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Analysis of For-Profit Commercial Firm Participation in Technology Investment Agreements
NAVAL POSTGRADUATE SCHOOL MONTEREY CA GRADUATE SCHOOL OF BUSINESS AND PUBLICPOLICY
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Beginning in World War II and throughout the Cold War, the U,S, military was a worldwide technological leader. Then, as the Cold War ended, dynamic changes began to occur in the world. Threats, budgets, the technological environment, and the industrial environment all began to change. These changes impacted the militarys ability to maintain technological superiority over its adversaries, which was the foundation of a successful U,S, national defense, Commercial research and development RD began to greatly surpass military RD. For success on future battlefields, military capabilities had to effectively leverage advancing commercial technologies. Therefore, to allow for more commercial-friendly RD agreements, regulations granting the use of other transactions OTs for basic, applied, and advanced research were issued. These research OTs evolved into what is now known as the Technology Investment Agreement TIA. This study analyzes the Department of Defenses DoDs use of TIAs to determine if TIAs have attracted for-profit commercial firms into the defense market, thus allowing DoD to tap into the commercial markets RD and technology base. DoD Inspector General audits and Dual Use Science and Technology DU ST Program projects from 1997 through 2001 were reviewed. It was found that TIAs have attracted commercial firms, but not to the extent claimed by some Government organizations.
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