WELCOME TO

TAMPERE

TAMPERE, INNOVATIVE AND INTERESTING

Dr. Kari Kankaala Director

City of Tampere

World Bank visit, June 6, 2012

GATEWAY TO THE CITY

CONCEPT SKETCH – DANIEL LIBESKIND

Tampere

facts

Some scaling factors

• Region: 350 000 people

• GDP per capita 35 000€

• R&D investments per capita 2 100€ or 6% of GDP

• Most attractive city this decade in Finland (QoL)

• Economic history:

• Manufacturing (textiles, shoes, locomotives, metal…)

prevailed until 1980’s

• Early on ICT development, since mid 1960’s

• Knowledge based cluster development strategy since

early 1990’s, focus on ICT and intelligent machinery

Tampere Region

– Innovative from the very beginning

First in Finland, Northern Europe

1783 1st paper mill

1821 1st textile factory

1842 1st paper machine

1875 1st shoe factory

1882 1st electric light in Northern Europe

Turnover by business sectors, 2010

Source: Statistics Finland, Tailored trend indicator service

Global Market Leaders in Tampere Region

(Tampere CCI, April 2008)

The list is allusive, it doesn’t include all global leaders within the region

• Desec 80% Turnout (switch) laying machine for railroads

• Fastems 70% Multilevel FMS

• Glaston 50% Flat tempering machinery

• Oseir 50% SprayWatch thermal spray diagnostics equipment

• Ata Gears 50% Bevel Gears for marine industry

• John Deere Forestry 45% Forest machinery

• Avant Tecno 40% Mini loaders (max. one ton)

• Nokia 40% Mobile phones

• Sandvik 35% Machinery, services to mining and construction

• Gardner Denver 30% Marine compressors

• Kalmar Industries 20% Container handling machinery, services

• Metso Minerals 17% Mobile stone crushers and related services

• Atlas Copco Rotex 15% Casing advancing (overburden drilling)

www.tamperebusines

sregion.com

Local academic space

• Two young universities

• Tampere University, est. late 1950’s

• Tampere U of Technology, est. early 1960’s

• One large polytechnic

• Total 38.000 students (cf. 215.000 inhabitants)

• Point 1: students provide the basic beat of change

and dynamism for the region

• Point 2: universities have been actively

collaborating with industry since late 1970’s

SKYLINE OF TAMPERE

CONCEPT SKETCH – DANIEL LIBESKIND

Attractive, innovative – all bright ! City economic and innovation development policies

Why should we care

about Innovation?

We cannot lose it: Everything except innovation can be copied or

learned.

It’s already here: Innovation is mostly about combining, seldom

about inventing something new.

© J. Kao, Tapping the World’s Innovation Hot Spots, Harvard Business Review, March 2009

This cartogram, created by Bryan Boyer on behalf of the Institute for

Large Scale Innovation, sizes countries according to several factors

related to their innovation efforts: R&D spending, the number of

postsecondary degrees awarded, and the number of patents issued.

The global innovation race

Tampere City Economic

Development

• Tampere City annual investments in innovation driven economic

development about 4 MEUR,

• Total economic development investments about 8MEUR (incl. tourism)

• Tampere City:

• In-house: only strategy and monies

• Regional Economic Development Agency

• Since 2009

• 8 municipalities

• Annual turnover about 6 MEUR of which municipalities provide about

35%

• Two university driven and owned development firms on campuses,

FinnMedi and Hermia

Cluster based development

• Cluster based regional development was

chosen the tool in the early 1990’s

• The firms identified themselves well in

given clusters

• The universities as well as research

organizations were also divided in a way

that supported cluster based regional

development

• The program based structure fitted well

in developing verticals as well as

horizontals

Regional Development Programs, I

• Center of Expertise (1994- )

• Cluster development program

• Mother of all programs

• Volume 1999 -2006 about 91 M€

• City investments about 8 M€

• eTampere (2001 – 2005)

• Extensive information society program

• Foci: ICT, public services, business development,

culture

• Volume 130 M€

• City investments about 10-15M€

Regional Debvelopment Programs, II

• BioneXt (2003 – 2009)

• Focused life science program: implants, immunology,

ICT

• Volume 190M€

• City investments 8 M€

• Creative Tampere (2006- 2011)

• Development program for Creative Industries

• Volume to date 27 M€

• City investments to date 5 M€

• Open innovation and service platforms (2010 -)

• Focus on service innovations, open platforms and

public services and procurement

DIRECT IMPACT 2003 – 2010

Start-ups and research centers

created

684 jobs

Total ecomic activity generated 190 M€

Total salary growth 102 M€

of which city tax (19%) 19 M€

City investments 8 M€

Case: BioneXt

2003 - 2010

Population growth and R&D investments in Turku

and Tampere regions – identical until early 1990’s

Source: Statistics Finland

TAMPERE DECK AND ARENA

CONCEPT SKETCH – DANIEL LIBESKIND

Three quick examples

”It is not the strongest of the species that survive, nor the most

intelligent, but the most responsive to change” - Charles Darwin

A well kept secret

• Nokia corporation has its largest global R&D site in

Tampere next only to Bangalore

• Employing some 4000 engineers in R&D

• Solid foundation

• University level ICT research since 1960’s

• First professorship in computer science 1965

• Systematic research on signal processing** since late

1970’s

• One of the key sites in research by late 1980’s

**Digital signal processing is the basic technology for mobile

phones

A well kept secret

• Nokia corporation has its largest global R&D site in

Tampere next only to Bangalore

• Employing some 4000 engineers in R&D

• Solid foundation

• University level ICT research since 1960’s

• First professorship in computer science 1965

• Systematic research on signal processing** since late

1970’s

• One of the key sites in research by late 1980’s

**Digital signal processing is the basic technology for mobile

phones

New Growth

• Nokia restructuring created chaos, destruction

and new start:

• Now Tampere is the European development site for

Nokia’s Windows phones

• Intel has established operations here and is growing

rapidly

• Samsung and other mobile phone manufacturers

have been visiting and seeking possibilities

• Open solutions in ICT space are gaining ground

• After a fall, we’re on our way to be stronger than

before.

23

1980 1985 1990 1995 2010 2005 2000

Infrastructure Development and Training Programs of ORC, supported

by Pirkanmaa ELY-Centre and the City of Tampere, €3.6 M

The 1st National Micro-electronics R & D Program by Tekes

Research started

Typically 20 of R & D national & trans-national projects p.a.

1st MBE reactor acquired. Tekes

Coherent acquired 100 % of Tutcore

1st quantum-well laser @ 1.55 m

LCC Finland, Laser Pilot Factory, L3-project, supported by Pirkanmaa TE-Centre and the City of Tampere, €2.7 M

6th MBE acquired

More R & D & I More firms ? More jobs ? More money?

The largest optoelectronics cluster in Scandinavia

– three decades into making

New Factory generates

concrete actions

and results. Demonstrations, prototypes, improvements,

experiences, companies and jobs, knowledge,

venture financing…

• A tool of experimental industrial

policy and national innovation

strategy

• A comprehensive programme for

expediting the innovative activity

• Combines the multidisciplinary

know-how in the Tampere region

with agile and market-driven

innovation work

• Functional machines: Demola,

Protomo and Suuntaamo, new

machines are prepared and

developed as necessary

CLUSTERS BREAK – WHAT IS THE

FUTURE FOR TAMPERE?

Machine construction

Management, marketing,

sales

R&D, design

Production

Services

Care & wellness

Management, marketing,

sales

R&D, design

Production

Services

. . . Energy & environment

Management, marketing,

sales

R&D, design

Production

Services

ICT

Management, marketing,

sales

R&D, design

Production

Services

Health technologies

Management, marketing,

sales

R&D, design

Production

Services

t

Probably diminishes May grow Will remain

RENEWAL THROUGH INNOVATION AND

SERVICE BUSINESSES

Koneenrakennus

Johto

Suunnittelu, T&K

Tuotanto

Palvelut

Hyvinvointipalvelut

Johto

Suunnittelu, T&K

Tuotanto

Palvelut

.

.

.

Energia, ympäristö

Johto

Suunnittelu, T&K

Tuotanto

Palvelut

ICT

Johto

Suunnittelu, T&K

Tuotanto

Palvelut

Terveysteknologia

Johto

Suunnittelu, T&K

Tuotanto

Palvelut

NEW BUSINESS:

• Technology innovations

• System innovations

• Business model innov.

• Service innovations

• Social innovations

ENABLERS:

ENTREPRENEURSHIP EXPORT & INT’LIZATION

BUSINESS RENEWAL DEMOGRAPHIC CHANGES

R&D and design

Service business

26.10.2010 27

Open

Bright

Smooth

Daring

Charming

Tampere

Thank you. Questions? Comments? kari.kankaala@tampere.fi

tel + 358 50 351 3020