Innovation Task Force on The Framework for Sustainable Economic ...

The emerging new enterprise should be clustered on certain likely technology “hot
spots” that can leverage the IP and technology of the stakeholders, can emerge
as international players, and can create significant and broad employment
opportunity. The likely categories include;
a) Indigenous Based Spin-Out Companies from multinationals – products,
technologies and teams managing a viable enterprise that not are core to
the corporate interest;
b) Restructured or New Indigenous small and medium enterprises (SME’s) –
reinvent an existing enterprise through the acquisition of new technology
and/or the provision of existing or modified technology to new markets;
c) New joint ventures, including multinational companies – emerging
convergent technology opportunities that are cross sector and require a
combination of existing and new IP/Technology to develop and test a new
market solution.
Each new enterprise/venture may be described as above or a hybrid of the
above and must be capable of addressing global market opportunities. In this
context those new companies must have the opportunity to use the island as a
test market to validate the potential of their products and services.
Encouraging multinationals to create and locate IP within Ireland is currently an
important challenge. The enhanced incentive package in the 2009 Finance Act to
locate IP in Ireland is a significant first step. Additional relief (such as an increase in
R&D tax credits) should be specifically devised to encourage the creation of new
foreground IP that addresses a key market need and can be licensed to the
constituents listed above. This will provide a key incentive to stimulate and
differentiate those new ventures.
Recognising that this contribution can be the most important factor in the creation
of the new venture, we need to find other innovative ways to link the tax relief to
AMERICAN CHAMBER OF COMMERCE