Research and development is moving from laboratory-based models to digital platforms that integrate data, software, and AI. This Insight examines how many global firms now operate as de facto research environments, the implications for Australia’s capability and sovereignty, and the changes required in policy, measurement, and national strategy.

The productivity lag from AI reveals competing logics: automation that replaces labour to cut costs versus augmentation that expands capability to create value. For innovation ecosystems, this choice is existential. Strict safety regulations risk creating moats favouring large incumbents, while unrestricted deployment threatens research quality. The narrow path requires public interest AI infrastructure, risk-weighted governance, and incentives rewarding high-impact discovery

University–industry ties are rising, but mainly with foreign firms. The real barrier is domestic absorptive capacity: many Australian SMEs lack R&D talent, systems to use outside knowledge, and resources to scale. Multinationals adopt our research, while local work stalls at TRL 6–7. Stop blaming universities. Industry must invest in skills, universities must back implementation, and government must support transfer agents. Without this, R&D returns will stay weak.

Australia’s innovation system is world-class in research inputs,but falters when it comes to commercial outcomes. This is our long-standing "innovation paradox." What if we could finally solve it? Drawing on the case of Kaiserslautern, a small German city transformed into a global tech hub through the establishment of Fraunhofer Institutes, this Insight makes the case for introducing Fraunhofer-style applied research institutes in Australia.

Australia's food policy suffers from commodity-focused analysis that undervalues the full food system. While agricultural production accounts for 2.4% of GDP, integrated food chains contribute more, estimated at 10-15%. This blindness stems from farm-gate metrics, while consumption innovation lacks institutional support. Food has evolved beyond sustenance into cultural expression in multicultural Australia. Policy needs consumption-led approaches, recognising food's community

The tectonic shifts in the global economy—from manufacturing to services, from tangible goods to intangible assets—demand more than incremental adjustments to our statistical and analytical frameworks, Australia, a nation increasingly powered by services and innovation, risks undermining its competitiveness by clinging to an outdated framework. The case for adopting modern, flexible, and globally aligned industry classification systems has never been more compelling.

With 30 Ministers and a growing cohort of Assistant Ministers, the Second Albanese Ministry is structured for delivery. But is that enough? This new Insight explores how administrative consolidation may be masking a retreat from bold reform, especially in research, innovation, and productivity

Despite decades of consensus that Australia must diversify beyond resource dependence, policy action has repeatedly stalled. This new Insight from the Acton Institute unpacks this paradox as a slow-moving crisis—a systemic drift that erodes capability, legitimacy, and future prosperity. The Insight explores why structural reform so often fails, and argues that policy effectiveness in the 21st century depends not just on what governments do, but how they make sense of what mus

Imagine an Australia where innovation flourishes: industry makes bold R&D investments, universities collaborate, and Government is a partner

The Universities Accord Report pushed for 'root and branch' reform of the R&D system. But could strategic patience be more transformative?

Australia has achieved remarkable success in consumer-facing applications. But it faces a crucial challenge developing platform technologies

The history of reviews of research and innovation in Australia follows a predictable and disheartening cycle

Australia’s future as an innovation leader hinges on its ability to consolidate knowledge and insights provided in previous reviews.

John H Howard, 4 December 2024 The Australian Government’s Strategic Examination of the Research and Development (R&D) system offers a...

Australia's industrial policy is shifting with the Future Made in Australia Act. However, there are concerns about potential inefficiencies

John H Howard, 5 November 2024* The passage of the US CHIPS and Science Act  in 2022 marked a pivotal moment in the nation’s pursuit of...

The Review is an opportunity to reshape Australia's research system, aiming for a coherent, future-facing model that boosts investment.

The Science, Research and Innovation budget tables, released on 18 October, deliver a keen insight into the government’s investment in R&D.