Relevance and Alignment of Real-Client Real-Project Courses via

Technology Transfer

LiGuo Huang1 Daniel Port2

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1Dept. of Computer Science and Engineering, Southern Methodist University, TX

2Dept. of Information Technology Management, University of Hawaii, Manoa, HI

lghuang@smu.edu; dport@hawaii.edu

Abstract

It is often claimed Real-Client Real-Project (RCRP) courses are important providers of

industry relevant experience and skills to students. How do we know this is so? We cannot

prove this or improve RCRP industry relevance without tangible evidence. Here we suggest

that the degree an industry partner is willing to accept technology transfer for technologies

used within an RCRP course is a strong indicator of relevance. There must be common

challenges between RCRP and industry software development for which technology proven in

the classroom will also be relevant in industry. We describe our experiences with using an

RCRP parallel to the TAME technology transfer model to assess the degree of willingness for

technology transfer facilitated by technology use in RCRP courses. We find benefits from

realizing envisaged synergies between software engineering research, education, and

technology transfer to industry. We further note how the willingness for technology transfer

indicator is useful for aligning software engineering courses for industry relevance.

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The Bureau of Industry and Security

Presents

BIS 2018 Annual Conference on Export Controls and Policy

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May 14 - May 15, 2018

Washington, D.C.

The Great Unauthorized Escape -- Deemed Exports and Technology Transfers breakout

Deemed Exports & Technology Transfers: The Great Unauthorized Escape

Moderator: Frank Bray

Senior Advisor, Bureau of Industry and Security

Orestes Theocharides

Export Management & Compliance Division

Tongele Tongele

Nuclear & Missile Technology Controls Division

Aaron Amundson

Information Technology Controls Division

Michael Tu

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FINANCING TECHNOLOGY TRANSFER

Jacques Darcy

Helmut Kraemer-Eis

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Olivier Debande

Dominique Guellec

Working Paper 2009/002

EIF Research & Market Analysis

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Transformation and Transition: DARPA’s Role in Fostering an Emerging Revolution in Military Affairs

Volume 2 – Detailed Assessments

Richard H. Van Atta, Project Leader

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Alethia Cook

Ivars Gutmanis

Michael J. Lippitz

Jasper Lupo

Rob Mahoney

Jack H. Nunn

Institute for Defense Analyses

IDA Paper P-3698

Log: H 03-001362

Copy

November 2003

Approved for public release; distribution unlimited.

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Technology Transfer: Use of Federally Funded Research and Development

CRS Report for Congress

Prepared for Members and Committees of Congress

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Wendy H. Schacht

Specialist in Science and Technology Policy

December 3, 2012

Congressional Research Service

7-5700

www.crs.gov

RL33527

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US COMMERCIAL TECHNOLOGY TRANSFERS TO THE PEOPLE’S REPUBLIC OF CHINA

Table of Contents

FOREWORD

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ACRONYMS

LIST OF TABLES AND CHARTS

EXECUTIVE SUMMARY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . i

INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

PART 1: TECHNOLOGY TRANSFER: POLICIES, PROCESS, AND DECISION MAKING

IN CHINA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Development of Science & Technology in China: 1949-1978 . . . . . . . . . . . . . . . . . 3

Development of Science & Technology in Contemporary China: 1978-Present . . . 3

Applied Science & Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

The Role of US Technology in China's Science & Technology Development Plans 4

Research & Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

National Engineering Research Centers (NERCs) . . . . . . . . . . . . . . . . . . . . 7

Chinese Academy of Sciences (CAS) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

University-Based Research . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

China's Ability to Absorb and Apply Foreign Technology . . . . . . . . . . . . . . . . . . . 11

Scientists & Researchers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Chinese Students . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Foreign Experts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Technology Leakage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Foreign Investment and the Evolution of China’s Technology Import Strategy . . . 14

Foreign Direct Investment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Special Economic Zones (SEZs) . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Open Port Cities and Economic and Trade Development Zones

(ETDZs) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Free-Trade Zones (FTZs) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

High-Technology Development Zones (HTDZs) . . . . . . . . . . . . . . . 17

Special Administrative Region (SAR): Hong Kong . . . . . . . . . . . . . . 18

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

Chinese Laws Governing Foreign Technology Imports . . . . . . . . . . . . . . . . . . . . . 19

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

The Role of Technology in China's Economic, Industrial, and Defense Sectors . . 22

High Technology in the Chinese Economy . . . . . . . . . . . . . . . . . . . . . . . . . 22

China’s Ninth Five-Year Plan (1996-2000) . . . . . . . . . . . . . . . . . . . 24

Pillar Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

High Technology in Chinese Industry . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

High Technology in China’s Military Sector . . . . . . . . . . . . . . . . . . . . . . . . 26

Defense Conversion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

High Technology Acquisition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29

The Role of US Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34

PART 2: US PERSPECTIVES ON TECHNOLOGY TRANSFERS TO CHINA . . . . . . . 43

US Government Policies and Perspectives on Technology Transfer . . . . . . . . . . 43

US Business Perspectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

Industry Case Studies: Auto, Aerospace, Electronics & Telecommunications . . . 45

Automotive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46

“Pillar Industry” Status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46

Industrial Policy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47

Trade Barriers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

Infrastructure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

US Experience . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

State of China’s Automotive Industry . . . . . . . . . . . . . . . . . . . . . . . . 51

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53

Aerospace . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54

Not an Official “Pillar Industry” Nor an Official Industrial Policy . . . . 54

Trade, Trade Barriers, and Technology Transfers . . . . . . . . . . . . . . 55

Competition from the State-Owned Enterprise Sector, Infrastructure

Concerns, and the Status of the Chinese Aerospace Industry . . . . . 56

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59

Electronics & Telecommunications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60

“Pillar Industry” Status . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60

Industrial Policy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60

Trade Barriers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62

Competition from the State-Owned Enterprise Sector . . . . . . . . . . . 64

Infrastructure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65

US Experience . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66

Status of Chinese Electronics Industry . . . . . . . . . . . . . . . . . . . . . . . 68

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75

The View from Europe and Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76

The European Union . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76

A Formal Policy for Technology Transfers . . . . . . . . . . . . . . . . . . . . 76

Financial Assistance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77

Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78

Sino-Japanese Relations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78

Reluctant Industry Initiatives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79

A Low-Tech Approach? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79

Government Aid . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80

PART 3: SHORT- AND LONG-TERM IMPLICATIONS OF TECHNOLOGY TRANSFERS 93

US Competitiveness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93

US National Security . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94

Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95

Appendix A List of the National Engineering Research Centers

Appendix B Map of China

Appendix C List of National High Technology Development Zones (HTDZs) and

Science, Technology, and Industrial Parks

Appendix D China’s Defense-Industrial Trading Organizations, before and after

March 1998 Reorganization

Appendix E Listing of Recent Software Agreements/Joint Ventures in China (1996-

1997)

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Department of Defense Technology Transfer (T2) Program

Dr. John Fischer

Director, Defense Laboratories Office

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PRESENTED AT THE

NDIA 15TH ANNUAL SCIENCE &

ENGINEERING TECHNOLOGY/

DEFENSE TECH EXPOSITION

East Hyattsville, MD

8 April 2014

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Recommended Citation:

U.S. Congress, Office of Technology Assessment, The Defense Technology Base:

Introduction and Overview–A Special Report, OTA-ISC-374 (Washington, DC: U.S.

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Government Printing Office, March 1988).

Library of Congress Catalog Card Number 88-600517

For sale by the Superintendent of Documents

U.S. Government Printing Office, Washington, DC 20402-9325

(order form can be found in the back of this report)

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