John R Williams Director, Navy SBIR & STTR [email protected]
24 August 2011
DoD/Navy SBIR/STTR Overview
Small Business Innovation Research (SBIR) Small Business Technology Transfer (STTR)
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1. REPORT DATE 24 AUG 2011 2. REPORT TYPE
3. DATES COVERED 00-00-2011 to 00-00-2011
4. TITLE AND SUBTITLE DoD/Navy SBIR/STTR Overview
5a. CONTRACT NUMBER
5b. GRANT NUMBER
5c. PROGRAM ELEMENT NUMBER
6. AUTHOR(S) 5d. PROJECT NUMBER
5e. TASK NUMBER
5f. WORK UNIT NUMBER
7. PERFORMING ORGANIZATION NAME(S) AND ADDRESS(ES) Office of Naval Research ,Code 03TSB,One Liberty Center, 875 NorthRandolph Street ,Arlington,VA,22203-1995
8. PERFORMING ORGANIZATIONREPORT NUMBER
9. SPONSORING/MONITORING AGENCY NAME(S) AND ADDRESS(ES) 10. SPONSOR/MONITOR’S ACRONYM(S)
11. SPONSOR/MONITOR’S REPORT NUMBER(S)
12. DISTRIBUTION/AVAILABILITY STATEMENT Approved for public release; distribution unlimited
13. SUPPLEMENTARY NOTES Presented at the 2011 Navy Gold Coast Small Business Conference, 22-24 Aug, San Diego, CA.
14. ABSTRACT
15. SUBJECT TERMS
16. SECURITY CLASSIFICATION OF: 17. LIMITATION OF ABSTRACT Same as
Report (SAR)
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24
19a. NAME OFRESPONSIBLE PERSON
a. REPORT unclassified
b. ABSTRACT unclassified
c. THIS PAGE unclassified
Standard Form 298 (Rev. 8-98) Prescribed by ANSI Std Z39-18
The SBIR Process
PHASE I Feasibility Research
PHASE III Product
Development for Gov’t or Commercial
Market
Private Sector Investment
Tax Revenue Federal Investment About $2.3B in FY10
PHASE II Research towards
Prototype
Social and
Government Needs
$1M $150K
R&
D I
nves
tmen
t
Non-SBIR Government Investment
$148 billion
The Early Stage “Valley of Death”
Pre-Seed Seed/Start-Up
Early Later Founders,
Friends, Family & Fools
SBIR AWARDS /Angel Investors/ Angel Groups Venture
Funds*
$25,000 $100,000 $1 to 2 million $5 million
Funding Gap
VALLEY OF DEATH
Adapted from: Richard Bendis and
Ethan Blyer, “Creating a National Innovation Framework, Science
Progress, 2009 * Average Venture Investment is $8.3 million
Why would a Small Business Want to Participate in the SBIR/STTR Program ? • Largest source early stage R&D funds for Small
Business – Fed wide ~$2.5B Navy >$325M • No dilution of ownership; owners retain control and
retains data rights for 4 years or more (5 for DoD) • Follow-on awards are contracted non-competitively • Strong commercialization support • No repayment is required
– Government recoupment is through the tax system • Certification effect draws in additional investment
– Signal to private investors of technological validity and commercial promise of the innovation
SBIR’s Advantages for Government
• A low-cost technological probe – Enables government to explore more cheaply ideas
that may hold promise – Identifies dead-ends before substantial investments are
made • Quick reaction capability
– Solicitations topics can respond rapidly to urgent national needs
– Anthrax attacks led NIH to seek and get innovative bio-defense technologies
• Diversifies the Government Supplier-base – Brings in competition, low-cost solutions, new
approaches to address mission needs
6
Over Two Decades of Consolidation: What was over 100 “name plate” primes in the 80s is now five firms…
1990 1991 1993 1992 1995 1996 1997 1998 1994 2004 2003 2002 2001 2000 1999 2005 2006
Sources: DM&A, Washington Technology, Company reports, and CSIS Analysis. Federal Services Defense Hardware Commercial IT
Raytheon REMCO SA
Hughes Electronics BET PLC's Rediffusion Simulation General Dynamics Missile Division
Magnavox
STC PLC–Navigation Systems TRW-LSI Products Inc.
Corporate Jets E-Systems
HRB Systems Inc. Chrysler Techn. Airborne Texas Instr. El. Defense
Raytheon
Allied Signal, Inc. (Comm Systems) Aerospace Group (Australia)
Boeing Australia Ltd.
JPS Communications, Inc. Solipsys
Honeywell International Corp. (Australia)
Photon Research Associates, Inc.
Boeing Boeing Co. Rockwell
Litton Precision Gear McDonnell Douglas
Hughes Electronics Satellite
SVS, Inc.
Autometric, Inc.
Continental Graphics Corp.
Jeppesen Sanderson, Inc.
Hawker de Havilland Ltd. (Australia)
Conquest, Inc.
Frontier Systems, Inc.
General Dynamics
General Dynamics
Bath Iron Works Lockheed Martin Defense Sys, Armament Sys
Lucent Advanced Technology Systems Computing Devices International, Inc
NASSCO Holdings, Inc. Gulfstream Aerospace
GTE Government Systems Corp. Units Santa Barbara
Primex Technologies Galaxy Aerospace
Motorola Integrated Info Sys GM Defense
SIGNAL Corp. Trident Data Systems
MRJ Technology Solutions
Pacific-Sierra Research Corp. DatumCom Corp.
Veridian Corp. Digital System Resources, Inc.
ERIM International, Inc.
Spectrum Astro, Inc. Tripoint Global Communications, Inc.
Engineering Technology, Inc.
Newport News Shipbuilding TRW
BDM International Inc.
Northrop Grumman
Northrop LTV–Aircraft Operations General Dynamics Space Business
Grumman Westinghouse El. Defense
Syscon Corp. Logicon, Inc.
Applied Technology Associates Geodynamics Corp.
Ryan Aeronautical Kistler Aerospace Corp. Alvis Logistics–EDD Business
Inter-National Research Institute (INRI)
Teledyne Ryan Aeronautical
DPC Technologies, Inc. Comptek Research, Inc.
Federal Sys Grp (Sterling Software, Inc.) Federal Data Corp.
NYMA, Inc. Sylvest Management Systems Corp. Tisoft, Inc.
Technical and Management Assistance, Inc. R.O.W. Sciences, Inc.
Telos Corp.
Taratin
PRC (Black & Decker) General Instruments–Defense Varian–Solid State Devices
Litton Industries Avandale Industries
XonTech, Inc.
TASC (Primark)
Lockheed Martin
Martin Marietta Corp. Lockheed
Space Systems Division (General Dynamics) GE Aerospace
Loral Corp. IBM Federal Systems
Unisys Corp Defense Systems
Honeywell-Electro-Optics Fairchild Weston Systems Inc.
Ford Aerospace Librascope
LTV–Missile Business
General Dynamics–Ft. Worth MEL
COMSAT Corp. OAO Corp.
Affiliated Computer Services, Inc. (ACS)
The SYTEX Group, Inc. STASYS Ltd. (UK)
Sippican Holdings, Inc.
7 :>
Small Business Winners
2%
27%
22%
16%18%
13%
3%
0%
5%
10%
15%
20%
25%
30%
1 2-9 10-24 25-49 50-99 100-249 250-499Number of Employees
• Small hi-tech firms from across the country • Many are firms 0 to 3 years old and SBIR funding
first major source of funds
What is unique about the DoD SBIR/STTR Program?
• Focused on the WARFIGHTER
• BIGGEST of the Agencies • Both an investor and a small
business ADVOCATE to the customer
DoD SBIR/STTR Investment Key Technology Areas
0
500
1000
1500
2000
2500
3000
63%
25% 65%
93% 11%
Largest % Growth of Topics from 2004-2009
Source: SBIR & STTR solicitations, FY99-FY09
Num
ber o
f Top
ics
DoD Component Participation The SBIR and STTR programs are executed by 12 and 6 participating DoD
Components, respectively.
Air Force
Missile Defense Agency
Special Opera5ons Command
Army
Defense Advanced Research Projects
Agency
Na5onal Geospa5al Intelligence Agency
Defense Microelectronics
Ac5vity
Navy
Defense Threat Reduc5on Agency
Office of Secretary of Defense
Joint S&T Office for Chemical and
Biological Defense
Defense Logis5cs Agency
SBIR Program Only
SBIR + STTR Programs
Historical SBIR Conversion Rates, by Program Phase
Based on all Phase I and Phase II contracts derived from 1996-‐2005 solicita5ons. Commercializa5on data taken from January 2010 DoD SBIR Commercializa5on Database.
Collaboration during the Solicitation Period
Topic Authors • Q&A direct during pre-release • Q&A electronic bulletin board (SITIS) from
pre-release to close
Administrative Help Desk • Telephone 8am-5pm EST @ 866-724-7457
• Email 24 hours a day at www.dodsbir.net/helpdesk
SBIR Award Recipient Distribution by Firm Size
2%
38%
29%
13%10%
6%2%2%
33%31%
15%
11%
6%2%
0%
5%
10%
15%
20%
25%
30%
35%
40%
1 2-‐9 10-‐24 25-‐49 50-‐99 100-‐249 250-‐500
Number of Employees
Phase IPhase 2
Based on FY09 Annual Report; Firm Data taken from Company Commercializa>on Report
Based on FY09 SBIR Annual Report Data
Phase I Phase II
SBIR Award Recipient Distribution by Prior Experience
Two main goals of Navy SBIR/STTR Program:
• Use small business to develop innovative R&D that addresses a Navy need
• Commercialize (Phase III) that technology into a Navy platform or weapons system
Navy by the Numbers Metric FY08 FY09 FY10 Total Funding per FY $274M $328M $342M Navy SBIR Topics issued that FY 219 224 233 Number Of Phase I Proposals 2708 3555 4098 Navy Phase I Awards from FY Solicitations 555 597 658*
Avg time to award Navy Phase I contracts 4.5 mo 4.8 mo 4.3 mo* Navy Phase II Awards during FY 272 240 296* Avg time w/o funding between Phase I & II 8.2 mo 7.5 mo 8.6 mo* # Phase II.5’s (>$1M) ending in FY 43 45 63 Navy Phase III Awards during FY 90 126 131 Amount of Navy Phase III Awards that FY $307M $362M $566M SBIR/STTR Projects presented at Forum 172 177 205 Attendees at Navy Opportunity Forum 1,252 1,448 1,367
* Awards still being made On Average 1500 SBIR and 200 STTR Open Contracts to manage
Navy SBIR Organization • Program Administered by the Office of Naval Research
• Program Participants • Naval Sea Systems Command (NAVSEA): Warfare Centers, PEO’s
and Program Managers • Naval Air Systems Command (NAVAIR): Warfare Centers, PEO’s
and Program Managers • Office of Naval Research (ONR): Science & Technology Directorates
and Naval Research Laboratory • Space & Warfare Sys. Command (SPAWAR): Warfare Centers,
PEO’s and Program Managers • Marine Corps Systems Command (MARCOR): Direct Reporting
Program Managers • Naval Supply Systems Command (NAVSUP) • Naval Facilities Systems Command (NAVFAC)
Navy follows TECHNOLOGY PULL APPROACH
• Over 80% of Navy Topics are selected by PEO/PM/FNC office and address one of their specific needs -- not just “sponsored by”
• Topics and awards based on their R&D priorities and SBIR funding allocation. The PEO gets back 90% of their tax
• Many contracts awarded/monitored by lab employees with Acquisition Office POC involved
Year 6
CONTRACT TYPE -
Non-SBIR $
FFP Contract
CPFF or FFP Contract CPFF or FFP Contract Any
TRL - 0-3 2-5 4 7 6-9
NAVY SBIR/STTR Award Structure and Phase II.5 — Transition Strategies
Phase III
variable
Enhancement* ~ 12 mo.
$≤ 750k SBIR
Cont. Dev. 12 – 18 mo.
TP (Transition Project)* ≤ 2 yr.
$≤ 750k SBIR TTA Required
Phase 1 6 mo.
Phase 2 18-24 mo.
TTA Required
$80k $70k Base up to $750K Some Require TTP
$≤ 1.50M SBIR
NTE $150K NTE $1M NTE $1.5M NTE $2.65M
Opt. ~ 9 mo.
$≤ 250k SBIR
Year 1 Year 2 Year 3 Year 4 Year 5
Feasibility Technology
Development and Prototype Demo.
ACTIVITY - Prototype Testing & Evaluation Technology Demonstration & Validation
SBIR FUNDS -
Option 6 mo.
Navy SBIR/STTR Website www.navysbir.com
Navy SBIR I STTR Home
The 2010 Navy Opportunity Forum June 7- 9, 2010
Hyatt Regency* Crystal City, VA
Upcoming Navy SBIR/ STTR sol icitations
The Navy SBIR/STTR solicitations are released as part of the DoD SBIR/STTR solicitat ion process. On average, the Navy and DoD release 3 SBIR solici tations per fiscal year. The Navy STTR program generally part icipates in only 1 solicitation per year, normally released in January .
Browse Phase I Sel ections
I SOIA 2010.1 ::::J ~
Quick Search Recent Abstracts
I FY-GG. I bad< to FY.()4 ::!J ~
estvargd StJ!"d!
Tips for Succeeding w/Navy Just Getting Started? • Research topics consistent with your business
strategy. Current and past solicitations identify Navy technology needs. Know Navy structure.
• Submit proposals for solicitations your company can solve. Prepare to be innovative.
Already have a Phase I? • Know your target platform/system for insertion. • Build strategic partnerships (Primes, Universities,
Acquisition Managers, Program Managers). • Plan commercialization path early with TPOC.
How To Search Current SBIR/STTR Solicitations
Federal Wide www.zyn.com/sbir
DoD Only
www.dodsbir.net Good for get list of all topic titles but ZYN
is better as topic search tool
Search project inventory www.navysbirsearch.com
Search
General Search DTIC Categories
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m icrobial fu el cell
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• Navy Awards (2560)
addition to this important . civil ian markets • cost effective • directed energy . electrical
power . eleclroactive polymers . military and commercial . novel material
• oxidation process . Physical Sciences . potential commerc ial . service life • Army Awards (81)
• A ir f orce Aw ards (93)
• Other OoO Awards (58) • shipboard w astewater • significant market for the resultant . surface ships • 1..11dersea vehicles
• waste disposal • wastewater treatment . Water Contaminants
Displaying 1 -15 out of 2792 Total Results Next > >
96.62% Benthic 1\'licrobial Fuel Cells Engineered for High Power Density Summary: Benthic Microbial Fuel Cels Engi'leered for High Power Density. This vvill be accomplished by selective preemptive colonization of electrodes with natl..l'aly-derived marine or s ecimentary microbial popuk:rtions that most effectively gener ate electrical current . Anti~ated
benefits of the benthic fuel cell-based power device as c ompared to existi"lg marine power s oiSces, such as s ea water batteries ..
Topic llumber: NOS-T028
Firm tlame: Scribner Assoc iates Incorporated
Phase: I
Award Start Date: 06!23!2008
Award End Mod Oo1c: 0 710812000
Source: Navy Awards
96.62% High Power Density Sediment Microbial Fuel Cell for Powering Seafloor Sensors Summary: High Power Density Sediment Microbial Fuel Cell for Pow ering Seafloor Sensors. To reach the Navys target power density for sedime~ary fuel eels a dramatic ifTl)rovement in rrJcrobial fuel eel electrode currert densiy must be actjeved . Lynntech , in collaboration w ith Texas A&M universiy , proposes to solve these problems l.tilizing novel materials and unique biomimetic electrode designs to great ..
Topic llumber: NOS-T028
Firm tlame: l ynntech, lnc.
Phase: I
Award Start Date: 06!23!2008
Award End Mod Date: 0412412009
Source: Navy Awards
96.62% Rapid Bioelectrochemical Monitoring Shipboard Effluent Summary: Rapid Bioelectrochemical Monitoring Shipboard Effluent. To address the Navys need for real time monitoring of orgarjcs in wastewater tr eatment systems , Lynntech proposes a rricrobial fuel eel based sens or for monitoring Biological Oxygen Demand (BOD) of shipboard effk.lents . By providing near real-time feedback about the performance of marine saniation devices , crew members can adjust the
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