6 Stepping Up Enterprise Innovation

Stimulating innovation, and expanding innovation capacity, is critical to enhancing enterprise productivity and enabling enterprise to avail of new opportunities and enter new markets. Further funding was rolled out under the Disruptive Technologies Innovation Fund (DTIF), which seeks to supports collaborative enterprise-driven partnerships that develop, deploy and commercialise disruptive technologies to transform business, as call 6 was announced in late 2023. Ireland successfully commenced the first phase of European Regional Development Fund funding allocation for Technology Gateways, KT Boost, and Innovator’s Initiative, as part of a 7-year commitment. In H2 2023, Ireland further announced the first call for €35m funding under the €145m Smart Regions Enterprise Innovation Scheme, and awarded almost €51 million across 11 projects under call 6 of the Disruptive Technologies Innovation Fund, with a further call to be announced in 2024. In specific sectors, Irish companies and research institutions are benefitting from engagements with the European Space Agency (ESA) to pursue opportunities in the space sector, with the total number of Irish companies working with the ESA exceeding the targets set out National Space Strategy for Enterprise in 2023. Meanwhile, the Construct Innovate industry outreach and engagement programme was launched, engaging researchers and industry members in its first year, and facilitating training and equipment funding to drive modern methods of construction that will boost productivity, reduce delivery time, and reduce environmental impact.

6.1 Double Spin-outs and Enhance Research Commercialisation

Timeline		Q1 2024: Complete awards to universities and commence the KT
		Boost Programme
		Q1 2024: Commence Innovators Initiative
Responsibility		Enterprise Ireland (Lead); Department of Enterprise, Trade and
		Employment
Update	To support the generation of spinouts and High Potential Start-Ups from research, Enterprise Ireland launched two new European Regional Development Fund initiatives during Q1 2023. KT Boost Programme is co-financed by the Government of Ireland and the European Union through the ERDF Southern, Eastern & Midland Regional Programme 2021-27 and the Northern & Western Regional Programme 2021-27. The call for applications opened in February 2023 and closed in March 2023. Enterprise Ireland approved the allocations of the funding and all contracts were signed during H2 2023, with and advanced funding allocated according. The €33.4 million fund was formally launched by Minister for Enterprise Trade and Employment, Simon Coveney TD in December 2023 and the programme commenced in January 2024.
	The Innovators’ Initiative call was launched in Q1 2023 and closed in Q2. Eleven eligible applications were received and evaluated. Four of these eleven applications were recommended and approved for funding in Q3 2023. The four successful programmes commenced in Q4 2023 and are now all operational. The four programmes each address a specific sector of economic importance. These consist of medtech, agritech, cybersecurity and digital health. Out of the four applications approved for funding, three initiatives signed contracts during Q4 2023.

6.2 Invest in Disruptive Technologies Innovation and Commercialisation

	Timeline		Q4 2023: Announce results of Call 6 of DTIF, which closes in Q2 2023
	Responsibility			Department of Enterprise, Trade and Employment
Update	Update		The Disruptive Technologies Innovation Fund (DTIF) is a €500 million challenge-based Fund established under Project Ireland 2040. The Fund supports collaborative enterprise-driven partnerships that develop, deploy and commercialise disruptive technologies to transform business, with a particular focus on industrial research and SME participation. The results Call 6 of the DTIF were announced in November 2023 and January 2024, with 12 projects awarded almost €58 million in funding over three years. The successful projects address a range of national research priorities areas, including in digital transformation and integrating decarbonisation and net zero commitments. A seventh DTIF Call will be announced in the coming weeks, in H1 2024.

6.3 Strengthen Regional Smart Specialisations

Timeline		Q4 2023: Implement first phase of allocation of €445 million of ERDF
		Funding for regional enterprise development and innovation initiatives
Responsibility		Department of Enterprise, Trade and Employment (Lead); Smart
		Specialisation National Steering Group
Update	The first phase of the allocation of European Regional Development Fund funding commenced during 2023. Four programmes are presently being co-funded under the ERDF over a 7-year period. The budget allocation for the first three programmes: Technology Gateways, Knowledge Transfer (KT) Boost, and Innovator’s Initiative programmes is €117 million over 7 years. Following the Technology Gateways programme, with 17 Gateways, being launched in May 2023, the KT Boost programme was launched in December 2023 by the Minister for Enterprise, Trade and Employment, Mr Simon Coveney TD. Finalisation of the Innovators’ Initiative programme continued in H2 2023, and the successful initiatives were announced in February 2024. In addition, the first call for €35m of the €145m Smart Regions Enterprise Innovation Scheme was announced in October 2023. The Scheme is now open for applications on Enterprise Ireland’s website until end of Q1 2024. Further details on this scheme are detailed under Section 7.2.

6.4 Drive Innovation and Adoption of Modern Methods in Construction (MMC)

Timeline		Q2 2023: Delivery of MMC Roadmap for publicly procured
		residential construction
		Q4 2023: Launch of Construct Innovate industry outreach and
		engagement programme and completion of Housing for All priority
		research programme
		Q4 2023: Completion of first phase of MMC Demonstration Park
Responsibility		Department of Enterprise, Trade and Employment; Department of
		Housing, Local Government and Heritage; Department of Further
		and Higher Education, Research, Innovation and Science
Update	The Department of Enterprise, Trade and Employment and the Department of Housing, Local Government and Heritage published the Roadmap for Increased Adoption of Modern Methods of Construction (MMC) in Public Housing Delivery in H2 2023. The Roadmap sets out a range of actions for public bodies to undertake, in order to increase use of MMC in residential construction. This includes measures to support the delivery of 1,500 social homes in 2023 and 2024 using MMC. In parallel, the Department of Enterprise, Trade and Employment and the Department of Housing, Local Government and Heritage have also published an ‘Introductory Guide to Modern Methods of Construction’, which sets out information on the different forms of MMC available.
	In its first year, Construct Innovate has welcomed its first 50 industry members, and signed up another research performing organisation (bringing the total number of research organisations to six). 30 industry professionals are undertaking a part-time Postgraduate Diploma in Construction Innovation through the University of Galway. 12 webinars have been delivered alongside two Academic-Industry Meeting (AIM) days. €2m in equipment funding has been secured from Enterprise Ireland for testing equipment for construction products. The Centre has also delivered the first tranche of research to support residential construction under the Housing for All priority research programme, with the completion of the first 10 research projects last year.
	The development of the Phase 1 of the MMC Demonstration Park continues to progress. During H2 2023, preferred bidders were notified of their success in the H1 Expression of Interest process and the design for Phase 1 was finalised. A project manager was appointed, and an independent peer review of the proposed foundations was conducted, to provide further governance around this innovative project. Costings for Phase 1 were furthermore agreed by the Project Oversight Group. The Group (consisting of Department of Further and Higher Education, Research, Innovation and Science, Department of Enterprise, Trade and Employment, Department of Housing, Local Government and Heritage, SOLAS and Laois-Offaly Education and Training Board) agreed a decision pathway, and the staggered delivery of Phase 1 of the Park. Recognising the additional governance arrangements developed and implemented, delivery of this phase has been moved to Q4 2024. A planning application was granted permission by the local authority in H1 2024.

Timeline				Q4 2023: Provide a range of lean, innovation and productivity
				advisory and financial assistance to home builders, general
				contractors, and offsite manufacturers with ambition to adopt
				modern methods of construction
	Responsibility			Enterprise Ireland
Update	Update		The have been 29 companies approved under Built To Innovate between the launch in March 2022 and the end of 2023. Built to Innovate initiative was launched in 2022 with the aim of increasing the productivity and innovation capabilities of the domestic residential sector. There have been 29 companies approved under Built To Innovate between the launch in March 2022 and end of 2023. During 2023, Enterprise Ireland continued to actively promote this range of financial and advisory supports to the construction sector with presentations to sector stakeholders to highlight these new offerings. Examples of events where presentations took place include the National Construction Summit, Irish Homebuilders Association regional roundtable, MMC Ireland member meetings. During 2023, 18 companies in total were approved for funding under the initiative. Enterprise Ireland and IDA Ireland, together with attendees from Government Departments further hosted a Homebuilders’ Roundtable in November 2023, which targeted larger construction companies for discussions on the respective stages of the housing development process; acquire, plan and build.

6.5 Pursue Frontier Technology Opportunities in the Space Sector

	Timeline		Q4 2023: Achieve 100 Irish based companies working with the European Space Agency (ESA)
Responsibility	Responsibility			Department of Enterprise, Trade and Employment; Enterprise
				Ireland
Update			Latest figures available to DETE indicate that 27 Irish based companies and six third level institutions have won €7 million worth of contracts from the European Space Agency in 2023. These figures indicate that the total number of Irish companies benefitting from ESA contracts to 104, exceeding the National Space Strategy for Enterprise 2019-2025 target of 100 companies. The high level of space activity is anticipated to continue during 2024 with further additional companies expected to engage with ESA contract work.