This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 03 TEL AVIV 001791 
 
SIPDIS 
 
SENSITIVE 
 
DEPT FOR NEA/IPA, NEA/RA, OES/STC AND OES/PCI 
WHITE HOUSE FOR OSTP 
 
E.O. 12958: N/A 
TAGS: KSCA TPHY PREL ECON OVIP KPAL KWBG IS ISRAEL RELATIONS
SUBJECT: WHITE HOUSE SCIENCE ADVISOR ADVANCES DIALOGUE ON 
BILATERAL S&T COOPERATION; HEARS REQUESTS THAT U.S. SUPPORT 
ISRAELI S&T CO-OP WITH ARAB WORLD 
 
SENSITIVE BUT UNCLASSIFIED - PLEASE HANDLE ACCORDINGLY. 
 
¶1. (U) Summary:  During a three-day visit to Israel, John 
Marburger, Science Advisor to the President and Director of the 
White House Office of Science and Technology Policy (OSTP), 
engaged in a dialogue on strengthening U.S.-Israel cooperation in 
S&T.  He moved his Israeli interlocutors away from requests for 
more money for binational R&D foundations and towards more 
comprehensive and feasible approaches to strengthening the 
"special science relationship."  A visit by Ambassador Jones to a 
local university confirmed there are practical possibilities for 
strengthening S&T cooperation, with potential benefits for both 
the U.S. and Israel.  Dr. Marburger also heard requests from 
Israeli academics and a senior Palestinian researcher for the 
U.S. to strongly support cooperation between Israeli scientists 
and independent Palestinian researchers and other scientists 
throughout the Arab World.  Israeli academics expressed concern 
that pending U.S. legislation might restrict funding for 
Palestinian NGO's.  Dr. Marburger visited an R&D center and a 
technology incubator in Israel's Arab Sector.  End summary. 
 
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Strengthening S&T Cooperation:  Not Just "More Money" 
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¶2. (U) OSTP Director Marburger visited Israel April 22-24 to 
present a keynote address at a symposium on "The State of U.S.- 
Israel Scientific and Technological Cooperation.  The symposium 
was part of celebrations of 50 years of Fulbright exchanges 
between the U.S. and Israel.  In the run-up to the symposium, 
Israeli organizers and others focused almost exclusively on the 
growth of matched government to government funding for EU-Israel 
research partnerships, while similar U.S.-Israeli funding had 
remained constant in recent years.  (Note: To some extent, this 
line of argument ignores the dominance of the U.S. in other 
funding, e.g. NIH grants to Israeli researchers and hi-tech 
commercial partnerships.  End note).  Dr. Marburger stated at the 
Symposium and in discussions with Israeli leaders that he does 
not see the U.S. and European countries in competition for 
increased cooperation with Israel and that Israeli-EU or Israeli- 
German cooperation were both positive steps and that he supported 
such cooperation.  He also noted that he was not a big supporter 
of endowments, rather than there should be increased 
communication/cooperation directly between Israeli institutions 
and USG agencies and pointed to both NIH and NSF as possibilities 
for enhanced cooperative activities.  Dr. Marburger's exchanges 
with Israeli government, academic and business representatives 
moved a stale debate about funding  towards one focused on 
approaches that are both more comprehensive and feasible.  He 
stressed to his audiences that the U.S. is making major 
investments in science and technology at all levels, and Israel 
should be looking at a range of partnerships, including with key 
U.S. states, rather than hoping for enhanced endowments for 
existing binational foundations.  As Dr. Marburger noted at the 
Symposium Gala Dinner, the bilateral S&T relationship is one 
between "intellectual equals" and deserving of attention to 
increase benefits for both sides.  At the Symposium, the 
Fulbright Committee Chairman noted new cooperation between the 
Israeli and U.S. nanotechnology initiatives as a possible model 
for working together using existing mechanisms and resources, 
based on mutual interest. 
 
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Symposium, Other Key Reports to Show the Way Forward 
--------------------------------------------- ------- 
 
¶3. (U) Symposium participants and sponsors will produce a set of 
findings to guide future discussions on strengthening S&T 
cooperation.  Separately, the Israeli director of the U.S.-Israel 
Science and Technology Commission told Dr. Marburger that a long- 
awaited request for proposals to carry out a study of Israel's hi- 
tech sectors will be issued shortly.  At a dinner for Dr. 
Marburger April 24, a representative of the Ministry of Industry, 
Trade and Labor suggested that Israeli and American companies 
might work together under the aegis of the Small Business 
Innovation Research (SBIR) Program.  Dr. Marburger told 
interlocutors from academia and government during an April 24 
dinner discussion that he would explore possibilities for the 
national academies of both countries to work together on a 
comprehensive look at the present status and future possibilities 
of the bilateral S&T relationship.  He took note of the new 
flexibility displayed by Germany's national science foundation in 
working with Israeli scientists and stated he would ask the U.S. 
NSF to look at recent changes in Germany's grants procedures. 
 
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Ambassador's Visit to Bar Ilan University 
----------------------------------------- 
 
¶4. (U) An April 24 visit to Bar Ilan University by Ambassador 
Jones highlighted some practical considerations in the S&T 
relationship.  As the president of the university and the vice 
president for research administration pointed out, Bar Ilan and 
other Israeli universities face the challenge of convincing 
Israelis to return home following study or work in the U.S., and 
the additional challenge of attracting American post-docs to 
Israel.  In his keynote address to the Symposium, Dr. Marburger 
stressed the importance of regional and national centers in 
attracting talent.  The reports mentioned above may help Israeli 
institutions focus their resources to develop centers of 
excellence in specific areas of S&T, making academic and other 
institutions even more attractive to American partners.  In his 
discussions at Bar Ilan, the Ambassador mentioned that some 
Symposium speakers had highlighted the growth in Israeli-European 
R&D efforts.  He and the university leaders discussed practical 
possibilities for creating stronger partnerships with American 
academic institutions, such as agreements with U.S. schools to 
exchange professors for a year at a time, or other efforts 
universities like Bar Ilan could make to attract American post- 
docs. 
 
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Israeli R&D Co-op with Palestinians and Arab World 
--------------------------------------------- ----- 
 
¶5. (SBU) Israeli academic leaders and government officials told 
Dr. Marburger that Israeli scientists need to engage with their 
Palestinian counterparts more than ever, following the Hamas 
electoral victory.  They also need to further develop cooperation 
with researchers in the broader Arab World, and the U.S. can be 
an important "third party" in both sets of interactions.  (Note: 
Several Israeli senior academics, government officials and an 
industry representative made the same case to Dr. Marburger 
during dinner discussions April 24. The theme of regional S&T 
cooperation was also addressed by a Nobel Prize Winner at the 
Symposium and a journalist during an April 23 roundtable.  End 
note).  The president of Hebrew University briefed Dr. Marburger 
on his institution's strong cooperation with Al Quds University 
during an April 23 visit to Hebrew U.  A senior researcher from 
Al Quds also attended that meeting.  Both academics praised the 
Middle East Regional Cooperation (MERC) Program as a vehicle 
where independent Palestinian researchers can work with Israeli 
colleagues on regional R&D challenges.  They expressed concern 
about a drop in MERC funding for FY 2006, and asked that the USG 
continue to fully fund MERC.  The president of Hebrew U. 
expressed concern about reports that the U.S. Agency for 
International Development was considering eliminating the 
Cooperative Development Research (CDR) Program, which has long 
supported joint efforts between Israeli scientists and scientists 
in the developing world.  He also voiced concern that draft U.S. 
legislation, if enacted, would eliminate funding for Palestinian 
NGO's and curtail American cooperation with moderates in the 
Palestinian Authority.  Congressional report language had 
supported funding for health projects between Hebrew U. and Al 
Quds U. in recent years, but actual funding had not been 
committed.  (Current developments at Al Quds U. reported septel). 
 
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Visits to R&D Center and Hi-Tech Incubator 
------------------------------------------ 
 
¶6. (U) Dr. Marburger visited the Israeli Arab Galilee Society R&D 
Center and the Jewish-Arab New Generation Technologies technology 
incubator, both near Nazareth, on April 24.  The R&D Center 
receives support from the Ministry of Science and Technology 
(MOST) and the technology incubator from the Ministry of 
Industry, Trade and Labor.  While the Arab Sector is behind the 
Jewish majority in advanced education and achievements in 
science, both institutions were providing platforms for Israeli 
Arab scientists to carry out innovative research, particularly in 
biotechnologies.  New Generation Technologies has an impressive 
track record of picking startups and strong ties with the venture 
capital community in the U.S.  During an April 23 visit to MOST, 
the Ministry's Chief Scientist and acting Director General told 
Dr. Marburger that her ministry was supporting R&D centers 
throughout Israel, including two specifically directed at the 
Arab population and one to support the Bedouin in the Negev. 
 
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Comment:  Benefits to the U.S. of S&T Cooperation 
--------------------------------------------- ---- 
 
¶7. (U) Comment:  Dr. Marburger's interlocutors repeatedly 
stressed Israel's keen interest in strengthened bilateral S&T 
cooperation, and in U.S. support for Israel's S&T interactions 
with the Arab World.  Israeli academics and entrepreneurs are 
very comfortable with the U.S. model for S&T development.  At the 
same time, Israeli researchers are at the cutting edges 
themselves in key areas.  They see the U.S. as the world leader 
in S&T, are familiar with American institutions, and see the U.S. 
system as having less bureaucracy than those of other partners. 
Both countries have interests and capabilities in key sectors, 
including defense, homeland security, energy, water, nano and 
biotechnologies.  By at least one measure, Israel is number one 
in the world in "talent density" (based on patents, doctorates, 
and NASDAQ listings).  As Dr. Marburger noted, the S&T 
relationship with Israel is a key one for the U.S. and deserving 
of attention by both sides.  The Fulbright Symposium and reports 
sponsored by the U.S.-Israel Science and Technology Commission 
and others will inventory the state of the S&T relationship and 
identify future possibilities.  As the Ambassador's visit to Bar 
Ilan highlighted, there are specific possibilities that both 
sides can begin to explore now.  As one Symposium speaker noted, 
"Reducing barriers doesn't require new funding." 
 
¶8. (SBU) Beyond bilateral cooperation, Israeli government 
officials and leaders from academia repeatedly stressed the need 
for Israeli researchers to maintain and expand cooperation with 
Palestinian researchers and with counterparts in the broader Arab 
World as well.  They stated that the U.S. has an important "third 
party" role to play in enhancing such interchange, and that U.S. 
support for moderates willing to work with Israeli counterparts 
is more important than ever with a Hamas government in the 
Palestinian Authority.  End comment. 
 
¶9. (U) Dr. Marburger cleared this message. 
 
JONES