The Future of European Innovation: Challenges and Calls for Change

Europe’s largest applied research organisation, Fraunhofer-Gesellschaft, has conveyed substantial concerns about the effectiveness of the European Institute of Innovation and Technology (EIT). This influential institution has participated in seven of the Knowledge and Innovation Communities (KICs) established by the EIT, but now questions its value in enhancing Europe’s industrial competitiveness.

In a comprehensive document, the Fraunhofer has criticised the EIT and its KICs as ‘overly complex, costly and non-transparent’. Verena Fennemann, the head of the Brussels office of the organisation, has emphasized the significant administrative burden and the challenges faced by universities and research organizations, particularly in the later stages of a KIC. This criticism has been echoed by the League of European Research Universities, which emphasizes the need for consistent and simplified EIT processes and exemption of non-profit organizations from membership fees.

Nevertheless, it is noteworthy that the Fraunhofer is not advocating for an immediate termination of the KICs and still envisions a partnership in the new framework programme.

The discussion about the EIT’s future has gained momentum as efforts are being made to develop a successor to the Horizon Europe research programme. The Fraunhofer and other research bodies are urging the European Commission to allocate €200 billion (£170 billion) in funding, double the current budget.

The governments of Latvia and Denmark have also contributed to the debate, suggesting that the EIT’s innovation activities should be merged with the European Innovation Council, while its education activities should be integrated into Erasmus+, the commission’s education and training programme.

Despite the criticisms, an EIT spokesperson has defended the institution by highlighting its ability to leverage private and public funding, which has enabled start-ups under its purview to raise €9.5 billion and become collectively worth €71 billion. However, the Fraunhofer has raised concerns about the potential competition that arises when KICs seek additional funding from other programs.

The EIT spokesperson also emphasizes the crucial role of the KICs in supporting start-ups to commercialize their products. Notable success stories include Swedish battery manufacturer Northvolt and energy storage specialist Skeleton Technologies, which received support from the EIT when private financing was not available. Skeleton Technologies recently announced the establishment of a second factory in Europe.

In conclusion, the debate surrounding the EIT and its KICs highlights the challenges faced by Europe in translating research into commercial products. As discussions continue regarding the future of European innovation, it is imperative to address the concerns raised by leading research organizations and work towards a more effective and sustainable framework for driving innovation in the region.