Because of the $47 million spike in Department of Energy funding mentioned above, industrial firms received about 30 percent of federal R&D obligations in the state in FY 1994 (Chart 3). In FY 1993, however, Alaska's industrial firms received only 0.5 percent of the state's federal R&D obligations, compared with the national average of about 45 percent.

Alaska's industrial firms conducted $14 million in R&D in 1993, most of which was supported by their own funds. Since Alaska's manufacturing industry is relatively small, it is likely that most of these funds were used for R&D related to environmental sciences, engineering, and resource development. Industry also supported $5 million in academic research, making the proportion of academic R&D funded by industry in Alaska somewhat higher than the national average.