From the invention of the SCR-271 radar to many of the improvements of Milton Morse to corporations like APM Hexseal, New Jersey has a rich history of innovation in the fields of aerospace and defense. Today this tradition has continued. In fact, the state is ranked #6 in defense and security manufacturing according to TechAmerica Foundation’s 2013 Cyberstates Report.[1] However at a time of decreased public funding, it is important that an innovation ecosystem can still be supported.
In NJPRO’s “Building Bridges” report, the Foundation surveyed the interests and needs of the aerospace and defense industry. The report found that, although New Jersey is not a top receiver of federal R&D investments, the state has the potential to become one, if it can improve its innovation ecosystem:
“The federal government’s value in assisting innovative collaborations [in New Jersey] cannot be overestimated… The federal government has to be included in any plan to increase New Jersey innovation…[2] Experience shows that partnerships involving government are patient, and cooperative research and development among industry, universities and government laboratories can work…[3]”
New Jersey’s highly educated workforce is esteemed by the military and defense companies. The state’s industry continues to advance technological innovations, developing the next generation of aerospace and weapons systems. Organizations that once built the engines for the B-17 bomber are now produce ruggedized computer systems for ground vehicles and planes. This Industry Spotlight hopes expand on the Aerospace and Defense Industry’s importance while shedding some light on examples of existing innovation.
Aerospace and Defense Industry
The aerospace and defense industry produces $5.5 billion in state revenues annually and directly employs 20,000 people in New Jersey, with an additional 50,000 people indirectly employed. The average employee makes over $93,000 and with a state payroll of almost $2 billion. The industry also produces over $1.5 billion in exports. One of the driving factors that support aerospace and defense are military installations. Within New Jersey the Joint Base McGuire-Dix-Lakehurst (JB-MDL), alone, provides installation management support for 3,933 facilities. The mega base is valued at $9.3 billion in physical infrastructure and accommodates more than 44,000 servicemen, civilians and their family members living and working on and around JB-MDL.[4]
One example of this flourishing industry from the private sector can be seen through Lockheed Martin. A world leader in systems integration and the developer of the Aegis Combat System, designed for air and missile defense systems. Located in its 1.2 million square foot facility in Moorestown, the system evolved to become the foundation of the US approach to global missile defense. Ranked as the largest manufacturer in the state, the Moorestown facility employs more than 4,100 and is home to the famous “Cruiser in the Cornfield” that is visible to travelers on I-295 and the New Jersey Turnpike.[5]
There are other companies working on innovative defense strategies as well. In August 2012, Cyto Sorbents Corporation was awarded a $3.8 million contract for technology development by the Defense Advanced Research Projects Agency (DARPA). The company is a pioneer in the use of blood purification to treat life-threatening illnesses. As part of their Dialysis-Like Therapeutics (DLT) program, Cyto Sorbents Corporation is to develop a treatment for sepsis. In battle, injured soldiers are susceptible to sepsis, a leading cause of death in the world. Even with the best medical treatment, one in every three patients dies, costing tens of billions of dollars to treat each year.[6]
Boeing is also working in New Jersey. #39 on the Fortune 500, Boeing is one of the world’s largest aerospace companies. Working with over 450 different suppliers and vendors, Boeing spends over $450 million in the state annually and supports an estimated 13,000 jobs.[7] A manufacturer of military aircraft, including the Apache, the Chinook, and the Osprey, it has three locations in New Jersey: Berkeley Heights, Millville, and Shrewsbury.[8]
Despite these gains, defense contracting as well as subcontracting has slowed in the wake of the federal government’s sequestration. One estimate suggests New Jersey might loss more than 40,000 jobs, if the automatic Defense Department cuts kick in this year. It is also projected that New Jersey may lose over $3 billion in gross state product (GSP).[9] Therefore it is imperative the defense and aerospace industry be supported by an innovation ecosystem, in an effort to further grow this sector.
Academia
Fortunately, industry is already teaming up with academia. For one, Princeton University is working with Lockheed Martin to develop Photonic neuron. The research is led by Paul Prucnal, a Princeton professor of electrical engineering, and David Rosenbluth, a neuroscientist and principle engineer at Lockheed Martin’s Advance Technology Laboratory, in Cherry Hill, NJ. The project is to produces fiber-optic-based devices that overcome the speed constraints of electrical circuits and can process data almost as fast as the speed of light.[10]
New Jersey Institute of Technology (NJIT) has also made it a priority to work with government on homeland security and defense efforts. Receiving contracts from both state and federal agencies, the university worked on a variety of projects including developing technologies for detecting concealed explosives and biological agents as well as advanced wireless telecommunications.[11] In 2011, NJIT received over $32 million in research and development funding from the federal government, a portion of which came from defense spending.[12]
Defense work also involves other disciplines such as food. Rutgers University was first university selected by the military to work on its food manufacturing and has received more than $15 million in defense contracts. Today, the Food Development and Manufacturing Center alone has full-time staff dedicated to military projects and receives over $1 million each year in grants.[13]
Individual academics are also able to win support with the Federal Government. Recently three young scholars won awards from DARPA, Dr. Dario Pompiliand, Dr. Wei Jiang of Rutgers University and Dr. Michael McAlpine of Princeton University. Dr. Pompili was working in the field of Neuroscience, Dr. Jiang in Photonics and Dr. McAlpine in New Physical Methods for Applied Biology. This initiative, led by DARPA, is to help engage junior faculty in the Department of Defense’s interests in research by provides funding, mentoring, and industry contacts.[14]
The Landscape
As modern warfare evolves, the sector is adapting. In the past decade Congress has evaluated military installations and technologies. The 2005 Base Realignment and Closure Commission (BRAC) led to the closure of Fort Monmouth as well as the consolidation of the McGuire Air Force Base, Fort Dix and Naval Engineering Station Lakehurst. Un-employing over 9,000 New Jerseyans, the state economy lost over $3.3 billion. However it was individuals and organizations from academia, industry and government that helped prevent further cuts.[15]
With limited defense spending and continued cuts from sequestration, the state needs to leverage its combined resources. Partnerships between academia and industry present advantages to both organizations. Creating an innovation ecosystem, industry can work more aggressively, offering far better results.
The national industry’s payroll in R&D is $6.9 billion; New Jersey needs to capture more of this money. New Jersey has three remaining major military installations (Picatinny Arsenal, Earle Naval Base and the Joint Base of McGuire-Dix-Lakehurst), an extensive infrastructure, top institutions of higher education, a nationally recognized defense industry and government supportive of economic development. The combination of credibility, influence and drive will make the state’s R&D field flourish. Interestingly, work is being done to create a major ecosystem in South Jersey.
Located in Egg Harbor City, the Next Generation Aviation Research and Technology Park (ARTP) is being built for collaboration. Set to be an aviation research facility capable of supporting advanced R&D, product commercialization and innovation, it has the potential to be a leader in the international aviation community. Perfectly located by the FAA William J. Hughes Technical Center and Atlantic City International Airport, the 55 acres project will work with Stockton College, Department of Homeland Security, the U.S. Army Armament Research, Development and Engineering Center (ARDEC) in addition to the Federal Aviation Administration.[16]
The ARTP is also expected to employ 5,000 workers directly/indirectly, become one of six Unmanned Aerial Systems Test Sites and offer small business incubation.[17] In fact, the surrounding area has already begun work on significantly improving the safety of runways, airways and reducing noise as well as carbon emissions.[18] Working with all three sectors, these plans will produce high paying jobs, advance aviation science, as well as foster lasting relationships between Industry and Academia.
Innovation in New Jersey
New Jersey has the opportunity to encourage and grow the defense and aerospace sector. Dating back to the revolution, our state has been a part of the success in defending America. In a rapidly changing world, policymakers should encourage public private collaboration in order for New Jersey to maintain this critical industry.
Work Cited
[1] Tech America Foundation. “New Jersey Tech Industry Employs 195,500 in 2012.” 2012. http://www.techamericafoundation.org/new-jersey-tech-industry-employs-195500-in-2012
[2] New Jersey Policy Research Organization. “Building Bridges II: Breaking Down Barriers: Perspectives from Academia and Industry on Building a New Jersey Innovation Ecosystem.” 2013. p10.
[3] New Jersey Policy Research Organization. “Building Bridges between Academic Institutions, Business and Government to Bring Innovation to the Marketplace.” 2010. p39
[4]Deliotte. “The Aerospace and Defense Industry in the U.S. A financial and economic impact study.” 2012. http://www.aia-aerospace.org/assets/deloitte_study_2012.pdf
[5] SNJ Business People. “With 4,100 employees Lockheed Martin is NJ’s largest manufacturer.” 2012. http://snjbp.com/node/22327
[6] CytoSorbents Corporation. “DARPA Awards $3.8 Million Contract to CytoSorbents Corporation.” 2012. http://www.marketwire.com/press-release/darpa-awards-38-million-contract-to-cytosorbents-corporation-otcbb-ctso-1687317.htm
[7] Boeing. “Improving the Quality of Life in New Jersey.” 2012. http://www.boeing.com/assets/pdf/aboutus/govt_ops/state_cards/card_NJ.pdf
[8] Choose New Jersey. “Leading in Aviation and Defense.” 2012. http://www.choosenj.com/Top-Industries/Next-Gen-Aviation.aspx
[9] Stephen S. Fuller. “The Economic Impact of the Budget Control Act of 2011 on DOD & non-DOD Agencies.” Aerospace Industries Association. 2012. http://www.aia-aerospace.org/assets/Fuller_II_Final_Report.pdf.
[10] Chris Emry. “Photonic neuron may compute a billion times faster than brain circuits.” Princeton University. 2011. http://www.princeton.edu/main/news/archive/S31/07/36I49/index.xml?section=featured
[11] New Jersey Institute of Technology. “Improve National Rankings in Homeland Security and Defense.” Office of the President. 2004. http://www.njit.edu/president/annualreport/2004/homelandsecurity/index.php
[12] National Science Foundation/National Center for Science and Engineering Statistics. “Higher Education Research and Development Survey, FY 2011.” July 2013. http://www.nsf.gov/statistics/nsf13325/content.cfm?pub_id=4240&id=2
[13] Andrea Alexander. “Research: Mission Not Impossible: Rutgers Makes Military Meals Better.” Rutgers University. 2012. http://news.rutgers.edu/focus/issue.2012-02-29.4815209454/article.2012-03-15.8894094079
[14] Defense Advanced Research Projects Agency. “2012 Young Faculty Award Recipients.” 2012. http://www.darpa.mil/opportunities/universities/young_faculty_award_recipients_2012.aspx
[15] Sills Cummis & Gross. “Keynote Address by Former Congressman Steve Rothman.” Plan Smart NJ. June 2013. http://www.sillscummis.com/Repository/Files/Keynote_Address.pdf
[16] Ronald Esposito. “Overview Brief For: Galloway Township Business Association.” Next Generation Aviation Research and Technology Park. 2013.
[17] Ibid.
[18] Choose New Jersey. “Leading in Aviation and Defense.” 2012. http://www.choosenj.com/Top-Industries/Next-Gen-Aviation.aspx
In NJPRO’s “Building Bridges” report, the Foundation surveyed the interests and needs of the aerospace and defense industry. The report found that, although New Jersey is not a top receiver of federal R&D investments, the state has the potential to become one, if it can improve its innovation ecosystem:
“The federal government’s value in assisting innovative collaborations [in New Jersey] cannot be overestimated… The federal government has to be included in any plan to increase New Jersey innovation…[2] Experience shows that partnerships involving government are patient, and cooperative research and development among industry, universities and government laboratories can work…[3]”
New Jersey’s highly educated workforce is esteemed by the military and defense companies. The state’s industry continues to advance technological innovations, developing the next generation of aerospace and weapons systems. Organizations that once built the engines for the B-17 bomber are now produce ruggedized computer systems for ground vehicles and planes. This Industry Spotlight hopes expand on the Aerospace and Defense Industry’s importance while shedding some light on examples of existing innovation.
Aerospace and Defense Industry
The aerospace and defense industry produces $5.5 billion in state revenues annually and directly employs 20,000 people in New Jersey, with an additional 50,000 people indirectly employed. The average employee makes over $93,000 and with a state payroll of almost $2 billion. The industry also produces over $1.5 billion in exports. One of the driving factors that support aerospace and defense are military installations. Within New Jersey the Joint Base McGuire-Dix-Lakehurst (JB-MDL), alone, provides installation management support for 3,933 facilities. The mega base is valued at $9.3 billion in physical infrastructure and accommodates more than 44,000 servicemen, civilians and their family members living and working on and around JB-MDL.[4]
One example of this flourishing industry from the private sector can be seen through Lockheed Martin. A world leader in systems integration and the developer of the Aegis Combat System, designed for air and missile defense systems. Located in its 1.2 million square foot facility in Moorestown, the system evolved to become the foundation of the US approach to global missile defense. Ranked as the largest manufacturer in the state, the Moorestown facility employs more than 4,100 and is home to the famous “Cruiser in the Cornfield” that is visible to travelers on I-295 and the New Jersey Turnpike.[5]
There are other companies working on innovative defense strategies as well. In August 2012, Cyto Sorbents Corporation was awarded a $3.8 million contract for technology development by the Defense Advanced Research Projects Agency (DARPA). The company is a pioneer in the use of blood purification to treat life-threatening illnesses. As part of their Dialysis-Like Therapeutics (DLT) program, Cyto Sorbents Corporation is to develop a treatment for sepsis. In battle, injured soldiers are susceptible to sepsis, a leading cause of death in the world. Even with the best medical treatment, one in every three patients dies, costing tens of billions of dollars to treat each year.[6]
Boeing is also working in New Jersey. #39 on the Fortune 500, Boeing is one of the world’s largest aerospace companies. Working with over 450 different suppliers and vendors, Boeing spends over $450 million in the state annually and supports an estimated 13,000 jobs.[7] A manufacturer of military aircraft, including the Apache, the Chinook, and the Osprey, it has three locations in New Jersey: Berkeley Heights, Millville, and Shrewsbury.[8]
Despite these gains, defense contracting as well as subcontracting has slowed in the wake of the federal government’s sequestration. One estimate suggests New Jersey might loss more than 40,000 jobs, if the automatic Defense Department cuts kick in this year. It is also projected that New Jersey may lose over $3 billion in gross state product (GSP).[9] Therefore it is imperative the defense and aerospace industry be supported by an innovation ecosystem, in an effort to further grow this sector.
Academia
Fortunately, industry is already teaming up with academia. For one, Princeton University is working with Lockheed Martin to develop Photonic neuron. The research is led by Paul Prucnal, a Princeton professor of electrical engineering, and David Rosenbluth, a neuroscientist and principle engineer at Lockheed Martin’s Advance Technology Laboratory, in Cherry Hill, NJ. The project is to produces fiber-optic-based devices that overcome the speed constraints of electrical circuits and can process data almost as fast as the speed of light.[10]
New Jersey Institute of Technology (NJIT) has also made it a priority to work with government on homeland security and defense efforts. Receiving contracts from both state and federal agencies, the university worked on a variety of projects including developing technologies for detecting concealed explosives and biological agents as well as advanced wireless telecommunications.[11] In 2011, NJIT received over $32 million in research and development funding from the federal government, a portion of which came from defense spending.[12]
Defense work also involves other disciplines such as food. Rutgers University was first university selected by the military to work on its food manufacturing and has received more than $15 million in defense contracts. Today, the Food Development and Manufacturing Center alone has full-time staff dedicated to military projects and receives over $1 million each year in grants.[13]
Individual academics are also able to win support with the Federal Government. Recently three young scholars won awards from DARPA, Dr. Dario Pompiliand, Dr. Wei Jiang of Rutgers University and Dr. Michael McAlpine of Princeton University. Dr. Pompili was working in the field of Neuroscience, Dr. Jiang in Photonics and Dr. McAlpine in New Physical Methods for Applied Biology. This initiative, led by DARPA, is to help engage junior faculty in the Department of Defense’s interests in research by provides funding, mentoring, and industry contacts.[14]
The Landscape
As modern warfare evolves, the sector is adapting. In the past decade Congress has evaluated military installations and technologies. The 2005 Base Realignment and Closure Commission (BRAC) led to the closure of Fort Monmouth as well as the consolidation of the McGuire Air Force Base, Fort Dix and Naval Engineering Station Lakehurst. Un-employing over 9,000 New Jerseyans, the state economy lost over $3.3 billion. However it was individuals and organizations from academia, industry and government that helped prevent further cuts.[15]
With limited defense spending and continued cuts from sequestration, the state needs to leverage its combined resources. Partnerships between academia and industry present advantages to both organizations. Creating an innovation ecosystem, industry can work more aggressively, offering far better results.
The national industry’s payroll in R&D is $6.9 billion; New Jersey needs to capture more of this money. New Jersey has three remaining major military installations (Picatinny Arsenal, Earle Naval Base and the Joint Base of McGuire-Dix-Lakehurst), an extensive infrastructure, top institutions of higher education, a nationally recognized defense industry and government supportive of economic development. The combination of credibility, influence and drive will make the state’s R&D field flourish. Interestingly, work is being done to create a major ecosystem in South Jersey.
Located in Egg Harbor City, the Next Generation Aviation Research and Technology Park (ARTP) is being built for collaboration. Set to be an aviation research facility capable of supporting advanced R&D, product commercialization and innovation, it has the potential to be a leader in the international aviation community. Perfectly located by the FAA William J. Hughes Technical Center and Atlantic City International Airport, the 55 acres project will work with Stockton College, Department of Homeland Security, the U.S. Army Armament Research, Development and Engineering Center (ARDEC) in addition to the Federal Aviation Administration.[16]
The ARTP is also expected to employ 5,000 workers directly/indirectly, become one of six Unmanned Aerial Systems Test Sites and offer small business incubation.[17] In fact, the surrounding area has already begun work on significantly improving the safety of runways, airways and reducing noise as well as carbon emissions.[18] Working with all three sectors, these plans will produce high paying jobs, advance aviation science, as well as foster lasting relationships between Industry and Academia.
Innovation in New Jersey
New Jersey has the opportunity to encourage and grow the defense and aerospace sector. Dating back to the revolution, our state has been a part of the success in defending America. In a rapidly changing world, policymakers should encourage public private collaboration in order for New Jersey to maintain this critical industry.
Work Cited
[1] Tech America Foundation. “New Jersey Tech Industry Employs 195,500 in 2012.” 2012. http://www.techamericafoundation.org/new-jersey-tech-industry-employs-195500-in-2012
[2] New Jersey Policy Research Organization. “Building Bridges II: Breaking Down Barriers: Perspectives from Academia and Industry on Building a New Jersey Innovation Ecosystem.” 2013. p10.
[3] New Jersey Policy Research Organization. “Building Bridges between Academic Institutions, Business and Government to Bring Innovation to the Marketplace.” 2010. p39
[4]Deliotte. “The Aerospace and Defense Industry in the U.S. A financial and economic impact study.” 2012. http://www.aia-aerospace.org/assets/deloitte_study_2012.pdf
[5] SNJ Business People. “With 4,100 employees Lockheed Martin is NJ’s largest manufacturer.” 2012. http://snjbp.com/node/22327
[6] CytoSorbents Corporation. “DARPA Awards $3.8 Million Contract to CytoSorbents Corporation.” 2012. http://www.marketwire.com/press-release/darpa-awards-38-million-contract-to-cytosorbents-corporation-otcbb-ctso-1687317.htm
[7] Boeing. “Improving the Quality of Life in New Jersey.” 2012. http://www.boeing.com/assets/pdf/aboutus/govt_ops/state_cards/card_NJ.pdf
[8] Choose New Jersey. “Leading in Aviation and Defense.” 2012. http://www.choosenj.com/Top-Industries/Next-Gen-Aviation.aspx
[9] Stephen S. Fuller. “The Economic Impact of the Budget Control Act of 2011 on DOD & non-DOD Agencies.” Aerospace Industries Association. 2012. http://www.aia-aerospace.org/assets/Fuller_II_Final_Report.pdf.
[10] Chris Emry. “Photonic neuron may compute a billion times faster than brain circuits.” Princeton University. 2011. http://www.princeton.edu/main/news/archive/S31/07/36I49/index.xml?section=featured
[11] New Jersey Institute of Technology. “Improve National Rankings in Homeland Security and Defense.” Office of the President. 2004. http://www.njit.edu/president/annualreport/2004/homelandsecurity/index.php
[12] National Science Foundation/National Center for Science and Engineering Statistics. “Higher Education Research and Development Survey, FY 2011.” July 2013. http://www.nsf.gov/statistics/nsf13325/content.cfm?pub_id=4240&id=2
[13] Andrea Alexander. “Research: Mission Not Impossible: Rutgers Makes Military Meals Better.” Rutgers University. 2012. http://news.rutgers.edu/focus/issue.2012-02-29.4815209454/article.2012-03-15.8894094079
[14] Defense Advanced Research Projects Agency. “2012 Young Faculty Award Recipients.” 2012. http://www.darpa.mil/opportunities/universities/young_faculty_award_recipients_2012.aspx
[15] Sills Cummis & Gross. “Keynote Address by Former Congressman Steve Rothman.” Plan Smart NJ. June 2013. http://www.sillscummis.com/Repository/Files/Keynote_Address.pdf
[16] Ronald Esposito. “Overview Brief For: Galloway Township Business Association.” Next Generation Aviation Research and Technology Park. 2013.
[17] Ibid.
[18] Choose New Jersey. “Leading in Aviation and Defense.” 2012. http://www.choosenj.com/Top-Industries/Next-Gen-Aviation.aspx
