Funding for R&D is undergoing a shift in the US, with an increasing trend toward private backing. While federal funds still provide most of the support for the sciences, budget cuts have placed financial strain on some research institutes and programs. According to one study of the 50 universities with the highest budgets for science research, 30% of those funds come from private sources. Such contributions are influencing the direction of research because donors support projects according to their preferences rather than by need. Also, donations may most benefit top academic institutions, thus potentially hampering efforts to increase diversity in science. In some cases, such as the Obama Administration’s BRAIN initiative (see IBO 4/15/13), philanthropy-backed research sets the path for federal research programs. Unlike with government-sponsored research, bureaucracy is minimal, accelerating the pace of privately funded programs. In addition, wealthy donors are more likely to finance riskier projects, which have included the development of potential disease therapies that are unprofitable for pharmaceutical companies. Institutions are welcoming the influx of private support for their research, teaching their doctors and scientists how to attract patients as research sponsors.

Source: The New York Times