CRA Bulletin
April 5, 2001

 CRA Home | Awards | Events | Government Affairs | Information Resources | Jobs | Committees | People | Publications | What's New

<< CRA Bulletin home page

Floyd Kvamme Appointed to Presidential Advisory Committee on S&T

Last Wednesday, at a meeting with leaders of the High Tech industry, President Bush announced his intention to appoint Earl Floyd Kvamme to be Co-Chair and Member of the President's Committee of Advisors on Science and Technology (PCAST). (The other Co-Chair of PCAST is typically the President's Science Adviser, who has not yet been appointed.) Mr. Bush and the industry leaders discussed a wide range of issues, from the budget, to tax reform and education.

The President's remarks at the meeting with high-tech leaders can be found here http://www.whitehouse.gov/news/releases/2001/03/20010328-2.html

Kvamme is currently a Partner with the Menlo Park California firm of Kleiner Perkins Caufield and Byers. Kvamme was named Executive Vice President of Sales and Marketing at Apple Computer in 1982 and was part of the original team that started National Semiconductor and served as General Manager of Semiconductor Operations. He is a resident of Saratoga, California, and holds engineering degrees from the University of California at Berkeley and Syracuse University.

Of related interest: TheStandard has a March 26 article on Lezlee Westine, former co-CEO of TechNet and current director of the White House Office of Public Liaison, and her role in tech issues within the White House: http://www.thestandard.com/article/display/0,1151,23023,00.html

Even With Downturn, Most Firms Remain Committed to R&D

Although the tech economy is slowing, several firms have reaffirmed their commitment to their R&D budgets. Their hope is that innovations will either spur current demand or provide an edge over competitors once the economy recovers. Texas Instruments, Microsoft, Cisco, and Sun plan to or have increased their R&D budgets, while Lucent and Intel claim that their recent budget cuts will not effect their core research interests. Several firms have admitted, however, that they are working harder to tie their research to market demands.

Microsoft has reported that it will increase its R&D budget from last year's $3.87 billion to $4.5 billion this year. According to CNET, Texas Instruments plans to increase R&D spending to $1.7 billion this year from $1.6 billion in 2000. Cisco increased its R&D budget to $981 million from last year's $602 million. Intel recently reduced its R&D budget slightly from $4.3 billion to $4.2 billion, though this is still up from the $3.9 billion that it spent in 2000. Instead, cuts are being made first among capital expenditures. 

Lucent aims to keep its R&D budget at about 11% of revenue even as the company overall makes $2 billion in cuts. As a recent article in TheStandard reported, the strength of Lucent's lab may help it against competitors such as Cisco and Nortel, who, during an economic downturn, are less able to gain new technologies through mergers and acquisitions. Lucent also hopes to cater its research more to demand in order to mimic the success of labs such as IBM's, whose mixing of business and research strengthened its position in microchips and computer hard-drive technology. More recent examples of this trend are IBM's Blue Gene project, as well as Compaq's teaming with Sandia National Labs to build a supercomputer for Celera's gene research.

Sources: 
TheStandard: 'R&D Drives On' (http://www.thestandard.com/article/display/0,1151,22931,00.html) and 'Blinded With Science' (http://www.thestandard.com/article/display/0,1151,22930,00.html); CNET: 'In Tough Times, R&D Remains a Sacred Cow' (http://news.cnet.com/news/0-1003-200-5405647.html?tag=owv); and The Mercury News, 'Microsoft Research Division Going Strong' (http://www0.mercurycenter.com/business/top/066691.htm)

House Science Committee Response to Bush's FY2002 Budget

The House Science Committee has released its annual response to the White House budget proposal, "Views and Estimates of the Committee on Science for FY 2002" (http://www.house.gov/science/views.pdf). The report expresses concern about the "miniscule" increase provided for the National Science Foundation as well as similarly stingy budget proposals for other science agencies under the Committee's jurisdiction. In identifying forthcoming legislative issues, the report says the Committee will "work to enhance federal research in other fundamental areas, such as information technology, which are important to our economy. The Committee will once again draw on the recommendations of the Congressionally-chartered President's Information Technology Advisory Committee (PITAC)..."

Intel and 'Virtual Laboratory' Collaborate on Chip Design 

According to Scientific American (SA), Intel's involvement with national laboratories to create chips using extreme ultraviolet lithography "may serve as a case study for future research. It is one of the most successful collaborations between industry and national laboratories. More broadly, it constitutes a model for the creation of virtual laboratories that can undertake major projects on an as-needed basis without the huge overhead of a central research facility."

The article describes Intel's debt to and departure from earlier experimental techniques, and credits its role as sponsor and manager of research at labs such as Lawrence Livermore, Sandia and Lawrence Berkeley. Rather than rely on its own staff and facilities, Intel and others created a "Virtual National Laboratory" to pool their resources. SA asserts that "Intel's strategy of relying on collaborations with universities or national laboratories to tap a wellspring of basic research and development...stands in marked contrast to the large centralized laboratories built by AT&T, IBM and Xerox, which have often invented technologies that they never succeeded in implementing."

The April article, 'Getting More from Moore's,' can be found at http://www.sciam.com/2001/0401issue/0401innovations.html

Sony, Toshiba, and IBM to Develop New Chip

Sony Computer Entertainment, IBM and Toshiba announced plans to research and develop an advanced chip architecture for a variety of broadband-related applications. The companies will collectively invest more than $400 million in the next five years to design a "supercomputer-on-a-chip" they call "Cell." According to IBM, "the new microchips will employ the world's most advanced research technologies and chip-making techniques, including copper wires, silicon-on-insulator transistors and low-K dielectric insulation, with features smaller than 0.10 microns -- 1,000 times thinner than a human hair. The result will be consumer devices that are more powerful than IBM's Deep Blue supercomputer, operate at low power and access the broadband Internet at ultra high speeds. Cell will be designed to deliver 'teraflops' of processing power."

IBM's March 13 press release can be found at http://www.ibm.com/news/uspress.html.  A March 29 Nikkei Electronics Asia article on the project is available at http://www.nikkeibp.asiabiztech.com/wcs/leaf?CID=onair/asabt/intvw/126881

CPST Report: 'Scientists and Engineers for the New Millennium'

A report has been recently released by the Commission on Professionals in Science and Technology on human resource issues for science and technology. It is the first major study in this area since Pearson and Fechter, eds., 'Who Will Do Science?', 1994. The papers collected in this volume address changes that have occurred since 1994, including the repeal of traditional affirmative action programs, the influx of foreign nationals in U.S. graduate programs, and the growth of online education. They include data and brief analysis.

The report is available in print version as: Daryl E. Chubin and Willie Pearson, Jr., eds., 'Scientists and Engineers for the New Millennium Renewing the Human Resources'. A Collection of the Commission on Professionals in Science and Technology. Sponsored by the Alfred P. Sloan Foundation. March 2001. For ordering information, contact CPST at 202-326-7080 or see its website http://www.cpst.org.

The report is also online at http://www.cpst.org/S&Es%20for%20the%20New%20Milennium.htm

The table of contents gives a good sense of the topics covered:

Part I What We Know
Eleanor Babco and Mary Golloday, "The Scientific and Technological Workforce Characteristics and Changes"
Roman Czujko, "Why Did Fewer Americans Major in Physics During the 1990s?"
Mary Frank Fox, "Women in Science and Technology What We Know About Education and Employment"
Yolanda S. George, Virginia V. Van Horne, and Shirley M. Malcom, "Making Strides? Graduate Enrollment of Underrepresented Minorities in Science and Engineering"
Charlotte Kuh, "Reflecting America? Immigrants, Minorities and Women in the S&T Workforce"
Part II What We Need to Know
Steve D. Nelson, "From Forecasting to Foresight"
Michael G. Finn, "Modeling Demand for Ph.D. Scientists and Engineers"
Peter D. Syverson, "What Can Application Trends Tell Us about Future Demand for Graduate Education?"
Part III What Can We Do?
Paula M. Rayman, "Two Ships Passing in the Night Science Careers and Science Education"
Michael S. Teitelbaum, "How We (Unintentionally) Make Scientific Careers Unattractive"
Richard Tapia, "Lack of Minority Leadership Possible Causes and Plausible Solutions"

New Women's High-Tech Coalition Formed in DC

The Women's High Tech Coalition was formed recently to (1) educate on the latest developments in technology and surrounding policy issues, and (2) provide networking opportunities for individuals, particularly women, with responsibilities either on the technical development or policymaking / government side of this new industry. The coalition is Co-chaired by Congresswomen Jennifer Dunn (R-WA) and Zoe Lofgren (D-CA). Bobbie Greene Kilberg, President of the Northern Virginia Technology Council, will serve as Co-Chair from the private sector. For more information, please contact Avril Palmer at 202-274-2893, avril.palmer@troutmansanders.com

2% Growth in U.S. Engineering Undergrads

The number of engineering graduates grew last year but not by much. U.S. engineering institutions produced 62,721 graduates in 2000, a less than 2 percent increase over the 61,570 graduates in 1999 according to the National Action Council for Minorities in Engineering (NACME). "The percentage increases are all single-digit, the total number of graduates is the third smallest over the past 20 years, and minority growth is the lowest since 1989, both in percentages and real numbers," says NACME president and CEO John Brooks Slaughter. The class of 2000 was also the first year in which more Latinos (5.1% of the total) than African Americans (5%) earned engineering degrees. It was the third consecutive year in which the number of African American men receiving degrees declined. Overall, minorities accounted for 10.7% of graduates, while 20.5% were women.

The relevant NACME press releases can be found at http://www.nacme.org/inf_index.html

Demand for IT Workers, Though Slowing, Continues to Outstrip Supply

An Information Technology Association of America (ITAA) study reports that nearly half of the approximately 900,000 IT positions offered by American companies this year will go unfilled. The number of IT workers continues to grow and stands at approximately 7% of the total U.S. workforce. At the same time, demand for IT workers has declined significantly: 44% fewer positions will be offered in 2001 than in 2000. According to the poll of hiring managers, four-year college degrees proved the best pre-hire means of attaining needed skills and knowledge in four of eight job categories: database development / administration, enterprise systems, programming / software engineering and technical writing. Private technical schools were ranked highly for network design / administration and digital media.

A summary of the ITAA study is available at http://www.itaa.org/workforce/studies/01execsumm.htm

Significantly Fewer H1-B Visas Granted

The INS reported that only half as many filings for H1-B visas were granted in February as compared to the same month last year, according to SiliconValley.com. Traditionally, about half of H1-B visas are given to tech-related jobs. In February, 16,000 filings for visas were made, whereas 32,000 filings were made in February 2000. Last year the tech industry lobbied successfully to raise the annual cap on the number of H1-B visas from 115,000 to 195,000.

The March 20 Siliconvalley.com article can be found at http://www.siliconvalley.com/docs/hottopics/downturn/visa032101.htm

Role of High-Tech Exports Continues to Grow as Senate Committee Supports Changes to Export Rules

AeA (formerly the American Electronics Association), released U.S. government data showing that high-tech exports last year grew at their fastest pace in a decade, 22 percent, to over $222 billion -- accounting for a record 29 percent of total U.S. exports (up from 26 percent in 1999). U.S. high-tech exports to Mexico also grew last year at their fastest pace in a decade, at 30 percent. This comes as the Senate Banking Committee recently voted in favor of relaxing aspects of the Export Administration Act. In the interest of national security, the Act set controls on the types of high-tech products that could be exported. The new rules would free the president from restricting exports based on a system that rated computers by their speed. Key Senate and White House officials have backed the proposed changes.

The March 27 AeA press release and supporting data can be found at http://www.aeanet.org/aeanet/Public/press/
The Senate Banking Committee's collection of documents on the Export Administration Act as well as proposed changes to it are at  http://www.senate.gov/~banking/docs/eaa/eaamain.htm

NSF CSEMS Scholarships: May 1 Deadline

The National Science Foundation (NSF) Computer Science, Engineering, and Mathematics Scholarships (CSEMS) support academically talented, financially needy students, enabling them to enter the high tech workforce following completion of an associate, baccalaureate, or graduate level degree in computer science, computer technology, engineering, engineering technology, or mathematics. Academic institutions apply for awards to support scholarship activities. Approximately 100 awards worth $35.4 million are expected for FY2002. Awards are normally not expected to exceed $100,000 per year for up to four years. Full proposals are due May 1, 2001.

The CSEMS web page is at http://www.ehr.nsf.gov/due/programs/csems/