# Technological Learning and Innovation Gestation Lags at the Frontier of   Science: from CERN Procurement to Patent

**Authors:** Andrea Bastianin, Paolo Castelnovo, Massimo Florio, Anna, Giunta

arXiv: 1905.09552 · 2019-05-24

## TL;DR

This study investigates how collaboration with CERN influences industrial partners' innovation, revealing a significant lag of five to eight years before observable patenting activity increases, highlighting slow absorption of new ideas.

## Contribution

It provides empirical evidence of CERN's impact on firms' patenting behavior and quantifies the long gestation lag in technological innovation at the science frontier.

## Key findings

- CERN collaboration increases patent filing hazard.
- Patent activity rises after 5-8 years of partnership.
- Innovation effects manifest with significant delay.

## Abstract

This paper contributes to the literature on the impact of Big Science Centres on technological innovation. We exploit a unique dataset with information on CERN's procurement orders to study the collaborative innovation process between CERN and its industrial partners. After a qualitative discussion of case studies, survival and count data models are estimated; the impact of CERN procurement on suppliers' innovation is captured by the number of patent applications. The fact that firms in our sample received their first order over a long time span (1995-2008) delivers a natural partition of industrial partners into "suppliers" and "not yet suppliers". This allows estimating the impact of CERN on the hazard to file a patent for the first time and on the number of patent applications, as well as the time needed for these effects to show up. We find that a "CERN effect" does exist: being an industrial partner of CERN is associated with an increase in the hazard to file a patent for the first time and in the number of patent applications. These effects require a significant "gestation lag" in the range of five to eight years, pointing to a relatively slow process of absorption of new ideas.

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Source: https://tomesphere.com/paper/1905.09552