1.  ATP Mission

The mission of the Advanced Technology Program (ATP) is to accelerate the development of innovative technologies for broad national benefit through partnerships with the private sector. ATP began in 1990 in response to the erosion of U.S industry's international competitiveness in strategic markets and the relative slowness of U.S. firms in translating inventions created in universities, national laboratories, and corporate laboratories into innovative products and processes (National Research Council, 1999; Ruegg and Feller, 2003, U.S. Congress 1988). ATP provides cost-shared funding to industry to accelerate the development and broad dissemination of challenging, high-risk technologies that promise significant commercial payoffs and wide-spread benefits for the nation. This unique government-industry partnership helps companies accelerate the development of emerging or enabling technologies. Those technologies, in turn, lead to revolutionary new products and to new industrial processes and services that can com-pete in rapidly changing world markets.

ATP challenges industry to take on projects that have higher technical risk, and commensurately higher potential payoffs for the nation, than they otherwise would pursue. The ATP project selection criteria reflect this philosophy. Half of the criteria are based on scientific and tech-nological merit and include an explanation of the innovation, a detailed research plan, and justification that the approach is feasible and has the potential to overcome the technical hurdles. The other half of the criteria are based on the potential for broad-based economic benefits, including benefits to the economy and society that would result from developing the new technology, justification for the need for ATP funding, and a plan for how the technology, once developed, will be commercialized. Proposals that are submitted in response to ATP's announced competitions are peer-reviewed against the published selection criteria. On average, one out of eight proposals meet ATP's criteria for funding.

ATP accepts applications from single companies and joint ventures. For-profit companies may apply as single applicants to receive an award for up to $2 million over three years to cover project costs. Single-company applicants are required to cover their indirect costs-this require-ment encourages the participation of small firms that have low overhead costs. In fact, small businesses are thriving in the program, (nearly half of all ATP-funded small firms have fewer than 20 employees) and lead two out of three of all projects. Single-company applicants often bring in subcontractors (universities or other companies) to participate in the project. Large, Fortune 500 companies applying as single-company applicants must cover at least 60 percent of total project costs-this requirement encourages large firms to formally collaborate with others and apply as a joint venture.

At least two separately owned for-profit companies may apply as a joint venture, with both companies substantially contributing to the research effort and to the requirement to cover at least half of the total project costs. Additional organizations (universities, nonprofits, or other companies) may join the joint venture either as formal participants or as subcontractors. Joint ventures can receive ATP funding for up to five years, with no funding limitation other than the announced availability of funds and the organizations' ability to cover half the total project costs.

ATP announces competitions through the Federal Register and held 44 competitions between 1990 and September 2004. ATP has provided $2.2 billion in awards, and industry has provided an additional $2.1 billion as cost share, for a total of $4.3 billion for high-risk research. Of the 768 projects awarded to date, 550 are to single-company applicants and 218 are to joint ventures. More than 165 universities and 30 national laboratories participate in ATP projects, reflecting the collaborative nature and the diversity of the projects' participants. Projects that are awarded are organized into four broad technology areas: advanced materials and chemistry, information technology, electronics and photonics, and biotechnology. Manufacturing is a subset in all four categories. Technical topics under each of the broad categories are broad and diverse.

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Date created: July 20, 2005
Last updated: August 3, 2005

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