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Too few applicants/proposals, resulting in the need 



to fund poor proposals, 

 .-.buses of the program by proposal mills, 

 ::o/poor commercialization of the research. 



These critics led a hard-fought battle. The research 

 establishment at the time consisted of the federal research 

 laboratories, universities and large businesses. The idea that 

 small businesses could be more innovative and could commercialize 

 produces as well or better than they was offensive to them. 

 The "r.ot-invented-here" syndrome and the threat to their 

 comfortable relationships in controlling the nation's research 

 agendas drove their attacks on the program. 



As you are well aware from the many studies and reports on the 

 SBIR program, the critics were dead wrong in their concerns. In 

 fact, -.vhat actually resulted was the unleashing of the most 

 creative talent that America possesses by a well-managed program. 

 It has become so successful that it is being studied by other 

 nations to see if they can emulate the results. 



The SBIR concept was a totally new way for government to conduct 

 research. It was really the first attempt to reinvent government 

 and, in my opinion, is the best change in Federal procurement 

 policy in recent history. It brought some amazing changes to the 

 process that have been the keys to its success: 



