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News Release 09-182

Federal Government's Share of University R&D Funding Drops to 60 Percent

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Academic R&D funding levels dropped in FY2008, but government remains the largest source of funding.


October 2, 2009

This material is available primarily for archival purposes. Telephone numbers or other contact information may be out of date; please see current contact information at media contacts.

In fiscal year 2008, universities reported science and engineering research and development expenditures of $51.9 billion, according to a new report released by the National Science Foundation.

NSF's Survey of Research and Development Expenditures at Universities and Colleges showed a decrease in federal funding as a share of the academic R&D total, from 64 percent in fiscal year 2005 to 60 percent in fiscal year 2008. Although a drop, the funding level ensures that the federal government keeps its traditional role as the largest source of academic R&D funding.

In current dollars, fiscal year 2008 survey data showed an increase in federally funded expenditures of 2.5 percent, reaching $31.2 billion. After adjusting for inflation, this represents a 0.2 percent increase from fiscal year 2007 and follows two years of real declines since fiscal year 2005.

Other statistical notes from the report include:

  • Combined sources of nonfederal funding grew by 8.3 percent during the 2008 fiscal year.
  • State and local government funding of R&D expenditures grew in fiscal year 2008 by 8.8 percent, increasing to $3.4 billion from $3.1 billion in fiscal year 2007.
  • Industry funding grew 7.1 percent to $2.9 billion in fiscal year 2008.
  • Funding from academic institutions increased 7.0 percent to $10.4 billion in fiscal year 2008.

Additionally, R&D funds for joint projects that were passed through primary university recipients to other university subrecipients nearly doubled from fiscal year 2000 to fiscal year 2008, from $0.7 billion to $1.4 billion in constant 2000 dollars. The current dollar amount of $1.7 billion represents 3.3 percent of total academic R&D expenditures in fiscal year 2008, compared with 2.3 percent of the total in fiscal year 2000.

-NSF-

Media Contacts
Bobbie Mixon, NSF, (703) 292-8485, email: bmixon@nsf.gov

Program Contacts
Ronda Britt, NSF, (703) 292-7765, email: rbritt@nsf.gov
John E. Jankowski, NSF, (703) 292-7781, email: jjankows@nsf.gov

The U.S. National Science Foundation propels the nation forward by advancing fundamental research in all fields of science and engineering. NSF supports research and people by providing facilities, instruments and funding to support their ingenuity and sustain the U.S. as a global leader in research and innovation. With a fiscal year 2023 budget of $9.5 billion, NSF funds reach all 50 states through grants to nearly 2,000 colleges, universities and institutions. Each year, NSF receives more than 40,000 competitive proposals and makes about 11,000 new awards. Those awards include support for cooperative research with industry, Arctic and Antarctic research and operations, and U.S. participation in international scientific efforts.

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