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1
EU strategy for innovationin health research
Ruxandra Draghia-Akli, MD, PhD
DirectorHealth Directorate
DG Research & InnovationEuropean Commission
2
What can FP7 Health do?State of play (Oct. 2011)
2007-2011:
● 13.0% of EU contribution for SMEs
● 13.6% of participants are SMEs
● 462/693 projects (67%) with at least one SME in consortium
● 49 projects (7.0%) coordinated by SMEs
3
Health Theme strategyto encourage SME participations
● 2007 & 2008: 3 SME topics on the FP6 SME call model 11% of EU contribution to SMEs
● 2009 & 2010: SME ‘suitable topics’ ~10% of EU contribution to SMEs
● 2011: SME-targeted topics: € 111 million to SMEs (out of €144m)
1/3 budget ‘X% of EU contribution to SMEs’ as an eligibility criteria and qualitative approach: ‘Leading role’ for SMEs
● 2012: SME-targeted topics + Pilot initiative for SMEs (INNO-2) 14 SME / industry targeted topics ½ budget; 50% of research topics targeted to SMEs
(with min. funding for SMEs: >15%, >30% or >50%) all topics are 2-stages; 6 page proposal in the 1st stage
4
Strong impact: doubling in EU funding going to
SMEs
70 66 6070
144 150
2007 2008 2009 2010 2011 2012
~11% of EU funding going to SMEs
~20% of EU funding going to SMEs
Conservative estimate; could reach €200m
5
Efforts should be maintained in WP 2013
•to meet the 15% target for SME participation(not only quantitatively, but also qualitatively
•to mainstream SME participation(as partners and as project leaders)
To support innovation policy
Health Theme strategyto encourage SME participations
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Supporting SME participation
Fit for Health (complemented by SM BioPower, now finished):
• Increase SME participation in Health proposals
• Support SMEs during negotiation & projects lifetime
• Valorisation of results
Kappa Health (now finished):
• Survey on success factors in FPs participation (see clips)
• Valorisation of results (training + coaching)
Support for Innovation WP 2012 topics (under evaluation):
• Technology/knowledge transfer support-network
• IPR/Knowledge transfer trainings for IPR management, business plan, company launch …
Commission survey on impact assessment & valorisation of results
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SMEs: Reasons to join EU health projects
11/04/23
8%16%
9%18% 16%
3% 5%
8%
10%
11%
12% 17%
5%8%
8%
10%
14%
15%
21%
14%14%
16%
13% 22%
23%
17%
26%
46%40% 40%
3% 2%
29%
31%20%
26%
20%19%
24%18%
13% 10%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Integration in a EUnetwork
Access tomultidisciplinary
academicexpertise
Large Scale orscope that cannot
be achieved atNational /
institution level
Funding notavailable in your
country
Access to specialresources andinfrastructures
Links to Industrial Access to otherexpertise
5 - Very Important43210 - Not relevant
75%
50%
Source: Impact assessment questionnaire survey (2011)
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Outcomes from participation (in FP6 & FP7 Health)
Source: Impact assessment questionnaire survey (2011)
40% 39%
26%
23%
18%
57%
12%
17%
25%
46%
41% 41%
34% 34% 33%
27%
20%
0%
10%
20%
30%
40%
50%
60%
Networkingand / or
coordinationof science
Publicationsin "highimpact"journals
Significantexpension
beyond stateof the art
New orimprovedproducts
New /development
ofcompanies,
new jobs
Newresources
Contributionto
internationalresearchinitiatives
Clear benefitto patients
Free accessto important
data
New orimprovedprotocols
Patents Trainingprogrammes
Otherimportantoutputs
AcademicSMEs
*5 choices possible
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Outlook for 2013
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Outlook for SMEs in Europe Impact of economic crises
● European Biopharmaceutical Enterprise / Alcimed study (2009):
20% of Europe’s small biopharmaceutical companies at risk of bankruptcy. Risk of loss of 20,000 high-skill, high-value jobs and a permanent damage to Europe’s research capacities.
● Europabio survey (2010): 86% of national associations consider that the main funding gap
is at the later stage of product development 57% of national associations linked the funding gap to proof of
concept stage
● DG R&I, Health conference (2010): Main conclusions: EU should help address the 'valley of death' by financing proof-
of-concept schemes similar to small business innovation research (SBIR) in the US, eventually with small early funding for proof of concept, followed by the second phase project funding.
11
Evolution of private equity funds raised in Europe
Source: EVCA/PEREP_Analytics
12
Technology offer SME questionnaire
(July- Sept. 2011)
● All FP6 and FP7 health SMEs (1,236) contacted
● ~1,000 SMEs received the questionnaire
● 106 replied (10%)
● 60-70% have developed / are developing promising technologies and are seeking:
Licensing opportunities Technical cooperation Joint venture agreement Manufacturing agreement Commercial agreement
13
Feedback from SMEs
• “This project allowed our company to enter a commercial space which it may have had difficulty in doing if funding had to be raised through private equity.”
• “We have the opportunity to benefit from both patients and the scientific community.”
• “The EU funding has enabled our company to be in a position where the raising of significant capital has been made easier through being able to demonstrate clear capability in this area.”
• “It allowed the company to expand its service offer, raise awareness about its activity among the pharmaceutical industry and accelerate the internal product development.”
• “Being very young in the market this is a very important opportunity. It gave us access to knowledge and innovative technologies and processes. And the possibility to establish important networks for our business.”
14
SME Strategy in 2013 work programme
Commission proposal:
• ~20 SME / industry targeted topics (min. 15%, 30% or 50%)
• Special topic on translation of promising FP projects results into innovative products/services
15
Case: EuropeanBiomedical Technologies sector
● Key sector for European competitiveness500,000 jobs EU 18,000 Companies 80% of them are SMEs
● Very innovative sectorShort Product lifecycle (~ 18 months)
● But dispersed due to broad range of technologies
16
Activities at EU level
-> R&I Funding of sector Medical Technologies
Mainly:● Health theme: - FP7 so far: 54 projects funded with a budget
of 252M€ 9 of the projects are coordinated by SMEs and 43 projects have more than 2 SME as participants
- FP6 - an estimated contribution of ~100M€
Additionally:● NMP theme● ICT programme● CIP
17
Biomedical Technologies: Cutting edge Project Example
● LIFEVALVE: Living autologous heart valves for minimally invasive implantable procedures Hi-tech + highly interdisciplinary project Combination of tissue engng. approach with strong clinical
component i.e. minimally invasive surgery (and first clinical trials)
Coordinator: Simon P. Hoerstrup, UNIV. Zuerich 8 partners, thereof 3 SMEs
XELTIS (CH), worldwide leader for tissue engineered cardiovascular implants.
PFM AG (DE), specialised in medical technology products in the fields of pathology/histology, OP/anaesthesia, infusion therapy and interventional technologies.
QTIS/E BV (NL), focuses on development of tissue engineering applications and enabling technologies.
18
Last Call FP7
●Regenerative Medicine
Topic 1.4-2: Tools, technologies and devices for application in regenerative medicine. (>30% for SMEs)
Topic well covered; 76 proposals submitted, 7 funded,
4 led by SME/IND and in total nearly 50% of budget to SMEs.
Innovaliv aims to provide the EU healthcare system with a renewable and reliable GMP source of functional clinical-grade hepatocytes generated from EU hES lines.
Biomagscar propose to use a biodegradable magnetised stent to deliver a novel biological therapy offering regenerative medicine solutions to the coronary artery vessel wall.
Bio-comet is a bioreactor with automated, controlled, reproducible and GMP compliant operation will be developed for the manufacture of engineered tissues, instrumental to facilitate the broad utilization and commercialisation of tissue grafts as therapeutic solutions.
19
Impact of EU Research&Innovationfunding activities
● EU competitiveness - Strengthening / creation of SMEs - Filing / licensing of patents - Creation of jobs
● Improvement of Public HealthDevelopment of technologies for better
diagnosis and improved treatment Bringing novel technologies faster to marketSpecial added value in context of ageing
population
20
Potential contributionto EIP on Active and Healthy Ageing
● Novel medical devices
● HTA (cooperation, new approaches)
● Joint Programming (Neuro)
● Best practices (clinical)
● Gathering of key stakeholders-> Context: Europe 2020 strategy