“Who even knew we had one?”
The GTA’s microelectronics industry and the role of nonmarket governance
Prepared for:
The 7th ISRN Annual Conference, Toronto, May 5-7, 2005
Tijs Creutzberg
Ph.D. Candidate,
Department of Political Science,
University of Toronto
Context
• Re-scaling of the economy (e.g.
Swyngedouw 2003, Jessop 1994)
• Change in relative importance of economic
institutions
• Subnational institutions more prominent
• Economic communities (e.g. Henton 1997)
Two types of governance
Framework governance
Primary
actors
Initiatives
Governance
patterns
•
National / regional
governments
• Industry Associations
•
•
Trade agreements
Innovation support
programs
• Funding of basic research
• R&D tax credit
• Higher education
•
•
Policy networks
Policy communities
Strategic governance
Civic entrepreneurs
Municipal / regional governments
University professors
Regional / technology associations
Localizing R&D facilities & knowledge
investments
Strategic business recruitment /
retention
Curriculum development at local
institutions
Strategic planning
Technology commercialization support
Community-led socio-economic
governance networks
Two types of governance
Framework governance
Primary
actors
National / regional
governments
Industry Associations
Strategic governance
•
•
•
•
•
Civic entrepreneurs
Municipal / regional governments
local professors
Regional / technology associations
Initiatives
Trade agreements
Localizing R&D facilities & knowledge
Innovation support programs investments
• Strategic business recruitment /
Funding of basic research
retention
R&D tax credit
• Curriculum development at local
Higher education
institutions
• Strategic planning
• Technology commercialization support
Governance
patterns
Policy networks
Policy communities
•
Community-led socio-economic
governance networks
Geography of Fabless Microelectronics
Leading Fabless IC Suppliers by revenue, 2003
1
Qualcomm
US
16
Silicon Laboratories
US
2
Nvidia
US
17
Realtek
Taiwan
3
Broadcom
US
18
SST
US
4
Xilinx
US
19
PMC Sierra
Canada
5
MediaTek
Taiwan
20
ICS
US
6
ATI
Canada
21
Lattice
US
7
SanDisk
US
22
Zoran
US
8
Altera
US
23
Genesis Microchip
Canada
9
Marvell
US
24
SMSC
US
10
Conexant
US
25
Zarlink
Canada
11
VIA
Taiwan
26
Ali
Taiwan
12
Qlogic
US
27
Cirrus Logic
US
13
GlobespanVirata
US
28
ESS
US
14
Sunplus
Taiwan
29
DSP Group
US
15
Novatek
Taiwan
30
Semtech
US
Source: IC Insights, 2003
The Greater Toronto Area at a Glance
Population:
5.3 million
Span:
5 regions, 29 municipalities, ~7,000 Km2
Gross regional product:
$US109 billion
Labour force:
Over 2 million; 60% has completed some postsecondary education
IT firms / facilities
Over 3300
IT employment
148,000
Source: GTMA
Lake Ontario
Early strategic efforts
1950s-1970s
•
•
Key actors
• Federal government (DOD, DTIC)
• The University of Toronto
• Multinationals
Initiatives – government partnerships with chosen
firms
• Technology procurement
•
Navy / Ferranti – DATAR tracking system
• Technology development
•
•
DTIC / CDC - computers
Multilevel dimension
• National engagement of local (Toronto based) actors
• National leadership – ‘moral persuasion’
Strategic initiatives in 1980s-1990s
•
•
•
Key actors
• Federal (DTIC, Granting council)
• Provincial government
• The University of Toronto
Initiatives – capability hubs
• Microelectronics Development Centre
• Canadian Microelectronics Corporation
• University based centres of excellence – Micronet / CITO
Multilevel dimension
• Ad hoc, fixed-term support
• No long-term strategy
• A mix of local and supra-local leadership
Contemporary strategic governance: more of the same
only less…
•
•
Retrenchment of the federal government –
Micronet
• “the federal government thought microelectronics was
done”
Disengaged local associative system
• No strategic outlook
• Competitive
• Traditional – lobbying, information providers
…though with some signs of a strengthening local
dimension
• Toronto City Summit Alliance
• Toronto Region Research Alliance
• Department of Electrical and Computer
•
Engineering
City of Toronto
• Toronto Competes
• Markham
• Innovation Synergy Centre
Summary: A GTA Model?
•
•
Observations
• Federal government less involved
• No local uptake – local strategic coordination is weak
Governance network
•
•
•
•
Weak linkages between various nodes of actors
Multilevel – though little coordination
No regional focus
Localizing dynamics do exist:
•
•
•
Engineering professors
Municipalities
Transition point?