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telecommunications infrastructure

Level 5 aggregates the key benefits of research in broad areas of national concern. Concerning economic impact, the strong telecommunications industry, new spin-off industries, and more competitive industries (across the board) result in a higher GDP for the country, as well as job creation. Technological leadership and economic strength also help ensure strong leadership and capability in national defense and homeland security.

The full benefits of the process depicted in Figure 1.1 develop over an extended period of time, with a long-term buildup over several years between the seed investments in research and realization of the ultimate bottom-line benefits. Each step takes time: from innovation to mass deployment and impact. Investments by both government and industry in research by academia and industry lead to both short- and long-term contributions.

Over the years, CSTB studies have documented this phenomenon across multiple areas of information technology and telecommunications research. In particular, its 1995 report Evolving the High Performance Computing and Communications Initiative to Support the Nation’s Information Infrastructure9 and a 2003 update10 illustrate how long-term investments in research across academia and industry have led to the creation of many new, important U.S. industry segments with revenues that came to exceed $1 billion.

In closing, it is worth noting the perils of losing leadership in telecommunications. Because of the time lag, the nation may continue to exhibit leadership at Levels 4 and 5 (and possibly Level 3) even as it is failing to renew capability at Levels 1 and 2. Since Levels 3 through 5 are most visible to policy makers and the public, there is a potential to perceive the situation as less dire than it really is. If Levels 1 and 2 are left to atrophy, serious problems will occur at Levels 3 through 5. If that happens, then recovery will take a long time—or even prove impossible.

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