Project TELL RESEARCH PROJECT TELL (“TELL - Technological Knowledge and Localised Learning: What Perspectives for a European Policy?”) DELIVERABLE 2.2.3 LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION FEBRUARY 2003 Contract n°: HPSE-CT2001-00051 Project n°: SERD-2000-00115 Title: Project coordinator: Prof. Cristiano Antonelli Laboratorio di Economia dell’Innovazione “Franco Momigliano” Fondazione Rosselli Italy Partners: P01 - Fondazione Rosselli (FR) (I) P02 - Institut de Droit et d’ Economie de la Firme et de l’Industrie (IDEFI-CNRS) (F) P03 - University of Edinburgh – Japanese European Technology Studies (UEDIN-JETS) (UK) P04 - University of Lisbon – Fundaçao Da Universidade de Lisboa (FUL) (P) P05 - Université Libre de Bruxelles (DULBEA) (B) P06 - Science and Policy Research Unit (SPRU) (UK) AC - Istituto de Ciencias Sociais (ICS) (P) AC - Instituto Nacional de Engenharia e Tecnologia Industrial (INETI) (P) Reference period: from 1 May 2002 to 30 October 2002 Starting date: 1 November 2001 LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION Duration: 24 Months 1 Project TELL Table of Contents LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION Centre National de la Recherche Scientifique, Sophia-Antipolis, France (Jessica Michel, Michel Quéré, Sandrine Selosse) 1. INTRODUCTION………………………………………………………………3 2. LIFE SCIENCES IN THE PACA REGION………………………………….3 3. LIFE SCIENCES INDUSTRY: FIRMS FROM PHARMACEUTICALS AND BIOMEDICAL ENGINEERING………………………………………..6 4. PUBLIC RESEARCH…………………………………………………………..9 5. REGIONAL LABS AND THE FIRMS’ LANDSCAPE……………………...14 6. LOCALIZED KNOWLEDGE IN THE PACA REGION: INSIGHTS FROM THE “ALPES MARITIMES” CASE STUDY……………………………..…15 Table of illustration for Part Two Figure 1 Geographic distribution of firms by domains of application……………………………………………...………4 Figure 2 Geographic distribution of the number of firms by field in cosmetology…………………………………………5 Figure 3 Geographic distribution of the number of firms by field in the domain of “Environment, animal and plant sciences”……………………………………………………………………………………………………………………..6 Figure 4 Geographic distribution of firms by domain of application……………………………………………………….7 Figure 5 Geographic distribution of firms by activity in pharmaceuticals and biomedical engineering …………………...7 Figure 6 Geographic distribution of firms registering patents………………………………………………………………8 Figure 7 Geographic distribution of number of patents which are registered by life sciences firms………………..……...8 Figure 8 Geographic distribution of labs number by research category…………………………………………………….9 Figure 9 Geographic distribution of researchers working in labs number by research category…………………...………9 Figure 10 Geographic distribution of labs number by organisation ..………………………………………………………10 Figure 11 Geographic distribution of researchers number by organisation ..…………………………………………….…10 Figure 12 Geographic distribution of the number of PhD students by category of research organisation ..…………..……11 Figure 13 Geographic distribution of labs registration number……………………………………………………………..11 Figure 14 Thematic distribution of labs, researchers and PhD number by category of organisation………………...……..12 Figure 15 Thematic distribution of the number of labs by organisation and life science category……………….………...13 Figure 16 Geographic distribution of labs and firms number in PACA region……………………………………………..14 LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 2 Project TELL LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION Centre National de la Recherche Scientifique, Sophia-Antipolis, France (Jessica Michel, Michel Quéré, Sandrine Selosse) 1. Introduction Activities in the life sciences for the region Provence-Alpes-Côte d’Azur can be decomposed into several domains of applications with several types of actors, public or private, each developing various activities, from research to the marketing of products or services. The aim of this case study is to discuss the extent to which these actors, firms and public research institutions constitute a regional industrial system in the life sciences. Research as an upstream activity results not only from firms, but also, and essentially in the areas of the life sciences, from public research institutes, such as the Centre National de Recherche Scientifique (CNRS), l’Institut National de la Santé et de la Recherche Médicale (INSERM) or university laboratories. The latter are involved in basic and clinical research, and contribute through the discovery and diffusion of new scientific knowledge in life sciences to the development of this area. Creation of new scientific knowledge results not only from public organisations, but also from research efforts undertaken by firms which develop research projects alone or in collaboration with others firms and/or publics labs. Innovation in life sciences arises from relations between the scientific world and the industrial sphere which are becoming increasingly numerous and with a position increasing in significance. Science-industry relationships seem to be in that respect quite important as they generate a restructuration of research activities in the life sciences. The object of this study is two-fold. First, this study aims to identify the potential in life sciences for the PACA region, and secondly, to bring to the fore the local importance and evolution as well of the science-industry relationships present in the life sciences, i.e., to discuss the specific conditions for localised knowledge to occur in those industrial activities. 2. Life sciences in the PACA region. Activities linked to life sciences in the PACA region are concentrated around two major poles: 1. Marseille and the genopole project in the department of “Bouches du Rhône” (13); 2. Nice and Sophia Antipolis in the department of “Alpes Maritimes” (06). As regards the Marseille-Genopole project, the PACA region benefits from its significant potential and an institutional structure completely dedicated to research in genomics. This structure gathers together the different life science actors who interact within this system. Life science activities in the PACA region, in particular the research potential in this domain, are indeed mainly concentrated within the genopole of Marseille. Additionally, we can say that the Marseille-Genopole groups the main research laboratories of the city of Marseille which are working on the key subject areas of: genomics research, bio-informatics, large-scale expression measurements, sequencing (in a relatively modest scale, different from that of Genoscope), animal models, large-scale study of proteins, and applications of genomics to cancer research, human genetics, infectious and parasitic diseases, etc. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 3 Project TELL The Marseille-Genopole project belongs to the national network of genopoles, which was established in 1999 and organised around Evry and the national centres of sequencing and genotyping 1. The Marseille-Genopole project coordinates several types of actors, and especially public research institutions, like CNRS and INSERM, the University of Aix-Marseille 2, hospitals located in the Marseille area, and firms related to life sciences activities. The purpose of this project is to favour relations between these different actors in order to promote science-industry relationships in the areas of the life sciences. Beyond this genopole project, another pole has spread out in the PACA region. Indeed, appearing around Nice is a relative concentration of scientific and economic resources in the field of life sciences. This life sciences’ pole located in the “Alpes Maritimes” also presents diverse resources, various life sciences activities which contribute to the regional life sciences potential. As in the “Marseilles” area, the presence of public research institutes, one university, several hospitals and firms aids in the development of that potential. At the regional level, life science firms exhibit relative diversity regarding their activities – from R&D to marketing – but, this is a point we will return to later. The region benefits from the existence of traditional firms already established for a long time in such areas as cosmetology, fine chemistry, or perfumes, even if those firms were traditionally not connected with local academic resources. Moreover, as regards the regional pole in life sciences, it seems to be relatively important in size (with more than 300 firms present) and it seems very significant that two-thirds of that set of firms are located in the “Alpes Maritimes”. However, the latter are characterised by quite a large diversity, according to the domain of activities. Four domains could be distinguished and this allows for the division of the set of firms into a traditional pole and a more modern one: Pharmaceutical industry and biomedical engineering; Environment, animal and plant sciences; Cosmetology; Other biotechnology2. Figure 1 : Geographic distribution of firms by domain of application. Domains of application Pharmaceutical industry and biomedical engineering Environment-animal and plant sciences Other Biotechnology Cosmetology TOTAL Firms 06 13 70 27 13 3 3 0 148 54 234 84 % 06 13 29,9 32,1 5,6 3,6 1,3 0,0 63,2 64,3 100,0 100,0 TOTAL Nb % 97 30,5 16 5,0 3 0,9 202 63,5 318 100,0 Sou rce : table elaborated from data collected from various sources for this case study. First of all, we have to note that firms are obviously more numerous in the “Alpes Maritimes”. Indeed, 318 firms have been registered in the regional life sciences field, and 234 are located in the “Alpes Maritimes”, representing next to 75 %. Second, we can note that, for both departments, the “Alpes Maritimes” and the “Bouches du Rhône”, cosmetology appears as a domain concentrating a large number of industrial activities. Indeed, at the regional level as well as for each of both departments, more than 60 % of firms belong to this area. Another domain involves quite a large 1 The genomics program favours research development concerning genomes with particular attention on the human genome and the plant genome, all the way from large-scale sequencing to functional genomics, including bio-informatics. 2 Remark : three firms belong to the “other biotechnology” category. They are more precisely, two firms in bio-informatics working close to life sciences firms and one firm which develops specific equipment for high level athletes. LIFE SCIENCES/BIOTECHNOLOGY STUDY 4 IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION Project TELL number of firms: the pharmaceutical industry and biomedical engineering, with about 30% in each department. This domain is followed by “Environment and animal and plant sciences” which represents just next to 5 % of regional activities. Firms in life sciences are mainly located in “Alpes Maritimes”, but we can note that some other types of activities are found in similar proportions in both departments; this fact does not permit us to predict a particular specialisation of a certain activity to one of two departments. As regards these domains of activities more precisely, they can be decomposed into various fields. With regard to cosmetology, we can distinguish four sub-domains: perfumery; cosmetics; parapharmaceuticals and aroma. Figure 2 : Geographic distribution of the number of firms by field in cosmetology. Firms % TOTAL 06 13 06 13 Nb % Aroma 15 3 10,1 5,6 18 8,9 Cosmetic 57 40 38,5 74,1 97 48,0 Parapharmacy 22 4 14,9 7,4 26 12,9 Perfumery 54 7 36,5 13,0 61 30,2 Cosmetology 148 54 100 100 202 100 Source : table elaborated from data collected from various sources for this case study Fields At the regional level, fields which together exhibit the most important numbers of firms are cosmetics with 48 %, followed by perfumes with 30 %. To a lower extent, but nevertheless far from being insignificant, we find Parapharmaceuticals and Aroma, with respectively 13 and 9 % of firms. At the level of each department, firms’ distribution is not similar, as was the case for domains of application. Indeed, in “Bouches du Rhône”, the main field appears to be cosmetics with nearly three-quarters of the overall firms. On the other hand, in “Alpes Maritimes”, a large number of firms are distributed into two fields: cosmetics ( 38.5 %) and perfumes (36.5 %). So, it appears that what distinguishes both departments is mainly the firms active in perfumes; which represent a much more important part in “Alpes Maritimes”. This difference obviously results from the inheritance of perfume activities located around the Grasse area. Indeed, as proportions among different activities are similar, but as the distribution between different fields of each domain is quite different between both poles, such as the case of cosmetology, we have to insist on the importance of local historical inheritance. More precisely, as far as basic research is concerned, it seems that no significant distinction among Marseille and Nice is noticed. However, as regards industrial activities, historical patterns largely contribute to distinguish the two areas, Marseille being more specialised in cosmetics and the pole located around Grasse in perfumes, even if cosmetics is also quite important in the “Alpes Maritimes”. Therefore, regional inheritance prevails on the importance of basic research infrastructure which seems to have developed quite independently from the local industrial tradition. As regards “Environment”, four domains of activities can be distinguished: agro-foods; environment; plant sciences and veterinary sciences. Figure 3 : Geographic distribution of the number of firms by field in the domain of “Environment, animal and plant sciences”. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 5 Project TELL Firms % 06 13 06 13 Agro-foods 4 3 30,8 100 Environment 3 0 23,1 0 Plant Sciences 3 0 23,1 0 Veterinary Sciences 3 0 23,1 0 Environment-animal and plant sciences 13 3 100 100 Source : table elaborated from data collected from various sources for this case study Fields TOTAL Nb % 7 43,8 3 18,8 3 18,8 4 25,0 16 100 First of all, we can note that these different types of activities are concentrated essentially in the department of “Alpes Maritimes” with 13 firms against 3 in “Bouches du Rhône”; even if, by comparison with others domains such as cosmetology or pharmaceuticals, these various activities have a weak importance in the overall set of life sciences activities. But we have to point out the fact that, as far as agro-foods is concerned, Marseille and Nice-Sophia Antipolis are not the central areas where this industry develops at the regional level. At least, we should have considered in more detail firms located in the department of “Vaucluse”, and more precisely, around the city of Avignon, where a specific science park dedicated to agriculture and agrofoods has been established there. Taking this Agroparc project into better account should enhance the importance of agro-food activities in the PACA region; however, as we decided to keep it out of the scope of this study, numbers exhibited around those activities are not fully consistent. As regards life sciences in PACA region, a similar dynamic seems to have developed in both of the poles. Nevertheless, differences can be noticed, notably with regard to the numbers of firms located at each site and the distribution of activities. We will now concentrate on the PACA region potential in pharmaceuticals and biomedical engineering, as well as on the regional distribution of these activities. Having established the importance of science-industry relationships for the production of scientific knowledge in these areas, we will not be interested only in firms, but also in research activities developed by public labs. So we must firstly identify the regional research panorama – public and private – in life sciences, but also with regards to the different types of relationships undertaken between different actors. 3. Life sciences industry: firms from pharmaceuticals and biomedical engineering. Pharmaceutical industry and biomedical engineering represent 30 % of the life sciences activity in the PACA region. In each department, i.e., “Alpes Maritimes” and “Bouches du Rhône”, we identify respectively 70 and 27 firms. We also note a significant difference between both departments as regards the number of firms present. Figure 4 : Geographic distribution of firms by domain of application. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 6 Project TELL Domains of application Pharmaceutical industry and biomedical engineering Environment-animal and plant sciences Other Biotechnology Cosmetology TOTAL Firms 06 13 70 27 13 3 3 0 148 54 234 84 TOTAL Nb % 97 30,5 16 5,0 3 0,9 202 63,5 318 100,0 Sou % 06 13 29,9 32,1 5,6 3,6 1,3 0,0 63,2 64,3 100,0 100,0 rce : table elaborated from data collected from various sources for this case study. This domain can also be broken down into various fields (we identifies five): clinical studies; medical; pharmacy; research and services. The distribution of firms is quite different, not only according to these different fields, but also to the firms’ location. Figure 5 : Geographic distribution of firms by activity in pharmaceuticals and biomedical engineering. Firms Activities Alpes Maritimes Strength % Bouches du Rhône Strength % Var Strength % 0 0 0 0 TOTAL Strength % Clinical studies 9 12,9 9 9,0 Medical 24 34,3 1 3,7 0 0 25 25,0 Biologic and medical engineering 9 12,9 0 0 0 0 9 9,0 Medical sciences 15 21,4 1 3,7 0 0 16 16,0 Pharmacy 8 11,4 5 18,5 0 0 13 13,0 Research 13 18,6 12 44,4 3 100 28 28,0 Services 16 22,9 9 33,3 0 0 25 25,0 Analysis 2 2,9 0 0 0 0 2 2,0 Studies 5 7,1 2 7,4 0 0 7 7,0 Logistics 7 10,0 2 7,4 0 0 9 9,0 Services 2 2,9 5 18,5 0 0 7 7,0 TOTAL 70 100,0 27 100 3 100 100 100 Sour ce : table elaborated from data collected from various sources for this case study. We identify 100 firms in the PACA region, with 70 % located in “Alpes Maritimes”. Only one quarter of these firms are established in “Bouches du Rhône”. As we have seen, a certain number of activities can be distinguished for life sciences firms. These activities vary, but all participate in the development of the life sciences sector. This case study brings to light 5 greater activities, as we can see in the table above. At the regional level, research, medical and services activities represent each one a little more than 25 %. The last quarter of activities gathers together clinical studies and pharmacy. The distribution of activities is quite different according to location of the firms. Thus, it appears that activities located in “Alpes Maritimes” are much more diversified than those of “Bouches du Rhône”. Firms specialised in fundamental research are equally established in both departments. More precisely, 13 research firms are identified in “Alpes Maritimes”, and 12 in “Bouches du Rhône”. On the other hand, there is a disproportional effect as fundamental research firms represent less than 20 % of the activities in “Alpes Maritimes” compared to approximately 45% in “Bouches du Rhône”. Services represent 33 % in the latter department, against 23 % in “Alpes Maritimes”. But, in terms of the number of firms, 16 have been identified in “Alpes Maritimes” compared to 9 in “Bouches du Rhône”. Pharmacy represents at the regional level 13 % of life sciences activities. Eight firms have been identified in LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 7 Project TELL “Alpes Maritimes” against 5 in “Bouches du Rhône” (12 % of activities in “Alpes Maritimes” with a little less than 19 % in “Bouches du Rhône”). Thus, the difference between the two is not as important as it is for other activities, such as research or medical activities. In “Bouches du Rhône”, no firm centrally engaged in clinical studies has been identified, so this activity seems to be marginal in this area; to the contrary, this activity seems significantly important in the “Alpes Maritimes” as it represents 13 % of local life sciences activities. In “Alpes Maritimes”, another peculiarity appears which is the presence of firms concentrating on medical activities, i.e., on medical sciences or biological and medical engineering. More precisely, medical activities correspond to pure R&D activities, surgical or para-surgical materials manufacturing (for instance, products for medical use such as implants and prosthesis, ophthalmological products, etc.). Medical activities are quite important for “Alpes Maritimes”, engaging approximately 35 % of firms (i.e.,24 firms), against one firm in “Bouches du Rhône” (3 % of firms). With regard to the distribution of life sciences activities in the PACA region, disparities are significant, be it in absolute or relative terms. In “Alpes Maritimes”, fundamental research does not seem to represent a significant potential, as regards the number of firms, and some life sciences activities are more representative of the industrial potential, such as clinical studies or also (and particularly) medical activities. It is not the same in the department of “Bouches du Rhône” where life sciences firms are less numerous and represent a less diversified set of activities, that is activities which are especially concentrating on fundamental research. At least, services’ activities represent for both an important potential. Finally, we must note that in the “Var” department, only three firms related to life sciences areas have been identified. The dualistic pattern which appears among both departments is still noticed when looking to patents registered by this set of firms (international – USPTO patents). Indeed, we counted 11 firms which register patents in “Alpes Maritimes” against 3 in “Bouches du Rhône” (and 2 in “Var”). But, on the one hand, in proportional terms, differences are not significant (a little more than 15% of firms located in “Alpes Maritimes” have registered patents against about 12 % in “Bouches du Rhône”) ; on the other hand, this quantity of patents can be considered for now significant. Figure 6 : Geographic distribution of firms registering patents. Activities Alpes Maritimes Strength % Bouches du Rhône Strength % Var Strength % TOTAL Strength % Clinical studies 0 0 0 0 0 0 0 0 Medical 7 64 0 0 0 0 7 43,75 Pharmacy 0 0 0 0 0 0 0 0 Research 4 36 3 100 2 100 9 56,25 0 0 0 0 0 0 0 0 11 100 3 100 2 100 16 100 Services TOTAL Source : table elaborated from data collected from various sources for this case study. Even though in “Bouches du Rhône” only firms developing research activities register patents, we can note that, in “Alpes Maritimes”, registration results especially from firms involved in medical activities. Indeed, only one third of patenting firms are research firms. At the regional level, proportions are more or less equal between the registration of patents from medical firms and from research firms. However, if we consider the number of registered patents, the situation is reversed for “Alpes Maritimes”, as we can see with the following table. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 8 Project TELL Figure 7 : Geographic distribution of number of patents which are registered by life sciences firms. Activities Alpes Maritimes Strength % Bouches du Rhône Strength % Var Strength % TOTAL Strength % Clinical studies 0 0 0 0 0 0 0 0 Medical 18 12,77 0 0 0 0 18 11,25 Pharmacy 0 0 0 0 0 0 0 0 Research 123 87,23 17 100 2 100 142 88,75 Services 0 0 0 0 0 0 0 0 141 100 17 100 2 100 160 100 TOTAL Source : table elaborated from data collected from various sources for this case study. Even if there are fewer research firms registering patents, nevertheless, it appears that they account for more registrations. Indeed, 7 identified medical firms have registered 18 patents whereas 4 research firms have registered 123 patents. Consequently, over three quarters of patents are registered by firms involved in fundamental research activities. Industrial activity in life sciences appears to be very diversified not only with regard to geographic distribution, but also according to different application domains. In seeing the regional industrial panorama in life sciences, it appears that other activities related to research activities were essential to this sector’s development. We now have to concentrate on the characteristics of public research labs. 4. Public research. Regional public research in life sciences results from 138 laboratories which are especially concentrated in “Alpes Maritimes” (55) and “Bouches du Rhône” (83), and more precisely in the cities of Nice and Marseille. This research activity can be decomposed into two categories: basic research and clinical research, even if some research labs are doing both. Figure 8 : Geographic distribution of labs number by research category. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 9 Project TELL Activities Location Laboratories % 22 22,92 Alpes Maritimes Basic research Bouches du Rhône Clinical research Basic and clinical research TOTAL 74 77,08 Total 96 100 Alpes Maritimes 31 81,58 Bouches du Rhône 7 18,42 Total 38 100 Alpes Maritimes 2 50,00 Bouches du Rhône 2 50,00 Total 4 100 Alpes Maritimes 55 39,86 Bouches du Rhône 83 60,14 Total 138 100 Source : table elaborated from data collected from various sources for this case study. The distribution of these activities is quite unequal and basic research activities largely predominate in “Bouches du Rhône”. However, clinical research activities are more significantly present in “Alpes Maritimes”. In the number of researchers, the context is similar. Indeed, basic research fellows represent around 1000 individuals, with more than 85 % located in the department of “Bouches du Rhône”. So, basic research activity is distributed geographically and thematically in a more or less similar manner. Figure 9 : Geographic distribution of researchers working in labs number by research category. Activities Location Researchers Alpes Maritimes Basic research Bouches du Rhône Clinical research Basic and clinical research TOTAL 149 % 14,55 875 85,45 Total 1024 100,00 Alpes Maritimes 149 71,98 Bouches du Rhône 58 28,02 Total 207 100,00 Alpes Maritimes 8 47,06 Bouches du Rhône 9 52,94 Total 17 100,00 Alpes Maritimes 306 24,52 Bouches du Rhône 942 75,48 Total 1248 100,00 Source : table elaborated from data collected from various sources for this case study. Research, depending on whether it’s basic, clinical or both, is carried out by various public institutions. Principally, CNRS, INSERM units and university units (from the University of AixMarseille 2 (l’Université de la Méditerranée) and the University of Nice-Sophia Antipolis) form the major regional resources. The relative importance of those institutions not only varies from Marseille to Nice, but it appears that the respective weight of these different institutions in life sciences research defers depending on whether we consider the number of labs or the number of researchers who work in these labs. Figure 10 : Geographic distribution of labs number by organisation. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 10 Project TELL Organisation strength % Strength % Strength % 06 06 13 13 Total Total CNRS 5 9,1 28 33,7 33 23,9 INSERM 12 21,8 25 30,1 37 26,8 UAM 2 0 0,0 28 33,7 28 20,3 UNSA 38 69,1 0 0,0 38 27,5 INRETS 0 0,0 1 1,2 1 0,7 INSERM/CNRS 0 0,0 1 1,2 1 0,7 Total 55 100,0 83 100,0 138 100,0 Source : table elaborated from data collected from various sources for this case study. Figure 11 : Geographic distribution of researchers number by organisation. Organisation Researchers % Researchers % Total 06 06 13 13 CNRS 131 42,81 458 INSERM 10 3,27 245 UAM 2 0 0 UNSA 165 53,92 INRETS 0 INSERM/CNRS 0 306 Total Total % 48,6 589 47,2 26,0 255 20,4 184 19,5 184 14,7 0 0 165 13,2 0 6 0,6 6 0,5 0 49 5,2 49 3,9 100 942 100 1248 100 Source : table elaborated from data collected from various sources for this case study. For instance, a more important influence of CNRS in “Bouches du Rhône” than in “Alpes Maritimes” is noticeable. However, the relative importance of CNRS is increasing in both departments if we consider the number of researchers rather than the number of labs. Indeed, CNRS represents more than 40 % of public research in “Alpes Maritimes”, even if, by the number of labs, it represents only 9.1 %. In “Bouches du Rhône”, such difference is less significant as it rises from 33.7 % to 48.6 % when the number of researchers is considered. We can also note that the CNRS importance in both departments decreases when the number of researchers is considered. The INSERM context is totally different from the CNRS one. This difference indicates that each scientific institution implements a specific mode of organisation. Thus, CNRS units represent a more important share of public research activity with regard to the number of public researchers present (whatever department may be considered), even if INSERM appears more significant when we consider the number of labs. Actually in “Alpes Maritimes”, INSERM units represent only 3.27 % of public researchers in life sciences, even though they comprise more than 20 % of the labs. In “Bouches du Rhône”, INSERM represents respectively 26 and 30.1 %. Therefore, the distance between INSERM’s importance in terms of number of researchers and of labs is less important in “Bouches du Rhône”. Following these comments, we can say that INSERM labs are different from those of CNRS. These comments show how these research institutions are quite particular in their organisation. In relative terms, research units from universities also represent a weak infrastructure, if we consider the number of researchers for each university unit. Finally, at the regional level, it appears that public research institutions and CNRS notably, are quite significant, in terms of number of researchers. In a complementary perspective, public research institutions and research academic units share research activities between them in a more or less equilibrated manner. A significant differentiation also appears when looking at PhD students in each of both departments: “Bouches du Rhône” is largely ahead of “Alpes Maritimes” and CNRS still appears as the most important actor in life sciences. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 11 Project TELL Figure 12 : Geographic distribution of the number of PhD students by category of research organisation. Organisation PhD % PhD % Total 06 06 13 13 CNRS 59 26,2 234 INSERM 53 23,6 122 UAM 2 0 0,0 UNSA 113 INRETS INSERM/CNRS Total Total % 48,95 293 41,68 25,52 175 24,89 77 16,11 77 10,95 50,2 0 0,00 113 16,07 0 0,0 11 2,30 11 1,56 0 0,0 34 7,11 34 4,84 225 100,0 478 100,00 703 100,00 Source : table elaborated from data collected from various sources for this case study. Like firms, public research labs also exhibit some registration of patents, mainly belonging to CNRS and INSERM. Remark: No patent could be identified as having been registered by academic research units, neither in “Bouches du Rhône” nor in “Alpes Maritimes”. However, we have to insist on the fact that numerous research units are joint units, that is to say linked with public research institutions (as CNRS or INSERM) and with a university. Thus, a patent registered by CNRS for instance may also be used by other academic institutions. Figure 13 : Geographic distribution of labs registration number. Laboratories Department Patents % Alpes Maritimes 7 33,3 CNRS Bouches du Rhône 7 33,3 Alpes Maritimes 0 0,0 INSERM Bouches du Rhône 5 23,8 Alpes Maritimes 8 38,1 TOTAL Bouches du Rhône 13 61,9 TOTAL 21 100 Source : table elaborated from data collected from various sources for this case study. “Bouches du Rhône” exhibits more registrations of patents than “Alpes Maritimes”, with 13 patents registered by public research organisations against 8. However, these numbers are insignificant in quantity. Nevertheless, we must also consider that CNRS appears as the organisation registering the most, with 14 patents against 5 for INSERM. Both departemental units of CNRS record the same results with 7 patents each. Public research in life sciences can be decomposed into various application domains. For example, in “Bouches du Rhône”, labs focus their research on 7 major topics: Genetics-immunology-cancer research; Environment; Microbiology-transmissible pathologies ; Mechanics ; Neurosciences ; Nutrition-metabolism ; Substance structure. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 12 Project TELL Figure 14 : Thematic distribution of labs, researchers and PhD number by category of organisation. Organisation CNRS GeneticsEnvironimmunologyment cancer-research Microbiologytransmissible pathologies Mechanics Neurosciences NutritionSubstance Total metabo-lism structure Laboratories 2 0 8 0 17 1 0 28 Researchers PhD 23 14 0 0 141 81 0 0 249 181 7 5 0 0 420 281 Laboratories CNRS/ Researchers INSERM PhD 1 0 0 0 0 0 0 1 49 34 0 0 0 0 0 0 0 0 0 0 0 0 49 34 Laboratories INSERM Researchers PhD 7 0 3 0 6 9 0 25 79 49 0 0 17 12 0 0 81 29 68 32 0 0 245 122 Laboratories UAM 2 Researchers PhD INRETS Researchers PhD Laboratories Laboratories TOTAL Researchers PhD 7 4 7 1 6 2 1 28 18 9 31 14 48 24 9 4 42 14 21 6 15 6 184 77 0 0 0 1 0 0 0 1 0 0 0 0 0 0 6 11 0 0 0 0 0 0 6 11 17 4 18 2 29 12 1 83 169 106 31 14 206 117 15 15 372 224 96 43 15 6 904 525 Source : table elaborated from data collected from various sources for this case study. Three topics have major importance, whether in terms of labs, or in number of researchers and PhD students; these topics are: Neuroscience with 29 labs and 372 researchers; Microbiology and transmissible pathologies with 18 labs and 206 researchers; Genetics, immunology and cancer research with 17 labs and 169 researchers. In “Alpes Maritimes”, public research can also be decomposed into seven main research topics, even if one lab is involved in several different research topics. Therefore, as regards Figure 14, in the line “CNRS” for instance, the number 6 does not express the number of CNRS labs, but the total of activities implemented by CNRS research units on that topic, for example, considering that one lab can implement activities in the domain of “cellular biology” and at the same time, in the domains of “intracellular signalling” and of “immunology”. Figure 15 : Thematic distribution of the number of labs by organisation and life science category. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 13 Project TELL Cellular biologyintracellular signalling Biology of development Endocrinology GeneticsImmunology Neurobiology Pharmacology Animal physiology CNRS 6 3 2 4 1 1 3 INSERM UNSA 16 1 2 0 4 1 7 1 0 1 1 1 1 3 Organisation TOTAL % 23 5 7 12 2 3 7 39,0 8,5 11,9 20,3 3,4 5,1 11,9 Source : table elaborated from data collected from various sources for this case study. With regard to this table, we note that some themes weigh more in importance than others. This is the case of “cellular biology and intracellular signalling”. Indeed, 23 research labs, most notably including INSERM (16), engage in activities in this domain. This research theme is the most exploited by diverse research labs. “Genetics and immunology” also constitute a quite recurrent theme within sundry labs. With a more or less equivalent weight, “endocrinology” and “biology of development” follow, with respectively 7 and 5 labs which pursue some research in these domains; followed lastly by “pharmacology” and “neurobiology”. According to departments, labs seem to have implemented different development logics. Indeed, they don’t exactly explore and develop the same themes. Nevertheless, all the themes seem to be complementary. We have to note that “Bouches du Rhône” and therefore Marseille, seem to develop research activities structuration with a rather disciplinary type, even though “Alpes Maritimes”, and thus Nice, also present a more thematic type of structuration. To conclude, we can note that labs located in “Bouches du Rhône” apply more effort in basic research, so this department seems to record a certain deficiency in clinical research. The opposite situation can be observed in “Alpes Maritimes”. In PACA region, research activity is distributed in an unequal manner. On the one hand, labs are concentrated around two poles, Marseille and Nice-Sophia Antipolis, and on the other hand, the location of research activities differs depending on whether it concerns basic or clinical research. 5. Regional labs and the firms’ landscape. As regards the industrial and scientific panorama of life sciences activities in PACA region, namely implemented by the activities of public and private actors, the first fact that we can establish is the existing paradox concerning the location of these activities within both departments. This paradox not only concerns the distribution of the actors themselves within PACA region, but also, the regional distribution of these activities that can evolve from these different actors. So, we can note a certain imbalance with the number of firms, but also with the number of labs (even if, this is at a lesser level) than we can register in both departments where life sciences activity is concentrated. Figure 16 : Geographic distribution of labs and firms number in PACA region. Actors Laboratories Firms Departments Alpes Maritimes Bouches du Rhône Total Alpes Maritimes Bouches du Rhône Total Strength 55 83 138 70 27 97 % 39,9 60,1 100 72,2 27,8 100 Source : table elaborated from data collected from various sources for this case study. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 14 Project TELL Indeed, near to 60 % of labs are concentrated in the department of “Bouches du Rhône”, even though concurrently, this department only gathers together less than 30 % of life sciences firms. Even though scientific potential, at least quantitatively, is located around the pole of Marseille, industrial potential is concentrated around Nice-Sophia Antipolis. For all that, we have to note that this latter pole also has some scientific resources at its disposal, even if these resources essentially concern clinical research. Another regional duality between both departments justly results from the fact that labs located in “Bouches du Rhône” essentially implement basic research activities, to the detriment of clinical research, while in “Alpes Maritimes”, the situation is reversed. In the end, at the regional level, it appears that basic research is distinctly more developed, seeing that for all disconcerted departments, it represents nearly 70 % of basic research undertaken by public labs’ research activities. The firms’ activities also show regional differences. Indeed, as we have seen, both poles do not present the same characteristics as with their local industrial tissue. So the question which can be put forth is how to know what explains these differences. In the next part of the regional study, we will focus on the Alpes Maritimes area in order to investigate in more detail the perception of local firms, as regards the existence of localised knowledge. We are conducting a series of interviews with the most significant research-based SMEs in order to identify the importance of local ties for the working of their activities. 6. Localized Knowledge in the PACA region : Insights from the “Alpes Maritimes” case study We tested some of the hypotheses expressed in the previous part by developing a set of interviews with a sample of firms located in the surroundings of the Nice Area. Those firms have been investigated in the aim of highlighting some major trends that were established from the quantitative analysis of the PACA resources in life sciences. Mostly, we wanted to consider the dualistic patterns by understanding the relative importance of applied (or clinical) research in the Nice area as well as the reasons for a concentration of industrial firms related to life sciences in that geographical area (in contrast to Marseille). Actually, the set of interviews allows us to suggest a few crucial patterns, as regards the importance of localised knowledge and collective learning based on geographical proximity effects. At least, the discussion is synthesised by addressing eight crucial patterns: 1. Industrial concentration in the Nice area is mainly due to a positive image effect Most of the firms related to those sectors are located in the surroundings of Nice because of the positive image effect of the French Riviera. The latter is quite systematically indicated in order to justify for the location, essentially because it allows for improving relationships with main customers. The attractiveness of the French Riviera (the importance of the Nice airport, the quality of accommodation, the leisure dimension of the area, the climate influence as well as the multi-cultural aspect of the Riviera) is a major explanatory variable in order to understand this industrial concentration. At least, for certain segments of activities like cosmetic for instance, only two economic poles can be considered for locating in France (Paris or the Côte d’Azur). 2. Industrial concentration is mainly focussing on activities at the periphery of life sciences Many of the firms we met are developing market niches that are very specific. Most of them are concentrating activities in areas such as parapharmaceuticals, cosmetic or even dermatology in such a way that they are not directly involved in the traditional conception of life sciences applications. The industrial concentration in the Alpes Maritimes area is essentially due to the development of such LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 15 Project TELL “peripheral” activities as regards the usual way by which life sciences activities are defined. However, these research-based SMEs are confronting international competition in those market niches. Many of them have no local competitors but act on markets where competitive pressure is mainly due to US firms. They also act world-wide, including US and Asian customers. 3. Local attractiveness is more due to the location of potential customers than to the scientific potential Interestingly, the SMEs in the sample express the feeling of having a geographical advantage which is the location in the Monaco area of a few large multinational corporations (Biotherm, Lancaster, Arkopharma, etc.). If the latter could be thought of as targeted customers for SMEs (which they are not), the advantage lies in indirect effects from the location of these large corporations. Actually, purchasing firms of those large firms are visiting the area quite frequently and this is a source of potential advantage for SMEs in the environment. When a purchasing firm visits these large corporations, it is quite easy to expand their contact lists to some of these SMEs. This appears as one indirect advantage, beyond the image effect of the French Riviera. There are some secondary effects, as regards the working of the local labour market. The location and concentration of those large corporations can be thought of as an opportunity as it also represents a reservoir of human resources that can be helpful in the working and growth of surrounding SMEs. To the contrary, relationships between SMEs and local public research infrastructure seem to be very weak. This is due to two converging factors. On the one hand, SMEs are exploiting market niches and related products. As such, they do not need high levels of R&D and R&D activity is mainly the result of in-house capabilities. On the other hand, those market niches do not involve high requirements in terms of analytical understanding of the products’ effects. Therefore, it is obvious that there is no need to connect importantly with the state-of-the-art as regards progress of science. However, this is changing quite importantly under consumers’ pressure. There is a growing concern about quality and the expected effect of products that oblige SMEs to be more aware of their products’ effects (primary and secondary as well). 4. Localised Knowledge, interactive learning and regulatory constraints We get the feeling that regulatory constraints can directly play a positive role in the working of localised knowledge. More precisely, we want to emphasise the reverse assumption, that most of the SMEs we met are avoiding the traditional regulatory regimes in pharmaceutical activities which are the products’ approvals. By developing cosmetological and para-pharmaceutical products, most of those SMEs are facing weaker legal obligations, and they can work in a much more isolated way, each from the other. Not only contact with the scientific expertise is lower, but the commonality of facing the same legal constraints (products’ approval procedures) limits the interactions among them. To the contrary, the way they can exploit market niches independently one from the other is enhanced by this higher liberty, as regards the regulatory regime. 5. Localised knowledge, interactive learning and cost constraints The major mark of localised knowledge from the set of SMEs investigated lies in reasons of costs. There is a current and general tendency to increase outsourcing (be it the research, manufacturing, and/or distribution phase of the production process). In order to face that tendency, there is an obvious trend which is to favour local partnerships as far as cost concerns being more or less comparable. Coordination and transaction costs with regard to the outsourcing process, are thought to be decreased in the case of local cooperation, as it is much more easier to control for quality issues as well as for adjusting product specifications. There is an insistence on the distinction between sub-contracting and outsourcing, as regards the quality of the relation among the partners. The latter should imply trust but also management and continuous interaction for which local proximity is thought of as an advantage. Indeed, localised knowledge effects for those activities are centrally to be found around the set of interactions among various activities that are not solely belonging to life sciences’ activities. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 16 Project TELL Manufacturing, instrumentation, design, packaging, IPRs’ consultancy activities are all part of a network gravitating around those para-pharmaceutical and cosmetological firms. Therefore, localised knowledge for this productive system is much less concerned with science-indsutry relationships than with integrating all facilities that can reduced the cost function as well as increase firms’ reactivity. 6. The weak influence of science resources on localised knowledge effects Local science-industry relationships are weak, as we already pinpointed. However, scientific resources are marginally activated under two main types of connections. The one is punctual expertise, the other is the labour market effect. Punctual expertise exists; but those SMEs are connected to individual scientists more than to scientific institutions. In other words, relations to science are bi-lateral and incorporated in formal contracts that protect SMEs quite effectively. The latter are considering science institutions as potential dangers as they vehicle and disseminate too much information (partly voluntary, but essentially non-voluntary). Consequently, contacts (or contracts) with scientific institutions are considered a risky business and most SMEs are limiting their local contacts to minor connections. The other connection to local public scientific institutions is essentially the labour market effect. SMEs are facing an increasing need to understand analytically all the effects of their products. As such, doctoral and post-doctoral students from the local scientific infrastructure create a good opportunity for finding appropriate human resources and this phenomenon has quite a clear cut regional aspect. Many of the scientists working in those SMEs are originating either from the Marseille or Nice universities. However, this does not seem to be associated, at least for the moment, in increasing relationships between the science infrastructure and those local SMEs. 7. Local science and research-based SMES are nevertheless networking world-wide An interesting characteristic from the sample of local SMEs lies in the internationalisation of their activities. When they required specific capabilities, most of them are able to identify partners and to connect on a world-wide scene. In that respect, local scientific infrastructure is not necessarily an advantage as they are mainly networking with scientific resources at an international level. Moreover, those disciplines do not actually require high equipment or logistical infrastructures for which local scientific infrastructure would be an attractive provider. To the contrary, we already insist on the fact that local SMEs are reluctant to interface with local scientific resources, either because of a traditional gap between scientists’ habits and business requirements (time and cost problems in reacting to firms’ wants), or because local scientists are also world-wide connected and this is perceived as a risk to losing control of innovation processes (secrecy problems). However, local science is also developing industrial contacts and contracts which are world-wide. There is here a sort of paradox as regards the localised knowledge problems. Both research-based SMEs and public research labs are quite impressively connected with the rest of the world. However, local ties among them seem very weak and we get the feeling of two quite effective but importantly divided networks. 8. Local Policy-making The lack of local ties among research-based SMEs and public research labs is a good opportunity to address policy issues, and especially localised knowledge policies. This case study offers a potent example of mismatch, as regards localised knowledge. Industrial opportunities stemming from the working of life sciences in this Alpes Maritimes study appeared very weak, despite the statistical identification of quite a real pole of activities in those domains. To some extent, this Alpes Maritimes study offers an interesting example of coordination failures, as regards the promotion of localised knowledge. Many factors have to be investigated further. For certain, initial conditions matter as an explanatory variable (the lack of industrial tradition). But the weak ability of local policy-makers to solve for the previous mismatch between research-based SMEs and local public research must also be pointed out. This is something which will be under deeper discussion within the workpackage four of the research programme. At least, the conditions for localised knowledge to occur in the case of life LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 17 Project TELL sciences activities are quite interesting to be discussed as we already pinpoint the internationalised character of those activities and their geographical concentration into some specific areas (as in the United States). Certainty, the situation is quite different in Europe and the PACA case study offers in that respect an interesting illustration of what should be under discussion in order to anticipate localised knowledge effects at a regional level in the European context. LIFE SCIENCES/BIOTECHNOLOGY STUDY IN THE PROVENCE-ALPES-COTE D’AZUR (PACA) REGION 18