 2]

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Date created: June 24, 2003
Last updated: August 2, 2005

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