ASU's Billion-Dollar Rise: A New Model for University Research

TEMPE, AZ – December 29, 2025 – Arizona State University has officially joined an elite group of American academic institutions, announcing it surpassed $1 billion in annual research expenditures in fiscal year 2024. The milestone, reaching a total of $1.003 billion, places ASU among the top 4% of research universities nationwide and marks the culmination of a deliberate, two-decade transformation into a global innovation powerhouse.

This achievement is not an overnight success but the result of a staggering eightfold increase in research activity since 2002, the year President Michael Crow took the helm. Under his leadership, ASU has championed a vision for a “New American University” measured not by whom it excludes, but by whom it includes and how they succeed. This philosophy has propelled the university to the forefront of national and global rankings, including being named the nation's most innovative university by U.S. News & World Report for 11 consecutive years and earning a prestigious invitation to join the Association of American Universities (AAU) in 2023. The billion-dollar milestone solidifies this reputation, demonstrating a profound capacity to translate scientific discovery into tangible public benefit.

A New Blueprint for Research Growth

ASU’s ascent in the research world has been notably swift. The latest National Science Foundation (NSF) Higher Education Research and Development (HERD) survey ranks ASU 37th overall and 21st among public universities, placing it ahead of established research giants like Michigan State University, Purdue University, and the University of Chicago. Critically, among institutions without a medical school, ASU now ranks No. 5, a position that underscores the breadth and depth of its existing research enterprise.

This standing is poised for further growth with the establishment of the John Shufeldt School of Medicine and Medical Engineering, which is set to welcome its inaugural class in the summer of 2026. The addition is expected to significantly amplify ASU’s health-related research, a field where it is already making substantial contributions. The university’s growth rate has been exceptional, with a 34% increase in research expenditures in the two fiscal years leading up to 2023, one of the largest jumps among the top 50 research universities in the country.

This rapid expansion is a core component of President Crow's model, which emphasizes interdisciplinary collaboration and a focus on solving complex societal problems. According to public statements, Crow emphasizes that this achievement reflects an “unwavering commitment to be a new gold standard of service to the community, our state and our nation.” Sally C. Morton, Executive Vice President of ASU’s Knowledge Enterprise, has noted that the explosive growth reflects the immense confidence that federal agencies, industry partners, and philanthropies have in ASU’s ability to deliver impactful results.

Fueling Arizona's Economy and Global Innovation

The impact of ASU’s research extends far beyond campus laboratories. The university has become a powerful economic engine for Arizona, contributing an estimated $6.1 billion to the state's gross domestic product through its operations and construction in fiscal year 2024. This activity supports nearly 56,000 jobs across the state. The broader economic halo, including the wages of ASU alumni and the activity of university-linked businesses, brings the institution's total economic footprint to an estimated $32 billion.

At the heart of this economic impact is a robust ecosystem for technology transfer and entrepreneurship. Since 2003, over 250 companies have been launched based on innovations developed at ASU, attracting a remarkable $1.4 billion in external funding. Skysong Innovations, the university’s exclusive technology transfer organization, has been instrumental in this success, launching over 160 of those startups. These ventures have collectively drawn nearly $1 billion in investment capital.

This success is also reflected in intellectual property. In 2024, ASU ranked ninth worldwide and sixth among U.S. universities for U.S. utility patents issued, securing 180 patents for its discoveries. These are not abstract achievements; they represent real-world solutions. ASU-born companies include Nanobot Biosciences, which is developing technologies for targeted drug delivery; Endovantage, a platform for surgical simulation to improve patient outcomes; and NeoLight, which creates innovative treatments for infant jaundice. This pipeline from lab to market embodies the university’s mission to apply knowledge for the public good.

Inside the Billion-Dollar Research Portfolio

ASU’s $1.003 billion in expenditures is spread across a remarkably diverse portfolio of research areas, each aimed at addressing critical global challenges. The university has established itself as a leader in human health, microelectronics, global security, sustainability, and space exploration.

Key areas of focus include:

• Microelectronics: ASU is a central player in the national effort to bolster domestic semiconductor manufacturing, aligning with the goals of the CHIPS and Science Act. The university leads the Southwest Advanced Prototyping (SWAP) Hub, a major consortium dedicated to this mission.
• Global Security: Researchers are making strides in dual-use technologies like artificial intelligence and quantum computing. ASU’s Quantum Collaborative is designed to foster top-tier research and industry partnerships in this transformative field.
• Sustainability: Through the Julie Ann Wrigley Global Futures Laboratory, ASU is at the forefront of efforts to ensure planetary health, from carbon removal solutions to water and energy security. It leads a new NSF Futures Engine focused on tackling these issues in the American Southwest.
• Space Exploration: The university is a key partner in NASA missions, contributing to the exploration of Mars, the moon's south pole, and the metal-rich asteroid Psyche.

This ambitious agenda is supported by a wide array of funding partners. For FY2024, ASU ranked 14th nationally in funding from the National Science Foundation and 10th in expenditures from NASA. It also ranked 10th for funding from state and local governments, complementing significant support from the Departments of Defense and Energy, industry collaborators, and private philanthropies. The university's excellence is also recognized at the disciplinary level, where it holds the No. 1 national rank for research in Anthropology and No. 2 ranks in Education, Visual and Performing Arts, and Business.

Charting the Course for Future Discoveries

Having crossed the billion-dollar threshold, ASU shows no signs of slowing down. The university’s strategic vision is one of continued growth, driven by its proven model of transdisciplinary research and societal impact. This includes deepening its leadership role in semiconductors, quantum science, and sustainable development. The launch of the medical school in 2026 represents a major new frontier for health-related discovery.

External validation continues to pour in, from the AAU invitation to being ranked No. 1 in the U.S. for its contributions to the UN’s Sustainable Development Goals by Times Higher Education. Sethuraman Panchanathan, Director of the National Science Foundation, has previously lauded ASU as a premier institution for researchers with world-changing ideas. However, the path forward is not without potential headwinds. Recent reports in 2025 noted the loss of some NSF grants tied to Diversity, Equity, and Inclusion (DEI) initiatives, signaling how shifts in federal funding priorities can impact specific research programs. Despite such challenges, ASU's diversified funding base and relentless focus on innovation position it to navigate the evolving landscape and continue its trajectory as a leading force in American research and development.