Industry’s 2009 R&D Spending Rises at Universities

The National Science Foundation Survey of Research and Development Expenditures at Universities and Colleges reports that private companies significantly increased their percentage of R&D spending on science and engineering at American universities in the government’s 2009 fiscal year. R&D spending at universities from all sources increased to $54.9 billion from 2008 to 2009, an increase of nearly 6 percent. However, industry’s contribution to university science and engineering research increased 11.6 percent to $3.2 billion. (Spending levels are adjusted for inflation.)

While industrial sources made the largest percentage increase, the Federal government continued to provide the majority of institutions’ R&D money; see graphic below. Nearly six of every 10 dollars spent on R&D came from Federal agencies in FY 2009, with the schools themselves kicking in another two in 10 science and engineering research dollars. Industry’s share of the contributions continued to be small in comparison, although the percentage edged up from 5.5 to 5.8 percent from 2008 to 2009.

National Science Foundation data

The report indicates that some 60 percent of R&D performing academic institutions in the U.S. are public rather than private, thus more of the research dollars went to public than private schools. About two-thirds (68%) of the $3.2 billion from industry went to public institutions, a somewhat larger percentage than the Federal government’s public university share (62%)