“The total costs to the NanoKTN were estimated to be £6.2k, which was converted into £510k of income to participants and represents an 82 times return on Technology Strategy Board funds invested,” claimed NanoKTN director Alec Reader. “This income was split between £245k of sales won and £275k of research funding.”
Part of the problem with letting academics loose with this kind of thing is the failure to distinguish between gross profit and net profit, which would be what you would be left with when you add in all the costs associated with running the network and putting out this kind of story.
I seem to recall that this KTN had a budget of around £2.5 million for three years, but it would be nice to see an analysis of just how effective these government sponsored initiatives are and to identify the factors that contribute to success. While the benefits can be both long term and somewhat intangible, what return would a government consider reasonable for a £2,500,000 investment?