Chiou Chyou-Huey Making Startups Taiwan’s “Shields” with the Spirit of Mountaineering

Chiou Chyou-Huey, the Director General of the Department of Industrial Technology (DoIT), MOEA, has more than 30 years of experience in the MOEA. How will he define the role that “Technology Development Programs (TDPs)” long promoted by the DoIT play in industry development?

Before the 70s, when the semiconductor industry did not exist, most Taiwanese enterprises lacked R&D capacity and focused mainly on low manufacturing costs and high efficiency. At that time, the purpose of TDPs was to have the government to “light a fire” to lead investment in technology research projects.

In 1974, the Industrial Technology Research Institute (ITRI) established the Electronic Research and Service Center (now known as Electronic Research and Service Organization) to execute the TDPs titled “IC Pilot Plant Establishment Project” to promote industrial upgrading. The ITRI then transferred the outcomes of the pilot plant project to the private sector, giving birth to companies such as United Microelectronics, TSMC, Taiwan Mask Corporation, and Vanguard International Semiconductor Corporation. This laid a foundation for the development of Taiwan’s semiconductor industry thereafter. (Global Views Monthly)

In recent years, there has been abundant private sector investment momentum in Taiwan, far exceeding that for government investment. According to the Department of Statistics, MOEA, Taiwan’s fixed investment scale repeatedly hit record highs with the catalysis of the China-US trade war and the pandemic, and soared to over NT$5,000 billion in 2021. The private sector investment accounted for more than 80% of the total fixed investment, followed by the government sector and public sector. (Central News Agency)

Chiou Chyou-Huey believes that as the R&D capacity of the private sector increases, the role of TDPs will change from “Pioneering” to “Persevering” and support must be provided for industrial development areas that require additional resources. He indicated that we must also think about the development of new industries in Taiwan in the next decade and utilize relevant mechanisms to encourage enterprises and institutes to look into future development trends and needs.

With the United States as an example, 20% of the 4,512 inventions of the Office of Technology Licensing of Stanford University in the past 50 years from 1970 to 2020 are profitable. (Patterns)

Chiou Chyou-Huey believes that not every invention is going to make a profit. However, the innovative R&D ecosystems built by Stanford University and Silicon Valley have become global benchmarks. The point is to activate the ecosystem and allow funds and talent to enter it. Taiwan’s industries and education should also shape environments that encourage innovation to give young people the opportunity to turn their innovative ideas into reality.

From an institutional perspective, to encourage the ITRI and other institute teams to regain the initiative and become industry unicorns, the MOEA proposed a draft amendment to the Government Scientific and Technological Research and Development Results Ownership and Utilization Regulation at the end of 2021 to add a chapter dedicated to startups in order to actively establish startups, offer startup personnel shares in return for their contribution of technology know-how, and maximize R&D value. (Central News Agency)

Chiou Chyou-Huey who has an interest in mountain climbing and studying history applies the spirit of mountaineering to promoting the innovation of industries in Taiwan. The following interview provides a better understanding of how Chiou Chyou-Huey has built more successful examples like TSMC from a government perspective to give Taiwan not only one, but a number of “shields.”

https://sunrisemedium.com/p/208/moea-doit-chiou-chyou-huey