Technology & Telecommunications

New England is a center for the development of new technologies and the New England Council is actively engaged in the debates surrounding advancements in technology and telecommunications.

The region is home to a high concentration of technology companies, industries that use technology as a key component of their business strategy, and universities that engage in a large amount of high-tech research and development.

One technology issue where the New England Council has been very active is in the area of Internet privacy. In 2001, the Council, through its Privacy Task Force, developed a Statement of Principles on Internet, Health and Financial Privacy. While the Council certainly understands and shares some of the concerns of consumers about how their personal information is collected and shared online, the Council believes that a legislative or regulatory response that does not take into consideration the legitimate interests of the high-tech industry in this area may risk the possible consequences of stifling innovation and jeopardizing the provision of an efficient and inexpensive Internet.

Other issues that have played an important role in the Council’s advocacy efforts over the years include Patent and Trademark Office funding, Internet access taxation, and addressing the shortage of high-tech workers through an increase in the amount of H-1B visas, increased funding for IT job training, and programs to encourage more students and teachers in the critically important subjects of science, math and engineering.

The U.S. Patent and Trademark Office (USPTO) is the branch of the Department of Commerce responsible for examining and issuing patents and registering trademarks. With emerging technologies playing a central role in the region’s economy, it is essential that the USPTO be adequately funded to allow for patents to be issued in a timely manner – encouraging greater creation and investment in new technology.

The USPTO is fully funded by its users. Over the past several years, however, several hundred million dollars have been diverted from the USPTO to pay for other unrelated federal government programs. As a direct consequence, patent quality has suffered and there is currently a huge backlog of unprocessed patent applications. Due to the current circumstances, the New England Council has actively supported legislation to eliminate the diversion of patent fees.

In the area of Internet access taxation, the New England Council continues to support a moratorium on taxing Internet service. Extending the Internet tax moratorium encourages the still-developing digital economy to continue to invest in its future. In addition, the Council believes that tax-free Internet access reduces the digital divide – not only between the rich and poor, but between smaller and larger businesses – by eliminating regressive taxes.

• Research & Development

Advocacy:

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• 2010
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• 2003

• June 2010: Bonus Depreciation Letter
• March 2010: NEC urges Congress to revitalize R&D tax credit

Education:

• August 2006: New England Council's STEM Education Principles
• April 2006: Data Security Breach Principles
• September 2005: New England Council's Health Information Technology Principles

Research & Development

The New England Council supports a robust and balanced Research and Development portfolio. For the past several years, Congress has provided significant increases in the funding of R&D throughout federal agencies.

Strong federal R&D funding is a cornerstone of scientific advancement and innovation and is a primary reason why the United States remains a leader in technological advancement. R&D is also critical to New England, which historically has received approximately seven percent of the federal R&D budget. Federal R&D funding also provides support for noteworthy high-tech ventures that may not be funded by the private sector, aids smaller businesses that lack R&D budgets, complements private industry investment and advances discovery of new technologies.

The New England Council supports making the R&D tax credit permanent. The R&D tax credit helps fuel economic growth, augments private investment and allows business to plan long-term projects knowing that the tax credit is available. Additionally, The New England Council encourages Congress to continue its strong funding of federal R&D.

The New England Council also supports a balanced R&D portfolio. The New England Council recognizes that life sciences and physical sciences, once considered as separate fields, have become increasingly interconnected, especially in the fields of biotechnology and nanotechnology. Support for this interconnectedness is an essential component of scientific discovery and technological advancement.