Office of Technology Policy ■ U.S. Department of Commerce

Graham R. Mitchell, 

Assistant Secretary for Technology Policy,

Department of Commerce

There’s little doubt 1997 will prove

to be a challenging year. Together

with William Daley, the newly

appointed Secretary of Commerce,

we’ll face the

105th Congress

as tough decisions are made

regarding our

nation’s fiscal

health and economic future.

Science and

technology programs can expect

increased scrutiny as lawmakers

work to balance today’s budget with

tomorrow’s needs. As taxpayers and

voters, we all have a stake in a federal government that is lean, professional and responsive to the desires

of the American public.

But while budget priorities are being

debated, we must also consider the

choices in the context of increased

global competition. Too often we fall

victim when clichés such as “corporate welfare” are tossed about without definition or example.

America has been a world leader in

the 20th century because 30 years

ago we invested in the future. That

same kind of commitment is

required today to maintain our 

position into the 21st century.

As we tighten our belts, let’s not hold

the future hostage by shortchanging

the investments needed for continued leadership and growth.■

1

IN THIS ISSUE

Innovation

Partnership

Page 1

Machine Translation:

Breaking the

Language Barrier

Reports Update

Page 2

National Medal of

Technology: 

A Call for New

Nominations

Page 5

Early in February, the White House

and the nation’s governors announced

an agreement to form a new “U.S.

Innovation Partnership” to foster

economic growth through the development and use of new technologies.

“By working together, the states and

Federal R&D agencies can strengthen our national innovation system,”

said Commerce Under Secretary for

Technology Dr. Mary L. Good.

“Innovation drives economic growth

and raises living standards,” Good

noted, “and each of the partners to

this new effort brings unique

strengths and perspectives.”

Federal R&D focuses on basic

research, federal missions, and

developing emerging and enabling

technologies; states often work

directly with companies to bring

knowledge into the commercial

marketplace. “Working together, we

can maximize the impact of science

and technology on jobs, economic

growth, and living standards,” Good

explained.

Under the new partnership, the

White House and Federal agencies

will work with states on such issues as:

■ Removing regulatory barriers to

the adoption of new technologies in

areas such as telemedicine, environmental technologies, and the building and construction industries

■ Developing programs to stimulate

technology investments in rural and

other states that traditionally receive

less Federal research funding

■ Addressing the issues associated

with the expansion of electronic

commerce

■ Expanding the capacity of the

Manufacturing Extension Partnership

to help modernize the nation’s

380,000 small- and medium-sized

manufacturers.

The “U.S. Innovation Partnership” 

is the result of efforts by representatives of seventeen states, working

through the staff of the National

Governors’ Association (NGA), and

an inter-agency state-federal working group chaired by Dr. Good of

the Commerce Department’s

Technology Administration.

The two groups were first brought

together by White House Science

Advisor Dr. Jack Gibbons in an

effort to implement the recommendations of the State-Federal

Technology Partnership Task Force.

“Now the real partnership begins.

Now we begin to transform our

Federal science and technology system into a truly national system,

one where states will play an

increasing role,” said Dr. Good.■

■ Under Secretary

Good listens as

Vice President 

Gore announces

USIP initiative at the

National Governors

meeting in

Washington, D.C.

February, 1997.

White House and Governors to Work Together 

in Innovation Partnership

The True Cost 

Of Budget Cuts

■ Graham R. Mitchell

News From the Office of Technology Policy ■ Spring 1997

▲▲

▲▲

▲▲

PACESETTER
Response to the service has been

very favorable. Though the majority

of requests come from consultants

and corporate librarians, the end

users typically are researchers or

experts in particular technology areas.

The service is aiding U.S. competitiveness by providing translations

for companies so that they can better understand and respond to their

competition. By and large, most

users have requested patents to be

translated. Patent tracking is one of

the most typical forms of competitive intelligence, or of benchmarking the competition.

MT can also be used as a filtering

mechanism to determine the general

content matter of a document rather

than having the document handtranslated. This saves on the high

cost of Japanese-English translations,

particularly if the documents turn

out to be irrelevant. Machine translation, can also bring more businesses

to professional translators. If people

use it to separate the “wheat from

the chaffe,” they are more likely to

have the “wheat” hand-translated.

One of the purposes of providing

this service is to expose people to

the benefits of MT, so that for their

future translation needs, they will

either set up their own MT systems

in-house or use commercial services.

Use of the service at the U.S.

Department of Commerce is open

to anyone from a U.S. organization,

including those from universities,

companies, non-profits, trade associations, institutes, government

agencies and individuals. Users are

provided with raw output only:

documents are not post-edited or

“polished up” by a professional

translator. There are no charges for

the translations.

If you have any questions, contact

Patti O’Neill-Brown, Ph.D (A.B.D.),

Director, Machine Translation Center

for Japanese Science and Technology

Literature at: poneillbrown@doc.gov

or 202.482.6805.■

2

PACESETTER ■ Office of Technology Policy Spring 1997

TRANSLATION

TECHNOLOGY

Last May, Commerce Secretary

Kantor and Japan’s Minister of State

for Science and Technology

Nakagawa signed an agreement

establishing the Machine Translation

Center for Japanese Science and

Technology Literature at the U.S.

Department of Commerce. The

Center was established through joint

cooperation with the Japan Science

and Technology Corporation (JST)

and the Office of Technology Policy

at the U.S. Department of

Commerce. The Center uses the JST

Japanese-English MTS System.

The purpose of the Center is to

demonstrate the usability of

machine translation (MT) as a tool

to help ease the language barrier

U.S. researchers face in accessing

Japanese S&T information.

The JST system was chosen because

it is uniquely designed to handle scientific and technical documents. In

addition, JST and Commerce’s Japan

Technology Program have been partnering in many different ways over

the years in disseminating Japanese

scientific and technical (S&T) information in the United States.

■ Trends In Japanese Textile Technology 

This report describes the strategies and

technologies that have propelled Japan to

the forefront of apparel textile innovation.

Practically every facet of the industry is

covered — from technological advances

in fiber and yarn manufacturing, fabric

making, apparel design and production,

and the development of related equipment to the economics of offshore production and the role of government. But

most importantly, the textile industry’s

long history of striving for upgraded quality in product and process technology,

and more recently, its accelerating globalization to counter the threat of imports

into its domestic market, provide insight

into how Japan likely will face the challenges of a strong yen, a maturing economy, and structural change and deregulation of its industries in the coming years.■

■ The Basic Steel Industry

This report on the basic steel industry discusses how advances in technology and

industry restructuring have led to a U.S.

steel industry substantially more competitive than it was 10 years ago. However,

the industry still faces challenges from less

developed countries, from the continuing

pressure of environmental regulations,

and from pricing pressures related to surplus capacity. Within the industry, the

integrated producers, with their high fixed

costs and lingering costs of their large

retiree population, face special challenges

from electric arc furnace mills, which have

been investing heavily in new production

technology and have adopted new human

resources practices to improve productivity. A brief description of the financial performance of the industry is also included.■

Office of Technology Policy Reports Update

■ Signing of the implementing arrangement to

establish the Japanese Translation Center.

Breaking Through the Language Barrier

The Machine Translation Center for Japanese Science and 

Technology Literature at the U.S. Department of Commerce
On March 10, 1997, Under

Secretary of Commerce for

Technology Mary L. Good presided

over a ceremony for the U.S.-Israel

Science and Technology

Commission (USISTC) to launch a

new joint venture at the U.S. Space

and Rocket Center in Huntsville, AL.

A $5.3 million agreement funded

under the USISTC will enable this

partnership among American and

Israeli entities to develop a new

solar power generation system from

a combination of technological

innovations developed by the individual partners. The private organizations involved in the project are:

■ McDonnell Douglas

■ Ormat Industries Ltd.

■ Rotem Industries Ltd.

■ Yeda Research & Development Ltd.

■ Weizmann Institute of Science

The project is designed to demonstrate the commercial feasibility of

an advanced solar-powered plant

capable of generating hundreds of

kilowatts to tens of megawatts of

power and with the operational

flexibility to guarantee electricity

even during inclement weather.

The system will be modular in construction, enabling the user to

adapt the system to match a changing power demand—from solar to

gas to a combination of the two—

and therefore forgo the expense of

building new and additional facilities. Through this unique combination of features, the new system has

the potential for expanding the

market for solar power by addressing previously unmet needs and

thereby leading to the creation of

high-quality jobs.

In less than three years, the

American-Israeli team will develop

an operational 300-400 kilowatt system located at the Weizmann

Institute solar test facility. This system will be equipped with highly

reflective mirrors (heliostats), which

track the sun on two axes and reflect

sunlight up to another reflector atop

a central tower. The reflector will

redirect the sunlight back to an air

receiver on the ground which will

directly convert highly concentrated

sunlight into heat and act as an

external combustor for a gas turbine.

“Unlike present solar power generation plants, the U.S.-Israeli design

will permit the flexibility of operating directly from solar energy,

directly from gas, or in combination

between solar and gas at

the highest efficiency,”

said Dr. Robert Drubka,

program manager for

McDonnell Douglas.

In 1993, President

Clinton and the late Israeli

Prime Minister Rabin

established the USISTC to

promote peace through

economic growth.

Through the awarding of

grants, the Commission

encourages cooperation

between the high-tech

sectors in the U.S. and

Israel to create technology-based jobs for both

countries in the 21st

Century.

This joint venture is part

of the Clinton

Administration’s initiative

to bolster the Middle East peace

process through economic development and to promote scientific and

technological collaboration between

the two countries. The Secretary of

Commerce, William M. Daley,

serves as co-chairman of the group,

along with his Israeli counterpart,

Natan Sharansky, Minister of

Industry and Trade. The Technology

Administration at the U.S.

Department of Commerce acts as

the U.S. secretariat for the USISTC.

“There is no simple solution to

peace in the Middle East, but the

USISTC is pleased to be a part of

this effort to help establish political

stability through economic growth.

And we know that technological

innovation is the engine of economic

growth,” said Under Secretary Good.

McDonnell Douglas is the team

leader and responsible for system

engineering and integration, heliostat field, master control system,

tower and tower reflector. Ormat is

responsible for the power conversion system and the fluid loop integration. Rotem is responsible for the

air receiver and its associated optics

which transforms the concentrated

solar energy into high pressure,

high temperature air. The

Weizmann Institute—a center of

scientific research and graduate

study—and Yeda are responsible for

the transfer of unique solar technologies to industry.■

3

PACESETTER ■ Office of Technology Policy Spring 1997

Innovative Solar Power Plant To Be Developed Through Joint Venture

The new solar

power generation

system project is

made possible

by a $5.3 million 

grant from the

U.S.-Israel

Science and

Technology

Commission.

■ Key representatives from U.S. industry,

Israel, and the Department of Commerce

gather at a ceremony to kick-off the solar

power plant project.

TECHNOLOGY

AND PEACE
What does it take to be competitive

in today’s global economy? The

Office of Technology Policy (OTP) is

publishing a series of industry sector reports that attempts to answer

that question by examining the

opportunities and obstacles faced by

American business today. “Meeting

the Challenge: U.S. Industry faces

the 21st Century” is an ambitious

effort to follow up on earlier efforts

published in “Listening to Industry.”

Drawing principally from the experience and insight of some 150

experts in organizations, industry,

academia and government, these

studies provide a framework for

government policy that reflects the

concerns and perspectives of U.S.

industry. Two new reports due this

summer are previewed below.

■ Biotechnology-The biotechnology

industry is defined by the technologies used to make its products, not

the products themselves. As a result,

biotechnology is involved in a wide

range of activities, from the breeding

of plants and animals to the protection of our environment. Two important factors have contributed to the

industry’s rapid growth. First, federal

investment in research related to

biotechnology has provided a cadre

of trained experts and knowledge.

Equally important, is the ability of

the industry to attract capital for the

development of new products. The

future challenge is competition from

foreign firms, and the strength of

intellectual property protection by

domestic and foreign laws, and the

U.S. health care system.

■ Environment-What is the cost of

being green? Our new study will

show that a crisis exists in most of

the U.S. environmental products

and services industry. This report is

the first to describe the industry, to

characterize its U.S. and foreign

markets, and to identify the rapidly

shifting drivers that stunt the

growth by “repelling capital.” The

study proposes solutions offered by

the industry itself to enhance both

the industry’s competitive position

and its capability to contribute to a

dynamic, world economy. The study

will be previewed at a May White

House environmental conference,

and the June meeting of Air and

Waste Management Association.

Copies of OTP reports are available 

on our home page or by calling

202.482.3037.■

4

PACESETTER ■ Office of Technology Policy Spring 1997

INDUSTRY

ANALYSIS

Meeting the Challenge:

U.S. Industry Faces the 21st Century

The U. S

Department of

Commerce has

partnered with

the San Jose Tech

Museum of

Innovation to

develop a National Medal of

Technology exhibit celebrating the

American spirit of creativity, commitment to innovation and technological achievement. The exhibit,

which will be permanently housed

at The Tech Museum’s future $59

million home scheduled to open in

late 1998, will serve as a prototype

for a national traveling exhibit. The

new multimedia and interactive

Medal of Technology exhibit will be

integrated into the “Innovations”

theme already selected as a major

gallery in the new museum facility.

A $50 thousand planning grant

from the U.S. Department of

Commerce will fund development

of the conceptual design.

“The fact that twenty percent of the

National Medal of Technology winners over the past twelve years have

come from Silicon Valley area is a

clear reflection of the region’s technological leadership. The Technology

Administration is very excited to

Museum to Showcase 

Medal of Technology Winners

partner with The Tech Museum,

itself a powerhouse of creativity, in

developing a national prototype

exhibit that celebrates American

innovation and inspires future generations of innovators,” said Mary L.

Good, Under Secretary of Technology.

The Tech Museum is a private, nonprofit education resource currently

located at 145 W. San Carlos Street

in downtown San Jose.■

For more information on this project,

contact: Judith Fritz, Director of

Educational Programs,

Telephone 408.279.7182

e-mail judithf@thetech.org.

In Memory of 

Great American

Innovators

H. Joseph Gerber (1924-1996)

Founder & Board Chairman,

Gerber Scientific Inc.

1994 National Medal of

Technology Winner

“For his past and continuing technical leadership in the invention,

development and commercialization of manufacturing automation

systems for a wide variety of

industries—most notably apparel—which have made those

industries more efficient and cost

effective in today’s worldwide

competitive environment.”

David Packard (1912-1996)

Hewlett-Packard Company 

1988 National Medal of

Technology Winner

“For extraordinary and unselfish

leadership in both industry and

government, particularly in

widely diversified technological

fields which strengthened the

competitiveness and defense

capabilities of the United States.”

■ Kids enjoy the

hands-on exhibits

at the Tech

Museum in San

Jose, California.

The Office of

Technology

Policy (OTP) is

publishing a

series of industry

sector reports

that examine 

the strengths,

weaknesses,

opportunities and

obstacles faced

by American

business today.
The American spirit of innovation

has always been at the heart of

our country’s economic strength

and prosperity. As the new century approaches, we are challenged

to keep expanding the frontiers of

knowledge to maintain our

nation’s global competitiveness.

The National Medal of

Technology recognizes American

innovators whose vision, intellect,

creativity and sheer determination

have made profound and lasting

contributions to our economy and

quality of life.

Established by Congress in 1980 as

part of the Stevenson-Wydler

Technology Innovation Act, the

Medal is awarded for technological

breakthroughs resulting in the creation of new or significantly

improved products, processes or

services. The President of the

United States first presented this

prestigious award in 1985.

A distinguished, independent committee representing both private and 

public sectors evaluates the merits of

all candidates nominated through 

an open, competitive solicitation

process. The U.S. Department of

Commerce’s Office of Technology

Policy is responsible for administering

the National Medal of Technology.

Committee recommendations are

forwarded to the Secretary of

Commerce who then makes recommendations to the President of the

United States for final decision.

Each year the National Medal of

Technology awards are presented by

the President in a joint White

House ceremony with the National

Medals of Science. (The National

Medal of Science is administered by

the National Science Foundation.)

An awards dinner sponsored by the

National Science and Technology

Medals Foundation and other events

are planned around the White

House ceremony.

For over a decade, the Medal has

celebrated the extraordinary achievements of American trailblazers, fostering a national legacy and inspiring

future innovators. Of the 106

Medals of Technology awarded since

1985, ninety-eight have been awarded to individuals or teams. Eight

have been awarded to companies.

Winners of the 1996 awards presented on July 26, 1996 are Charles

Kaman, chairman and chief executive officer of Kaman Corporation;

Stephanie Kwolek, research chemist

(Ret.) and consultant for The

DuPont Company; James C.

Morgan, chairman and chief executive officer of Applied Materials, Inc.;

Peter H. Rose, president of Krytek

Corporation. A special posthumous

award was accepted by Mrs. Ronald

H. Brown on behalf of the late U.S.

Department of Commerce Secretary

Ronald H. Brown.■

5

PACESETTER ■ Office of Technology Policy Spring 1997

■ President Clinton congratulates the 1996

National Medal of Technology winners. From the Lab to

the Marketplace,

Americans who

are recognized

for their vision,

their genius, and

their commitment

to innovation.

National Medal of Technology

■ Kick-off for 1998 nomination

period: April 20-26 (National

Science & Technology Week)

■ Final due date for 1998 

nominations: September 30, 

1997 (Close of Business)

NOMINATE 

A MEDALIST

Call for New 

Nominations

If know of an individual, team or

company deserving of recognition

for outstanding technological innovation and leadership, send for a

1998 National Medal of Technology

Nomination Packet.

Nominations will be accepted for

achievements that have strengthened the American economy and

standard of living through:

■ Product and process innovation

■ Technology transfer

■ Advanced manufacturing 

technology

■ Technology management, and/or

■ Human resource development

Nomination packets for individuals/

teams or companies/divisions

become available during National

Science and Technology Week,

April 20-26 through mid-September

1997. Nominations for 1998 must

be submitted to the Office of

Technology Policy no later than close

of business September 30, 1997.■

For more information or to receive

your 1998 National Medal of

Technology nomination packet,

contact: Katie Wolf, Director

National Medal of Technology,

Office of Technology Policy

Room 4228

14th & Constitution Avenue, NW,

Washington, DC 20230

Phone 202.482.5572

e-mail nmt@mail.ta.doc.gov

URL www.nmt.gov.

IMPORTANT DATES FOR 

THE 1998 PROGRAM:

“For their vision, their genius and their constant commitment to 

making America a better place and the world a better place.”

President William J. Clinton

The National Medals of Science & Technology Awards Ceremony

The White House, July 26, 1996
The PACESETTER is a publication of the Office of Technology Policy, a division of the United States Department of Commerce Technology Administration.

Any mention of organizations, companies or products is for informational

purposes only; it does not imply any recommendation or endorsement.

■ Editors

Cheryl Mendonsa, Director, Public Affairs

Kathleen Sullivan, Public Affairs

■ Directors of the Office of Technology Policy 

Graham R. Mitchell

Assistant Secretary for Technology Policy

Kelly H. Carnes

Deputy Assistant Secretary for Technology Policy

■ Comments and inquiries

Cheryl Mendonsa, OTP Public Affairs

Phone 202.482.8321

■ World Wide Web Address

http://www.ta.doc.gov/otp

■ Design and Layout

Alpha MicroDesigns, Inc.

Special thanks to McDonnell Douglas for 

providing the cover graphic of a Solar Array.

United States Department of Commerce

Technology Administration

Office of Technology Policy

Room 4814C HCHB

Washington, DC 20230

Official Business

Penalty for private use $300.00

Something to Talk About!

In the Next PACESETTER

UPCOMING ARTICLES

The 1997 National Medal of 

Technology Awards Ceramony

UPCOMING REPORTS

Meeting the Challenge: U.S. Faces the 21st

Century: The U.S. Biotechnology Industry

A look at the markets for biotech products and

the factors that impact competition.

Innovation and Technology Policy in the

People’s Republic of China

Details about the development of China’s technology policy and issues critical to U.S. companies negotiating technology transactions.

Korea’s Strategy for Leadership in 

Research and Development

The science and technology infrastructure and

strategies for technological innovations to

improve Korea’s competitive standing in

worldwide markets.

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