The contribution of academic†industry interaction to product innovation: The case of New York State's medical devices sector

This note examines the role of academic†industry linkages in the innovation performance of New York State manufacturers of medical devices. Evidence from a pilot survey of 63 specialised producers suggests that innovation rates are higher among firms that exploit university resources. The contribution of the academic sector to industrial innovation is quantified via a series of OLS regressions. These models suggest that geographic proximity to academic resources is less important to the innovation process than the extent of academic†industry interaction (though the two are positively correlated). While the empirical results confirm that close proximity to academic research units is a helpful factor in product development, the data reveal that non†geographic factors play a stronger role overall. Factors of notable significance include in†house R&D effort, investment in academic interaction and the extent of collaborative research with other manufacturing firms.