Technological development is the application of scientific knowledge to practical purposes, especially in industry. Investment in research and technological development is one of the keys to economic competitiveness.
International Technological Development Programmes
Investment in research and technological development is one of the keys to economic competitiveness. One of the main sources for companies to access the latest knowledge and to join the most advanced networks and consortia in the field of technological development are the international programmes in which companies can participate.
The word technology comes from ancient Greek, in which the Greeks used the word techneto mean skill in an art or craft.
The Eureka International Programme enables Slovenian companies to participate in international consortia and carry out projects with foreign partners to deliver competitive technologies and products, their application, cooperation and knowledge transfer.
Eureka is an international technology initiative launched in 1985 by Presidents Mitterand and Kohl of France and Germany, with the aim of making the EU economy more competitive, and in particular competitive with the economies of the USA and Japan and the emerging industrial countries of South-East Asia, by fostering cooperation between business and research institutions.
The governments of the acceding countries have pledged to support the international Eureka initiative by supporting their national partners and part-financing the work of the Secretariat in Brussels. Eureka now includes 41 Member States, including the European Commission.
From the outset, Eureka has been working in the context of the European Research Area (ERA) and, unlike the European Framework Programmes for Research and Development, has focused on the commercialisation of knowledge through concrete innovation projects.
Slovenia joined Eureka in 1994. On the Eureka websites (content in English), which is available in English, provides detailed information on Slovenia's participation and the Slovenian projects supported.
Eurostars European Innovation Partnership for Micro, Small and Medium-sized Enterprises
Eurostars (content in English) is an international programme that provides a fast-track way to fund research for innovative small and medium-sized enterprises. Funded by Eureka (content in English) and the European Commission.
Eurostars offers ambitious and innovative SMEs access to national and European research funding through a single entry point at national level. It offers a fast application process, a coordinated funding timeline and fast results that are easily accessible to the market.
Benefits of the Eurostars programme:
- focuses on ambitious small and medium-sized enterprises engaged in development and innovation in high-tech sectors;
- stimulates market-oriented innovation in all non-military technological fields;
- supports innovation in the form of a single signed agreement;
- offers a central assessment by international experts;
- ensures predictable procedures and short time to the signature of the agreement.
Eurostars is part of the European Partnership for innovative small and medium-sized enterprises (SME). The partnership is co-financed by the European Union through Horizon Europe (content in English).
European Institute of Innovation and Technology
The European Institute of Innovation and Technology is an EU body set up by the European Union in 2008 to strengthen Europe's capacity in the field of innovations. The Institute is part of the EU Framework Programme for Research and Innovation Horizon 2020.
Results of the European Institute of Innovation and Technology since 2008:
- 8 Innovation Communities were established;
- 50 innovation hubs across Europe;
- more than 1 250 companies supported (start-up and growth-stage);
- more than €890 million of private finance raised;
- more than 6,100 new jobs created;
- more than 1,700 master’s and PhD graduates, with more than 5,000 expected by the end of 2020;
- more than 640 new products and services.
Tax Relief for Investment in research and development
The tax relief is for successful companies that are making a profit. It provides an incentive to reduce their tax because of risky research and development (R&D) activities, which are inherently unpredictable.
Companies can therefore also plan their R&D expenditure in such a way as to achieve two effects simultaneously; a competitive advantage through R&D and a reduction in the tax base by that amount.
The tax relief is 100% of the investment in research and development activities. The net effect is determined by the tax rate, which depends on the legal form; legal entity or natural person.