Characteristics of firms engaged in collaborations Charlene Lonmo Science, Innovation and Electronic Information Division Statistics Canada Presentation at CIRANO September 19, 2008
Jan 08, 2016
Characteristics of firms engaged in collaborations
Charlene LonmoScience, Innovation and Electronic Information Division
Statistics CanadaPresentation at CIRANO
September 19, 2008
September 19, 2008Statistics Canada • Statistique Canada2
Overview of the Presentation
Theory – collaboration by science-intensive firms
Data: Surveys of Biotechnology Use and Development – 1999 to 2005
Profile of innovative biotechnology firms by selected characteristics
Comparison of collaborators and non-collaborators
Conclusion
September 19, 2008Statistics Canada • Statistique Canada3
Theory: collaboration by science-intensive firms
Science-based businesses
“… connote a commercial enterprise or collection of enterprises that attempts to both create science and to capture value from it. That is, the science-based business actively participates in a process of advancing and creating science. Moreover, a significant part of the economic value of the enterprise is ultimately determined by the quality of the science upon which it rests.”
Gary Pisano, Science Business
September 19, 2008Statistics Canada • Statistique Canada4
Theory: collaboration by science-intensive firms
“Cooperative and collaborative arrangements involve the active participation in projects between your company and other companies or organizations in order to develop and/or continue work on new or significantly improved biotechnology processes, products and/or services. Pure contracting-out work is not regarded as collaboration.”
Biotechnology Use and Development Survey
September 19, 2008Statistics Canada • Statistique Canada5
Data: Surveys of Biotechnology Use and Development – 1999 to 2005
Survey process• Survey on Emerging Technologies supplemented with other sources
such as the RDCI, government agencies and business associations to create a frame
Population covered by estimates• Innovative biotechnology firms – those developing biotechnologies, not
merely using them• Biotechnology is defined in the questionnaire and this definition is
generally accepted for biotech surveys in other OECD countries Questions asked
• Technologies, human resources, HR challenges and strategies, firm characteristics (age, ownership, spin-off), products, impacts of regulations, contracting in and out, collaborations, intellectual property, traditional financial data, special financing, tax incentives, exports, imports and business strategies
September 19, 2008Statistics Canada • Statistique Canada6
Profile of innovative biotechnology firms
53%51%60%63%% collaborators
252239149134Non-collaborators
280251226224Collaborators
532490375358All innovative biotechnology firms
2005200320011999
53%51%60%63%% collaborators
252239149134Non-collaborators
280251226224Collaborators
532490375358All innovative biotechnology firms
2005200320011999
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada7
Collaboration by selected characteristics: Human health biotech sector
1999 2001 2003 2005
Human health biotech firms 150 197 262 310
Human health collaborators 110 129 143 164
% of biotech firms in the human health sector 42% 53% 53% 58%
% of human health biotech firms that collaborate 73% 65% 55% 53%
% collaborators in human health 49% 57% 57% 59%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada8
Collaboration by selected characteristics: firm size by employment
1999 2001 2003 2005
Small biotech firms (<50 employees) 269 266 352 397
Small collaborators 153 156 177 202
% of biotech firms that are small 75% 71% 72% 75%
% of small biotech firms that collaborate 57% 59% 50% 51%
% biotech collaborators that are small 68% 69% 71% 72%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada9
Collaboration by selected characteristics: age of biotech firm
1999 2001 2003 2005
Young firms (5 yrs or less) .. 156 240 142
Young collaborators .. 104 123 72
% of biotech firms that are young .. 42% 49% 27%
% of young biotech firms that collaborate .. 67% 51% 51%
% biotech collaborators that are young .. 46% 49% 26%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada10
Collaboration by selected characteristics: biotech firms that are spin-offs
1999 2001 2003 2005
Spin-off biotech firms 123 140 176 179
Spin-off biotech collaborators 81 93 110 116
% of biotech firms that are spinoffs 34% 37% 36% 34%
% of biotech spinoffs that collaborate 66% 66% 63% 65%
% biotech collaborators that are spinoffs 36% 41% 44% 41%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada11
Collaboration by selected characteristics: biotech firms with patents
1999 2001 2003 2005
Biotech firms with patents 207 249 315 333
Collaborators with patents 163 165 189 199
% of biotech with patents 58% 66% 64% 63%
% of patenting firms that collaborate 79% 66% 60% 60%
% collaborators that have patents 73% 73% 75% 71%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada12
Collaboration by selected characteristics: biotech firms that obtained funding
1999 2001 2003 2005
Biotech firms with funding 138 134 178 173
Collaborators with funding 95 92 117 105
% of biotech firms with funding 26% 25% 33% 33%
% of funded firms that collaborate 69% 69% 66% 61%
% collaborators that have funding 42% 41% 47% 38%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada13
Collaboration by selected characteristics: stage of development
1999 2001 2003 2005
Biotech firms with no biotech products/processes 167 196 272 209
Collaborators without biotech products 112 112 144 126
% of biotech firms without biotech products 47% 52% 56% 39%
% of biotech firms without biotech products that collaborate 67% 57% 53% 60%
% collaborators that have no biotech products 50% 50% 57% 45%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada14
Collaborating firms:collaboration partners and purposes
1999 2001 2003 2005
Purpose of collaboration
Partners BothScience
only BothScience
only BothScience
only BothScience
only
All collaborators 143 81 81 145 112 139 120 160
Both public and private 91 22 38 32 43 17 56 49
Private only 37 18 37 61 59 48 35 52
Public only 15 41 6 52 10 74 29 59
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada15
Comparison of collaborators and non-collaborators by selected key variables
Key variables: Biotech revenues Biotech R&D Biotech employment Fund-raising
September 19, 2008Statistics Canada • Statistique Canada16
Collaborators vs. non-collaborators by Biotech Revenues
1999 2001 2003 2005
Collaborators
Average biotech revenue per firm (millions) 7.9 10.4 7.2 8.8
Biotech intensity (by revenues) 13% 10% 12% 10%
Non-collaborators
Average biotech revenue per firm (millions) 2.3 6.9 8.0 5.4
Biotech intensity (by revenues) 5% 26% 13% 5%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
Note: Revenues are in constant 2002 dollars
September 19, 2008Statistics Canada • Statistique Canada17
Collaborators vs. non-collaborators by Biotech R&D
1999 2001 2003 2005
Collaborators
Average biotech R&D per firm (millions) 3.5 5.6 3.7 4.0
Biotech intensity (by R&D) 87% 99% 60% 71%
Non-collaborators
Average biotech R&D per firm (millions) 0.7 2.1 2.2 1.7
Biotech intensity (by R&D) 63% 79% 74% 60%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
Note: R&D expenditures are in constant 2002 dollars
September 19, 2008Statistics Canada • Statistique Canada18
Collaborators vs. non-collaborators by Biotech Employment
1999 2001 2003 2005
Collaborators
Average biotech employment per firm 28 39 32 32
Biotech intensity (by employment) 13% 18% 22% 15%
Non-collaborators
Average biotech employment per firm 11 20 16 17
Biotech intensity (by employment) 10% 24% 10% 16%
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
September 19, 2008Statistics Canada • Statistique Canada19
Collaborators vs. non-collaborators by Biotech fund-raising
1999 2001 2003 2005
Collaborators
Funds raised (millions) 2,070 710 1,226 775
Average funds raised by seekers (millions)
21.8 7.7 10.5 7.4
Non-collaborators
Funds raised (millions) 216 279 414 450
Average funds raised by seekers (millions)
5.0 6.7 6.8 6.6
Source: Statistics Canada: Biotechnology Use and Development Surveys, 1999 to 2005
Note: Funds are in constant 2002 dollars
September 19, 2008Statistics Canada • Statistique Canada20
Conclusions
Trends The proportion of biotech collaborators is dropping Spin-off firms are more likely to be collaborators Firms with patents are more likely to be collaborators Firms that obtained funding are more likely to be
collaborators The proportion of funded firms that collaborate is
dropping, as has the average value of funds raised – the difference between collaborators and non-collaborators is diminishing
Value of other approachesLinked database to enable the study of impacts
September 19, 2008Statistics Canada • Statistique Canada21
Questions
For further information:
Chuck McNiven – Section Chief for Emerging [email protected]
Charlene Lonmo – Survey manager for BUDS and the Survey on Emerging Technologies
Beau Cinnamon – Survey manager for Bioproducts Survey and Functional Foods and Natural Health Products Survey