WHITE SPACES INNOVATION IN SWEDENmies that became too dependent upon the s<strong>in</strong>gle sector of f<strong>in</strong>ancial services and especiallyf<strong>in</strong>ancial securitisation have had catastrophic experiences, the repercussions ofwhich were still be<strong>in</strong>g felt years later <strong>in</strong> the revolutions occurr<strong>in</strong>g <strong>in</strong> North Africa.These and the earlier sovereign debt crises of Greece, Ireland and Iceland and severedownturns <strong>in</strong> economic activity <strong>in</strong> many OECD economies were testimony to the occlusionof the neoliberal experiment that lasted from the 1980s to the present day. Europe2020 has been the EU‟s response and appeal to make European Union member-stateeconomies more connected to real-world needs <strong>in</strong> terms of Susta<strong>in</strong>ability, Energy,Healthcare and Demographic Age<strong>in</strong>g, the <strong>in</strong>puts <strong>for</strong> which demand domestic as well asreduced overseas sourc<strong>in</strong>g that it is hoped will, nevertheless, enhance opportunities <strong>for</strong>EU bus<strong>in</strong>esses to penetrate new overseas markets <strong>in</strong> Cleantech, Renewable Energy,Susta<strong>in</strong>able Cities, Efficient Healthcare and various related Digital Applications. Thismeans, to repeat, explor<strong>in</strong>g „white spaces‟ at home to <strong>in</strong>novate abroad.Östsam Regional Development Agency, ÖstergötlandIn the case of Östsam this means some reflection upon its central idea of market shap<strong>in</strong>gand possibly tak<strong>in</strong>g bolder steps to assemble critical mass to engage <strong>in</strong> „strategic nichemanagement‟ of <strong>in</strong>novations <strong>in</strong> areas that hitherto have been largely left alone. Strategic<strong>in</strong>novation implies more collective, even collaborative knowledge-shar<strong>in</strong>g and <strong>in</strong>novationexploration than was the case <strong>in</strong> the earlier less-regulated regime characterised byglobal free trade and neoliberal „light-touch‟ regulation. A good example is the generallypoor ef<strong>for</strong>ts made by governments to secure strong voluntary regulation of ClimateChange <strong>in</strong>fluences <strong>in</strong> the shape of greenhouse gas emissions and associated globalwarm<strong>in</strong>g. In brief, more must be done at the lower, faster reaches of the multi-levelcomplex adaptive system scale to speed up the work<strong>in</strong>gs of the larger, slower upperreaches of complex system adaptation. One way <strong>in</strong> which Östsam conceives of this is toface up to its previously sceptical view of their role as cluster-builders and recognisethat, <strong>for</strong> example, it has a significant Cleantech cluster <strong>in</strong>volved <strong>in</strong> manufactur<strong>in</strong>g biofuels,biogas reactors and turb<strong>in</strong>es (Siemens, Alstom turb<strong>in</strong>es) and waste-<strong>for</strong>-power recycl<strong>in</strong>g.L<strong>in</strong>köp<strong>in</strong>g supports biogas buses, taxis and car pools with free park<strong>in</strong>g. But becauseÖstsam focused on technology push largely based on academic excellence theGrand Challenges concept of evolv<strong>in</strong>g demand-driven <strong>in</strong>novation plat<strong>for</strong>ms was overlooked.This, and disappo<strong>in</strong>t<strong>in</strong>g experiences with PEA and HMV technology push hascaused a partial re-th<strong>in</strong>k. Reliance largely on big firms to elaborate demand throughtheir value-cha<strong>in</strong>s or value-stars <strong>for</strong> university-<strong>in</strong>itiated <strong>in</strong>novation has been difficult.Indeed the Triple Helix model itself has been put <strong>in</strong> question because two-thirds of thepartners can contribute so little on <strong>in</strong>novation.Accord<strong>in</strong>gly, Östsam and its few clusters have to demonstrate resilience <strong>in</strong> the faceof such difficulties. As noted, PEA now faces medical and biotechnology as a marketmore than packag<strong>in</strong>g, while HMV after many management turbulences has had to devoteattention to communicat<strong>in</strong>g a narrower vision focus <strong>in</strong> its mission to the market it66
WHITE SPACES INNOVATION IN SWEDENaims to shape. Many bridges have had to be built or re-built with transverse organisations<strong>in</strong> smart e-health, biosensors, self-monitor<strong>in</strong>g devices, alarm systems, memorysystems and even defence research and public <strong>in</strong>stitutions like ALMI, <strong>Innovation</strong>sbronalongside V<strong>in</strong>nVäxt clusters like Smart Textiles, Robotdalen and Halmstad Liv<strong>in</strong>gLab‟s ma<strong>in</strong> application field of health technology aimed at empower<strong>in</strong>g elderly people.Outside the region and <strong>Sweden</strong> <strong>in</strong>novation contacts with Norway, Denmark and BSR„stars‟ are new cluster-to-cluster <strong>in</strong>itiatives.Pr<strong>in</strong>ted Electronics Arena (PEA)Pr<strong>in</strong>ted Electronics Arena (PEA) is a V<strong>in</strong>nVäxt cluster work<strong>in</strong>g with a typical projects<strong>in</strong>novations-start-upsmodel prevalent <strong>in</strong> the 2000s. Tak<strong>in</strong>g the 2000 Chemistry Nobelprize-w<strong>in</strong>n<strong>in</strong>gresearch of Alan Heeger, Alan MacDiarmid, and Hideki Shirakawa andadapt<strong>in</strong>g its f<strong>in</strong>d<strong>in</strong>gs on polymer conductivity to the packag<strong>in</strong>g <strong>in</strong>dustry. S<strong>in</strong>ce 1988PEA has run with Acreo, L<strong>in</strong>köp<strong>in</strong>g and Norrköp<strong>in</strong>g Universities applications projectslike Project Paella also with packagers Stora Enso, SCA and Tetrapak on „Th<strong>in</strong> FilmElectronics‟ to try to <strong>in</strong>troduce organic polymer <strong>in</strong>ks to the logistics aspects of packag<strong>in</strong>g,without success. The ma<strong>in</strong> success story <strong>in</strong> regard to this technology was the developmentby South Korean firm Samsung of Active Matrix Organic Light Emitt<strong>in</strong>g Diode(AMOLED) technology as the replacement <strong>for</strong> liquid crystal technology <strong>in</strong> the screen itsAndroid and 4G LTE smartphones. Over the years PEA sought to evolve a verticalvalue cha<strong>in</strong> <strong>in</strong> organic pr<strong>in</strong>ted electronics by aggregat<strong>in</strong>g five key nodes as shown <strong>in</strong>Fig. 3.14. The first three steps <strong>in</strong> the cha<strong>in</strong> were built but although PEA was successful<strong>in</strong> build<strong>in</strong>g four or five start-ups to fill the system owners node, each one failed to graspthe opportunity. Without that, no larger firm like Ericsson would come <strong>in</strong> to completethe cha<strong>in</strong> by its proprietary assignment of brand name status to the <strong>in</strong>novation. This wasthe proximate cause of the shift after thirty years of try<strong>in</strong>g the l<strong>in</strong>ear model to the relatednessand transversality approach to cross-fertilis<strong>in</strong>g <strong>in</strong>novation horizontally betweenthe pr<strong>in</strong>ted electronics and bioelectronics <strong>in</strong>dustries. As noted pr<strong>in</strong>ted electronics communicat<strong>in</strong>gwith liv<strong>in</strong>g cells <strong>in</strong> adm<strong>in</strong>ister<strong>in</strong>g treatments with p<strong>in</strong>po<strong>in</strong>t accuracy nowseems more promis<strong>in</strong>g.67