R&D spending rising in Indiana


Research and development spending in Indiana rose to $7.6 billion in 2015, the most recent year for which data is available, up from $7.3 billion in 2014, according to a new report from Indiana University’s STATS Indiana.

The National Science Foundation estimates Indiana ranked 17th nationwide in R&D expenditures in 2015, up from 18th the previous year. Local facilities such as ArcelorMittalGlobal R&D in East Chicago, Monosol’s corporate headquarters in Merrillville, and Purdue University Northwest’s Center for Innovation through Visualization & Simulation in Hammond contributed to the estimated $1,159 in per capita R&D spending in Indiana in 2015, which ranks 23rd nationally.

R&D is one of the most high-end economic activities, accounting for 7 percent of U.S. Gross Domestic Productgrowth between 1995 and 2004, according to the National Science Foundation.

Though R&D spending rose in Indiana in 2015, it still fell short of the peak period between 2011 and 2013 when as much as $8 billion a year was being invested in research and development across the state, according to STATS Indiana.

Industry accounted for the bulk – about $6.2 billion or 81.6 percent – of Indiana’s R&D spending in 2015, STATS Indiana reported. Universities contributed about $1.3 billion, or 17.3 percent of the total.

The Hoosier state, the 16th most populous in the union, ranked 15th in industry spending on R&D, 16th in funding for research at public universities and 20th for funding at private colleges, according to the National Science Foundation. The vast majority of funding for R&D at the state’s colleges comes from the federal government and institutional sources.