ECONOMIC MAGNITUDE OF SOVIET ELECTRONIC RESEARCH AND DEVELOPMENTS 1956-62

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CIA-RDP79R01141A002500150002-5
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S
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55
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December 23, 2016
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June 17, 2013
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2
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November 1, 1962
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REPORT
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1 1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 SECRET, Economic Intelligence Report N? 101 ECONOMIC MAGNITUDE OF SOVIET ELECTRONIC RESEARCH AND DEVELOPMENT 1956-62 CIA/RR ER 62-38 November 1962 CENTRAL INTELLIGENCE AGENCY Office of Research and Reports Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 -----ECRETs GROUP 1 Excluded from automatic downgrading and declassification Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 SECRET Economic Intelligence Report ECONOMIC MAGNITUDE OF SOVIET ELECTRONIC RESEARCH AND DEVELOPMENT 1956-62 CIA/RR ER 62-38 WARNING This material contains information affecting the National Defense of the United States within the meaning of the espionage laws, Title 18, USC, Secs. 793 and 794, the trans- mission or revelation of which in any manner to an unauthorized person is prohibited by law. CENTRAL INTELLIGENCE AGENCY Office of Research and Reports SECRET Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T FOREWORD Presented in this report is an estimate of the economic magnitude of electronic research and development in the USSR. The estimate is pro- vided primarily in order to supply a quantitative frame of reference for the assessment of the substantive content of Soviet electronic research and development. In addition, the estimate may be useful in measuring the priority of this activity in terms of input requirements for man- power and materials. Also in this report is compared the economic effort expended in the USSR on electronic research and development with that in the US during 1956-62. Although estimates of the expenditures on Soviet electronic research and development were derived for each individual year during the period covered in this report, the estimates for the base year (1957) and for the entire period (1956-62) merit greater confidence than the estimates for the other individual years. S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T CONTENTS Summary I. Definitions of Terms A. General Page 1 3 3 1. Electronics 3 2. Electronic Research and Development (R and D) ? ? 3 3. Substantive Categories of Electronic R and D . ? ? 3 a. R and D in Basic Electronics 3 b. R and D in Electronic Techniques 3 c. R and D in Electronic Parts and Components . . 4 d. R and D in Electronic Functional Elements ? ? e. R and D in Electronic End Equipment and Sys- 4 tems 4 B. Economic Terms 5 1. Labor Force Engaged in Electronic R and D ? ? ? ? 5 2. Expenditures on Electronic R and D 5 3. Facilities Used in Electronic R and D 5 4. Military Electronic R and D 6 II. Size of the Labor Force and Expenditures 6 III. Categories of Electronic Research and Development ? ? ? ? 8 A. Allocation of Expenditures 8 B. Allocation of the Labor Force 9 C. Expenditures on Facilities for Electronic Research and Development 10 IV. Comparison of the Economic Magnitude of Soviet and US Electronic Research and Development 10 A. Expenditures 10 B. Labor Force 13 V. Conclusions and Prospects 15 - v - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Appendix A. Appendix B. Appendix C. S-E-C-R-E-T Appendixes Methodology Facilities Engaged in Electronic Research and Development in the USSR Allocation of Substantive Activities in Elec- tronic Research and Development in the USSR Page 19 29 39 Tables 1. Allocation of Employees Engaged in Soviet Electronic Re- search and Development, 1961 2. Comparison of Soviet and US Expenditures for Electronic Research and Development, 1956-62 3. Comparison of Soviet and US Labor Forces Engaged in Electronic Research and Development, 1956-62 4. Estimated Wage Bill for Scientists, Engineers, and Tech- nicians in Soviet Electronic Research and Development, 1957 5. Estimated Total Expenditures for Soviet Electronic Re- search and Development, 1957 6. Estimated Total Value of Facilities Engaged in Soviet Electronic Research and Development, 1957 Estimated Average Annual Rate of Growth of the Labor Force Employed in Soviet Electronic Research and Development, 1956-62 S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 22 23 25 26 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Charts Figure 1. Estimated Labor Force Employed in Soviet Electronic Research and Development, 1956-62 Figure 2. Estimated Soviet Expenditures on Elec- tronic Research and Development, 1956-62 Figure 3. Estimated Allocation of Soviet Expendi- tures on Electronic Research and De- velopment, 1956-62 Figure 4. Estimated Allocation of Soviet Expendi- tures on Military Electronic Research and Development, 1956-62 Figure 5. Comparison of Estimated Expenditures by the USSR and the US on Electronic Re- search and Development, 1956-62 . . S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Following Page 6 6 8 8 10 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T ECONOMIC MAGNITUDE OF SOVIET ETRCTRONIC RESEARCH AND DEVELOPMENT* 1956-62 Summary Soviet expenditures for electronic research and development (R and D) are nearly as large as those in the US, and they are increasing as rap- idly. A comparison of the two programs in 1961 may be summarized as follows: Total expenditures for electronic R and D Expenditures for military electronic R and D Total employment in elec- tronic R and D Scientists and engineers employed in electronic R and D USSR US $2.2 billion** $2.8 billion $1.6 billion $2.0 billion 218,000 persons 124,000 persons 80,000 persons 83,000 persons Estimated expenditures on Soviet electronic R and D have increased at an average annual rate of 15 percent since 1956. During the same period, about 52,000 scientists and engineers and about 90,000 technicians were * The estimates and conclusions in this report represent the best judg- ment of this Office as of 1 November 1962. ** For Soviet R and D, ruble values (old rubles) and dollar values are in 1955 prices. For US R and D, dollar values are in current prices. Because ruble prices for electronic R and D have not been affected by inflation, there is no problem of divergence between the two series for individual years. A deflator for US R and D prices is not available, because the product mix is continually changing and is quite complex. The ruble-dollar ratios used in this report are as follows: for electronic R and D, 4.9 to 1; for equipment, 10 to 1; and for building construction, 6 to 1. These ratios all are based on studies for the respective categories. S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T added to the Soviet labor force engaged in electronic R and D -- an aver- age annual increment of about 8,700 scientists and engineers and about 15,000 technicians. Since 1956, Soviet expenditures for military electronic R and D have been about 72 percent of the total expenditures for electronic R and D. In the US, comparable expenditures exceed 80 percent of the total. It is estimated that, in 1961, 54,200 scientists and engineers, or about 70 percent of the total engaged in Soviet electronic R and D, were al- located to military electronic R and D. The estimated allocation of expenditures on Soviet electronic R and D to the various categories of electronic R and D are as follows for the period since 1956: basic electronics, 18 percent; techniques, 5 percent; components, 14 percent; functional elements, 4 percent; and electronic end equipment and systems, 59 percent. The share of electronic R and D allocated to basic electronics (which involves phenomena basic to all electronic R and D) appears to be smaller in the USSR than in the US, where the percentage probably is about 25 percent. This ratio of allo- cations could be important in determining the relative rates of growth of electronic technology in the two countries in the future. The spe- cific activities receiving the most attention in Soviet electronic R and D include electromagnetic wave propagation, automation, semicon- ductors, Measuring instruments, radar, guided missile electronics, and computers. The estimated Soviet outlay for facilities used in electronic R and D since 1956 is $331 million, and approximately 61 percent of this amount was allocated to military electronic R and D. The total undepreciated value of the facilities used in Soviet electronic R and D in 1961 was about $720 million. - 2 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T I. Definitions of Terms A. General 1. Electronics Electronics is the science and technology that deals pri- marily with devices that collect, process, and transmit information in the form of electrical (and electromagnetic) signals and either control machines or present the processed information to human beings for their direct use. 2. Electronic Research and Development (R and D) Electronic research is an activity of exploration and dis- covery leading to new information; its end product is usually a published report or monograph. Electronic development differs in that its end prod- uct is a material device or product. In the US, expenditures for tests and evaluations are usually distinguished from those for R and D. In this report, however, expenditures for testing and evaluating a product under development are included in the estimated expenditures for R and D and, although not specifically identified, are included with expenditures for labor and materials (primarily those allocated to electronic systems and end equipment). 3. Substantive Categories of Electronic R and D a. R and D in Basic Electronics R and D in basic electronics is that electronic R and D which yields information of broad utility -- that is, information that is applicable to many specific projects rather than that required to solve a problem peculiar to one project. Subject areas comprehended by R and D in basic electronics include electron emission, electron optics, electromagnetic propagation, information theory, network theory, solid state theory, interaction of radiation and material, gases and plasmas, physical effects (electrical), properties of materials, environmental effects, system theory, human factors, signal detection, reliability theory, electronic measurements, and magnetohydrodynamics. b. R and D in Electronic Techniques R and D in electronic techniques includes elements of electronic R and D such as mechanical design, printed circuitry, minia- turization and subminiaturization, molecular electronics, bionics, con- struction, automation, heat-transfer design, maintenance and repair - 3 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T methods, assembly, inspection techniques, reliability, and tropicalization. In general, R and D in electronic techniques is concerned with the methods of producing electronic devices and the method of utilizing electronic devices or subsystems in nonelectronic systems. c. R and D in Electronic Parts and Components R and D in electronic parts and components is the area of electronic R and D which develops and improves the various elements that are combined to construct electronic devices. Electronic parts and com- ponents are made up of electronic tubes, semiconductors, electromechanical devices, magnetic devices, piezoelectric devices, capacitors, inductors, resistors, waveguides and transmission cables, switches, connectors, fre- quency-control devices, electronic materials,* miscellaneous hardware, batteries, thermoelectric devices, delay lines, and the like. d. R and D in Electronic Functional Elements R and D in electronic functional elements is concerned with electronic units that perform specific electronic functions such as acquisition of an electronic signal, modification of an electronic signal, generation of a carrier for an electronic signal, and the conversion of an electronic signal into a nonelectronic form for display, recording, or control actuation. Specific electronic functions included in this cate- gory are amplification, transmission, generation, modulation, demodula- tion, power supply, waveform control, signal attenuation, logical opera- tions, coding and decoding, recording, signal display, signal analysis, transduction, counting, calibration, filtering, function generation, radiation of electromagnetic waves, frequency control, voltage and cur- rent regulation, and signal delay. e. R and D in Electronic End Equipment and Systems R and D in electronic end equipment and systems is the end product of electronic R and D. In this area the results of work in the other four categories of electronic R and D are combined to pro- duce electronic end equipment such as radar sets, computers, direction finders, display units, and communications units. The electronic end equipment in turn is combined into electronic systems or incorporated into nonelectronic systems. R and D in electronic systems examines, develops, and improves the interaction or interdependence among the elements that make up the system. Electronic systems include systems * The term electronic materials includes special forms of certain mate- rials that are used to fabricate electronic components, although such materials do not themselves perform electronic functions. Examples are ceramics, tantalum, barium titanite, tungsten, gallium arsenide, cobalt, and phosphors. - 4 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T for communications, detection and location, countermeasures, data proc- essing, simulation, testing instrumentation, guidance, research instru- mentation, medical diagnosis, fire control, and general control. B. Economic Terms 1. Labor Force Engaged in Electronic R and D The labor force engaged in electronic R and D consists of scientists, engineers, technicians, and management personnel who are con- cerned with research on electronic phenomena and the development of elec- tronic equipment and should be interpreted in this report to mean direct labor force. Not included in this definition are persons in the indirect labor force, who are engaged in such duties as accounting, maintenance, custodial work, filing, and general logistic support. Only the size of the direct labor force itself is estimated in this report in terms of the number of workers, although a cost allocation is made for indirect labor. Scientists, engineers, and technicians are included in the labor force on the basis of the position occupied and not on the basis of formal schooling or the academic degree attained. Several scientific and engineering disciplines are represented in the labor force, includ- ing mathematics, physics, chemistry, metallurgy, and electronic and me- chanical engineering. Technicians are primarily machinists, mechanics, draftsmen, and persons engaged in electronic assembly and testing. 2. Expenditures on Electronic R and D Expenditures on electronic R and D denote the economic value attached to the various physical inputs to the activities that comprise electronic R and D. These expenditures are expressed in this report in either rubles or US dollars.* Expenditures on electronic R and D have two components -- direct labor and overhead. Overhead expenditures are expressed as a percentage of expenditures for direct labor and consist of expenditures for depreciation of equipment) depreciation of build- ings, indirect labor, and materials. Overhead expenditures, therefore, include all costs of performing electronic R and D other than the cost of the direct labor force. 3. Facilities Used in Electronic R and D The facilities used in electronic R and D consist of the buildings and equipment of the research institutes, educational institu- tions, plant laboratories, and design bureaus that are performing elec- tronic R and D in the USSR. In this report the term building applies * See the second footnote on p. 1, above. -5- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T strictly to the edifice itself and the term equipment to all other physi- cal components, ranging from central heating and airconditioning to volt- meters, oscilloscopes, and lathes. The term facilities does not include the electronic prototypes and associated facilities at field installations such as Mytishchi or Sary Shagan. Expenditures on these prototypes are included as expenditures on labor and material. 4. Military Electronic R and D Military electronic R and D is that part of the total elec- tronic R and D effort which is performed for the primary benefit of the military establishment. (Nonmilitary electronic R and D consists almost entirely of industrial electronics, including civil communications equip- ment, rather than consumer electronics such as radio and television broad- cast receivers. In this report, therefore, the term industrial elec- tronics will be used interchangeably with nonmilitary electronics.) II. Size of the Labor Force and Expenditures The estimated labor force employed in Soviet electronic R and D during 1956-62 is shown in the following tabulation (see the chart, Figure 1*): Thousand Persons Scientists and 1956 1957 1958 1959 1960 1961 1962 engineers 39.5 45.5 52.3 60.1 69.2 79.5 91.4 Technicians 68.9 79.2 91.1 104.7 120.4 138.5 159.3 Total** 108.4 124.6 143.4 164.8 189.6 218.0 250.7 During this period, about 52,000 scientists and engineers and about 90,000 technicians were added to the labor force, or an average annual increment of about 8,700 scientists and engineers and about 15,000 tech- nicians. Approximately 70 percent of the scientists and engineers are esti- mated to have been employed primarily in military electronic R and D during the period. A slightly higher proportion of the technicians, about 72 percent, is estimated to be primarily engaged in military elec- tronic R and D. * Following\p. 6. ** Because of rounding, components may not add to the totals shown. - 6 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy CIA-RDP79R01141A002500150002-5 ESTIMATED LABOR ELECTRONIC RESEARCH Approved for Release 2013/06/17: 1956-62 Figure 250.7 1 50X1 FORCE EMPLOYED IN SOVIET AND DEVELOPMENT, THOUSAND EMPLOYEES 218.0 Scientists and Engineers 189.6 Technicians 164.8 91.4 143.4 79.5 124.6 69.2 108.4 60.1 52.3 45.5 39.5 68.9 79.2 91.1 104.7 120.4 138.5 159.3 1956 1957 1958 1959 1960 1961 1962 Components may not add to totals because of rounding. 5.3 ESTIMATED SOVIET EXPENDITURES ON ELECTRONIC RESEARCH AND DEVELOPMENT, 1956-62 BILLION /955 RUBLES 1-7 Total Military 3.8 6.1 4.4 7.0 5.0 8.1 5.8 9.3 6.7 10.7 7.7 2.3 Figure 2 8.9 1956 1957 1958 1959 1960 1961 1962 36659 10-62 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 GROUP I EXCLUDED FROM AUTOMATIC DOWNGRADING AND DECLASSIFICATION 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Soviet expenditures on electronic R and D for the period 1956-62 are estimated to have been as follows (see the chart, Figure 2*): Billion 1955 Rubles 1956 1957 1958 1959 1960 1961 1962 Expenditures 5.3 6.1 7.0 8.1 9.3 10.7 12.3 The USSR, therefore, is estimated to have allocated 2.3 times as much economic effort to electronic R and D in 1962 as in 1956. The esti- mated average annual rate of growth of Soviet expenditures on elec- tronic R and D was 15 percent during 1957-62. It should be noted that because of the methodology employed** all statements concerning the rate of growth of Soviet expenditures on electronic R and D also are applicable to the rate of growth of the labor force employed in Soviet electronic R and D. Soviet expenditures on military electronic R and D are estimated to have comprised about 72 percent of expenditures on Soviet electronic R and D in each year of the estimate period. On this basis, estimated expenditures on Soviet military electronic R and D are as follows: Billion 1255 Rubles 1956 1957 1958 1959 1960 1961 1962 Expenditures 3.8 4.4 5.0 5.8 6.7 7.7 8.9 The total Soviet expenditures on electronic R and D and the Soviet expenditures on military electronic R and D are shown in US dollars*** in the following tabulation: Billion 1955 us $ 1956 1957 1958 1960 1961 1962 Total 1.1 1.2 1.4 ,1959 1.6 1.9 2.2 2.5 Military 0.8 0.9 1.0 1.2 1.4 1.6 1.8 Following p. 6. See Appendix A, 3, For the derivation Appendix A, pp. 19 a, p. 24, below. of the ruble-dollar ratio for electronic R and D, through 28, below. - 7 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Annual Soviet expenditures per scientist and engineer engaged in electronic R and D during 1956-62 are estimated to have been 134,000 rubles, or $27,400. Annual Soviet expenditures per employee in the labor force engaged in electronic R and D are estimated to have been 49,000 rubles, or $10,000 during the same period. III. Categories* of Electronic Research and Development A. Allocation of ExpenditureS Soviet expenditures on electronic R and D are estimated to have been allocated during the period 1956-62 to the various cate- gories of electronic R and D in the following proportions (see the chart, Figure 3**): Value in 1961 Categories Percent Billion Billion of Electronic R and D of Ruble Values 1955 Rubles 1955 US Dollars Basic electronics 18 1.9 0.4 Techniques 5 0.5 0.1 Components 14 1.5 0.3 Functional elements 4 0.4 0.1 Electronic end equip- ment and systems 59 6.4 1.3 Total 100 10.7 2.2' The military portion of Soviet expenditures during the same period on electronic R and D was allocated as follows (see the chart, Figure 4**): Value in 1961 Categories of Military Percent Billion Billion Electronic R and D of Ruble Values 1955 Rubles 1955 us Dollars Basic electronics lo 0.8 0.2 Techniques 3 0.2 Negl. Components 13 1.0 0.2. Functional elements 4 0.3 0.1 Electronic end equip- ment and systems 70 5.4 1.1 Total 100 1.1 1.6 * See I, A, 3, p. 3, above. ** Following p. 8. - 8 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 ESTIMATED ALLOCATION OF SOVIET EXPENDITURES ON ELECTRONIC RESEARCH AND DEVELOPMENT, 1956-62 Functional Elements ESTIMATED ALLOCATION OF SOVIET EXPENDITURES ON MILITARY ELECTRONIC RESEARCH AND DEVELOPMENT, 1956-62 36660 10-62 Techniques Functional Elements Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Figure 3 Figure 4 GROUP 1 EXCLUDED FNOM AUTOMATIC DOWNGRADING MO DECLASSIFICATION 50X1 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T The observed differences in allocation between the total and the military portion of Soviet expenditures on electronic R and D are ex- plained by the proportion of the total expenditures in each category of electronic R and D devoted to military electronic R and D. The propor- tions devoted to military electronic R and D are basic electronics, 42 percent; techniques, 40 percent; components, 67 percent; functional elec- ments, 75 percent; and electronic end equipment and systems, 84 percent. The proportion of the total expenditures devoted to military electronics is 72 percent. B. Allocation of the Labor Force In 1961, employees engaged in electronic R and D are estimated to have been allocated to the various categories of electronic R and D as shown in Table 1. Table 1 Allocation of Employees Engaged in Soviet Electronic Research and Development 1961 Thousand Persons Categories of Electronic R and D Scientists and Engineers Technicians Total Total Military Total Military Total Military Basic electronics 20.7 8.1 20.8 8.1 41.5 16.2 Techniques 4.0 1.1 7.9 2.1 11.9 3.2 Components 10.8 7.3 21.6 14.6 32.4 21.9 Functional elements 3.4 2.3 6.8 4.5 10.2 6.8 Electronic end equip- ment and systems 40.6 35.4 81.4 70.9 122.0 106.3 Total 1212 54.2 138.5 100.2 218.0 154.4 It is apparent that both military and industrial electronic R and D are oriented strongly toward electronic end equipment and sys- tems. Basic electronic R and D is in second place in the total alloca- tion of personnel, and only third in the ranking of military electronic R and D. Components, of course, receive a great deal of attention. The apparently small allocations of manpower to techniques and functional elements may be due to some extent to the lack of detail in the available information. R and D in these two categories could well be hidden in the categories of components and electronic end equipment and systems. - 9 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T C. Expenditures on Facilities for Electronic Research and Development The estimated Soviet outlays for facilities during 1956-62 totaled 2.7 billion rubles, or $331 million.* The annual expenditures were esti- mated as follows: 1956 1957 1958 1959 1960 1961 1962 Total Billion 1955 Rubles 0.3 0.3 O. 4 0.4 0.4 0.4 0.5 2.7 Million 1955 Dollars 37 37 49 49 49 49 61 331 The estimated average annual rate of growth is about 8 to 9 percent, with the result that expenditures in 1962 for facilities will be about two-thirds higher than those in 1956. During the period of the estimate the value of the inventory of facilities, neglecting depreciation allowances, grew from 3.8 billion rubles to 6.5 billion rubles, or about 70 percent. The undepreciated value of the inventory of facilities in 1961 was about $720 million. About 60 percent of the value of the inventory of facilities was allo- cated to Soviet military electronic R and D during 1956-62. Forty-five percent of the value of the inventory of facilities was estimated to be in buildings and 55 percent in equipment. IV. Comparison of the Economic Magnitude of Soviet and US Electronic Research and Development A. Expenditures A direct comparison of expenditures by the USSR and the US on the total electronic R and D and on military electronic R and D for 1956-62 is shown in Table 2** (see the chart, Figure 5xxx). This com- parison shows that Soviet expenditures on both total and military elec- tronic R and D were significantly less than those of the US during the same time period, even with the recognition that current US dollars are worth less than 1955 us dollars. Nevertheless, Soviet expenditures are relatively large, and if the apparent trend continues, Soviet expendi- tures will become an increasing proportion of US expenditures, although at a modest rate. ** *** See the second footnote on p. 1, above. Table 2 follows on p. 11. Following p. 10. - 10 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 1.4 COMPARISON OF ESTIMATED EXPENDITURES BY THE USSR AND THE US ON ELECTRONIC RESEARCH AND DEVELOPMENT, 1956-62 .0 e US?Billion Current US Dollars ni USSR?Billion 1955 US Dollars 0.8 1.6 0.9 1.9 1.5 .4 .0 2.2 1.2 2.5 2.0 1.9 .4 2.8 2.3 2.2 .6 3.1 Figure 5 2.5 2.5 .8 1956 1957 1958 1959 1960 1961 36662 10-62 1962 GROUP 1 EXCLUDED FROM AUTOMATIC OOTINGRADING AND DECLASSIFICATION Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Table 2 Comparison of Soviet and US Expenditures for Electronic Research and Development 1956-62 Year Total Expenditures Military Expenditures USSR (Billion 1955 US $) (Billion Current $) USSR as a Percent of US USSR (Billion 1955 US $) (Billion Current $) USSR as a Percent of US 1956 1.1 1.4 79 0.8 1.1 73 1957 1.2 1.6 75 0.9 1.3 69 1958 1.4 1.9 74 1.0 1.5 67 1959 1.6 2.2 73 1.2 1.8 67 1960 1.9 2.5 76 1.4 2.0 70 1961 2.2 2.8 79 1.6 2.3 70 1962 2.5 3.1 81 1.8 2.5 72 Total 1956-62 11.9 15.5 77 8.7 12.5 70 -11- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T In 1960 and 1961, US expenditures on electronic R and D were about 20 percent of the total US expenditures on all types of R and D. 1/* A similar figure for the USSR was 28 percent, based on published figures for scientific research. 2/ It is believed, however, that the comparative figures used for the total expenditures on Soviet R and D of all types, called "appropriations for science," exclude the cost of much military and some industrial R and D. For this reason the share of the total Soviet R and D allocated to electronic R and D may well be considerably less than 28 percent. This assumption seems to be borne out by other comparisons. The number of scientists and engineers estimated to have been employed in Soviet electronic R and D in 1960 is only about 13 percent of the total number of Soviet "specialists with higher education" employed in "scien- tific and scientific-research establishments" and "in technical planning, designing, and geological prospecting organizations" on 1 December 1960. 2/ This comparison, however, probably understates the percentage of all sci- entists and engineers in Soviet R and D who are engaged in electronic R and D, for the figure used to represent all scientists and engineers in Soviet R and D apparently includes many "specialists with higher educa- tion" who are not employed in R and D activities. Another comparison indicates that the scientists and engineers estimated to have been employed in Soviet electronic R and D in 1960 were about 20 percent of the number of scientific personnel in the USSR on 1 October 1960. ).?/ The Soviet definition of scientific personnel is as follows: Scientific personnel include: academicians, active and corresponding members of all acade- mies; all persons with a degree of doctor of science, master of science or with the rank of professor, docent, associate professor, senior scientist and junior scientist, regardless of the place and nature of their work, as well as persons engaged in scientific-research work in scientific institutions and scientific- kedagogical work in higher institutions of learning regardless of whether they have aca- demic degrees or title.** 2/ The Soviet definition of scientific personnel, therefore, appa- rently includes not only the scientists and engineers engaged in Soviet ** The underlining is by the author of this report. - 12 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T R and D but others who spend full time in other activities. Therefore, the above mentioned 20 percent of Soviet scientific personnel identified as scientists and engineers in Soviet electronic R and D may be under- stated also. This apparent understatement, however, may be more than compensated for by the number of Soviet scientists and engineers who are employed in R and D at facilities that are not included in the Soviet term "scientific institutions," such as plant laboratories and design bureaus. On balance the figure of 20 percent seems to be a reasonable estimate of the proportion of the total Soviet scientific and engineer- ing personnel in R and D who are engaged in electronic R and D. The percentage of electronic R and D allocated to basic elec- tronics appears to be less in the USSR, about 18 percent, than in the US, where the proportion probably is about 25 percent. g Absolute ex- penditures for basic electronics in 1961, consequently, are estimated to have been $700 million in the US and about Wo million in the USSR. During 1956-62 the total Soviet expenditures on electronic R and D were equal to about 28 percent of the total value of the output of the Soviet electronics industry, 2/ and the expenditures were grow- ing at about the same rate as the value of the output. In the US the total expenditures on electronic R and D were about 24 percent of the total value of the output of electronics, and expenditures on electronic R and D were growing faster than the value of the output of electronics. g The US electronics industry, however, was growing at a significantly lower rate than that of the USSR during the period of the estimate. B. Labor Force A direct comparison of the Soviet and US labor forces employed in electronic R and D during 1956-62, as shown in Table 3,* indicates that the number of scientists and engineers engaged in electronic R and D is about equal in the two countries during the period of the estimate but that the USSR uses many more -- more than three times as many -- techni- cians in electronic R and D than does the US. The US added 53,000 scien- tists and engineers but only 26,000 technicians during 1957-62, whereas the USSR added 52,000 scientists and engineers and 90,000 technicians. The rather startling difference between the comparison of ex- penditures and the comparison of labor forces can be accounted for by the vastly different relative prices of the inputs to electronic R and D in the two countries and the methodological assumption that the relation- ship of expenditures on labor and other inputs was the same in the two countries.** Thus the ruble estimate derived by this methodology, when converted to US dollars by estimated ruble-dollar ratios, results in Table 3 follows on p. 14. ** See Appendix A, 3, a, p. 24, below. -13- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Table 3 Comparison of Soviet and US Labor Forces Engaged in Electronic Research and Development 1956-62 Scientists and Engineers Technicians Total Labor Force Year Thousand Persons USSR as a Percent of US Thousand Persons USSR as a Percent of US Thousand. Persons 2/ USSR as a Percent of US USSR US USSR US USSR US 1956 39.5 40.0 99 68.9 20.0 344 108.4 60.0 181 1957 45.5 46.9 97 79.2 23.5 337 124.6 70.4 177 1958 52.3 56.6 92 91.1 28.3 332 143.4 84.9 169 1959 60.1 65.8 91 104.7 32.9 318 164.8 98.7 167 1960 69.2 73.8 94 120.4 36.9 326 189.6 110.7 171 1961 79.5 82.8 96 138.5 41.4 335 218.0 124.2 176 1962 91.4 92.9 98 159.3 46.5 343 250.7 139.4 180 a. Because of rounding, components may not add to the totals shown. -14 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T fewer dollars than would have been the case if the Soviet labor input had been valued directly in dollars and the US overhead factors had been ap- plied directly to the estimated Soviet labor cost to obtain the total dollar expenditures by the USSR on electronic R and D. In effect, the choice of the former methodology means that the USSR is estimated to as- sociate fewer physical overhead inputs with its scientists, engineers, and technicians than does the US. Although there is no direct evidence that bears on this relation- ship between labor force and other inputs to electronic R and D in the USSR, it is evident that the wage bill of the relatively large number of technicians used in Soviet electronic R and D is partly substituted for costs that are normally included in costs of material inputs in the US. For example, Soviet technicians might be required to construct a partic- ular test apparatus in the laboratory from component parts, whereas the counterpart US program probably would purchase the test apparatus from a supplier of scientific equipment. Althouel the total costs might be comparable, the allocation of costs to labor and materials would be greatly different. In this example the wage bill of the Soviet techni- cians who constructed the apparatus would be allocated, of course, to the labor cost of electronic R and D. The labor cost of the US person- nel who constructed the counterpart apparatus, on the other hand, would be allocated to the material cost of electronic R and D because the ap- paratus was constructed by personnel not allocated to electronic R and D. V. Conclusions and Prospects The major conclusions of this report are that Soviet expenditures on electronic R and D are relatively large, apparently support a comprehen- sive program, and are growing at least as rapidly as those in the US. These conclusions are stated in relation to US expenditures on electronic R and D, which are used as the standard of measure. But Soviet elec- tronic R and D also is estimated to be large and growing rapidly in rela- tion to the Soviet electronic industry in terms of magnitude of expendi- tures, number of highly trained personnel, and investment in plant and equipment required. In addition, expenditures on Soviet electronic R and D represent a significant share of the total expenditures on all R and D performed in the USSR. Other things being equal, therefore, relatively rapid progress in electronic technology probably will be forthcoming in the USSR to the extent that substantial economic support contributes to such progress. Experience in the US has shown, however, that substantial economic sup- port in itself does not guarantee rapid technical progress. 211/ The primary reason for this apparent discrepancy, apart from the competence of personnel, is the tremendous amount of unintentional duplication in electronic R and D. Although objective measurement is not possible, the -15- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T magnitude of such duplication of electronic R and D in the US is esti- mated to be between 30 and 85 percent of all electronic R and D per- formed. Another reason for a slowing of technological innovation in the face of impressive investment in R and D is the failure of indus- try and science to be aware of and use the latest technology. These factors may or may not be present in the Soviet electronic R and D effort, but because they appear to be basic problems, they are likely to be present to a great degree. The USSR has recently reorganized its R and D effort to achieve a greater cooperation between the creators of technology and the users of technology, but there is no evidence con- cerning the amount of unintentional duplication of electronic R and D. One might speculate that such duplication might be less in the USSR than it is in the US because of the Soviet emphasis on central planning, in particular the planning of scientific research by the State Committee for Coordination of Scientific Research. Bureaucracy can be a formidable hurdle in any country, however, and many times it is almost as quick, al- though usually more expensive in the short run, to undertake a particular research task as it is to locate the results of a previous effort that is similar or identical to the one contemplated. As examination of the problems in the advancement of electronic tech- nology through R and D in the US indicates that the basic factor leading to duplication and nonadoption of new technology is simply the lack of communication among those creating and using electronic technology. Al- though it is beyond the scope of this report to investigate this problem, it is noted that creating and maintaining an effective means of communi- cation in a large organization is a very complex and difficult undertaking. To the extent that the USSR is able to overcome the communication problem in electronic R and D, the rate of growth of technical achievement in this field has a greater probability of approaching the rate of growth of eco- nomic inputs. The fact that the USSR is spending significantly less on basic elec- tronics than the US could be important in determining the relative future rates of growth of electronic technology in the two countries. It should be pointed out that basic electronics includes research on the methods of measuring the physical parameters significant to electronics, such as fre- quency, phase and amplitude of electronic signals, electrical and magnetic properties of materials at radio frequencies, capacitance, inductance, resistance, impedance, and others. It is fundamental to the satisfactory performance of all types of electronic R and D to have the capability of performing these measurements satisfactorily. The US spends more, absolutely and relatively, on military electronic R and D than does the USSR, although the Soviet expenditures on military electronic R and D may be increasing more rapidly. This lead in expendi- tures probably means, subject to the reservations discussed above, that -16- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T the US will maintain its lead in military electronic technology in most areas for the indefinite future. The allocation of Soviet expenditures on electronic 'R and D to the military sector, however, may have been understated because of Soviet secrecy on military information. Actually the numbers of scientists and engineers allocated to military electronic R and D in the USSR and the US appear to be fairly similar. The pattern of allocation of Soviet electronic R and D to substantive activities within categories of electronic R and D is difficult to evalu- ate without more detailed information, but there appears to be no signifi- cant deviation from the pattern followed in the US. Perhaps the USSR is concentrating a bit more on electromagnetic propagation, acoustics as applied to underwater detection, warning, and tracking systems, radar, and computers than is the US. The US, on the other hand, probably is emphasizing communications, command and control systems, miniaturization and molecular electronics, laser research, and reliability more than is the USSR. Automation, semiconductors, magnetic materials, and guided missile and space electronics are strongly emphasized in both countries. These judgments are tentative in that magnitude cannot be precisely measured and emphasis changes over time more rapidly than indications of Change become apparent in both the US and the USSR. -17- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T APPENDIX A MElHODOLOGY 1. Outline of Procedure A study of facilities engaged in Soviet electronic R and D was made to establish a base-year estimate for the physical dimensions of build- ings, for the size of the labor force, and for the allocation of the labor force to various categories of electronic R and D activities as indicated by the substantive content of the activities. Soviet wage rates and US analog factors were applied to the estimated labor force to obtain estimates of the total expenditures on electronic R and D and the allocation of these expenditures in the base year. The estimated value of facilities in the base year was derived by applying Soviet construc- tion costs and US analog factors concerning relationships between build- ing costs and equipment costs to the estimate of the physical dimensions of buildings at Soviet electronic R and D facilities. A distinction be- tween military and industrial electronic R and D activity was made on the basis of information analyzed during the study of facilities. The base-year estimates of the size of the labor force and of the value of electronic R and D were extrapolated backward and forward over the period of the estimate to form time series based on a rate of growth derived from a sample of electronic R and D facilities that afforded estimates of the rates of growth of their respective labor forces. The allocation of the labor force and the value of R and D to the various categories of electronic R and D activities and the division between mil- itary and industrial electronic R and D estimated for the base year were assumed to remain constant in every year during the period of the estimate. The value of electronic R and D facilities estimated for the base year was extrapolated backward and forward over the period of the estimate at a rate of growth based on information concerning planned Soviet invest- ment in electronic R and D during 1959-65. 2. Soviet Electronic Research and Development in 1957 a. Analysis of Facilities Analysis* was made of 124 facilities used by the USSR to conduct electronic R and D, including scientific research institutes, educational * For a summary of the results of the analysis see Appendix B. - 19 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T institutions, design bureaus, and laboratories in manufacturing plants. Identification of these facilities was made on the basis of the sub- stantive content of the activities carried on at the facilities.* Estimates of the size of the labor force and of the physical dimensions of the buildings in a base year were available for the number of facilities shown in the following tabulation, and an allocation of labor force to categories of electronic R and D by substantive content of the activities was made for each facility, as follows: Number of Facilities Classification of Facility Total Estimates Available Labor Force Dimensions of Buildings Numbered institutes 28 15 9 Institutes of the Academies of Science 24 11 2 Other research insti- tutes 24 15 6 Educational institutions 30 16 3 Design bureaus and plant laboratories 18 14 3 Total 124 11 23 The estimates of the physical dimensions of buildings were translated into ruble costs of the buildings using Soviet cost factors.** Within each class of facility a factor expressing the ruble cost of building per employee was computed and used to complete estimates for those facilities that lacked only one of the two types of estimates -- building cost and size of labor force. From this expanded set of esti- mates, the arithmetic means of the labor force and the cost of buildings were computed for each class of facility and used to estimate the size of the labor force and the cost of buildings for those facilities that lacked independent estimates of both labor force and cost of buildings. * For a listing of the activities that form the substantive content of electronic R and D, see Appendix C. 50X1 - 20- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T After this procedure, each of the 124 facilities examined had an estimated labor force, an estimated cost of buildings, and an allocation of labor force to the categories of electronic R and D in a base year. By totaling these figures, estimates of the aggregate labor force, the aggregate cost of buildings, and the allocation of the aggregate labor force to categories of,electronic R and D were obtained for a base year. The base year associated with these aggregate estimates was ob- tained by taking the arithmetic mean of the base years of all facilities weighted by the estimated labor force of each facility. The weighted average year was computed to be 1957. In this base year the total labor force employed in Soviet electronic R and D was estimated to be 124,600 employees and the total value of buildings 2 billion rubles. The esti- mated allocation of the labor force to categories of electronic R and D is summarized in Table 4.* The estimates thus obtained were divided into military and in- dustrial electronic R and D by allocating each facility entirely to one or the other on the basis of subordination, substantive content of ac- tivity, and/or relationships with other facilities known to be devoted to military or industrial activities. A facility was presumed to be industrial until evidence indicated it to be primarily military. On this basis, 71 facilities were estimated to be devoted to military elec- tronic R and D. The estimated labor force and the allocation of the labor force to categories of electronic R and D in 1957 are also shown in Table 4. b. Value of Soviet Electronic Research and Development in 1957 The estimated wage bill for Soviet electronic R and D in 1957 also is shown in Table 4. The procedure illustrated in this table is simply to separate the total estimated labor force into scientists and engineers and technicians by the appropriate Soviet factors; to apply Soviet wage rates to the resulting subtotals; and to add the ruble prod- ucts to obtain the total wage bill for Soviet electronic R and D and the wage bill for military electronic R and D in 1957. As shown in Table 5,** the value of Soviet electronic R and D in 1957 was derived from the above wage bill by applying the overhead fac- tors that obtain in electronic R and D in the US. Again the military por- tion of the total Soviet electronic R and D was calculated separately.*** ** *** Table 4 follows on p. 22. Table 5 follows on p. 23. Text continued on p. 24. - 21 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Table 4 Estimated Wage Bill for Scientists, Engineers, and Technicians in Soviet Electronic Research and Development 1957 Category of Electronic Research and Development Labor Force 2/ (Thousand Persons) Total Wage Bill 2/ (Million 1955 Rubles) Ratio of Scientists or Engineers to Technicians )2/ Scientists and Engineers Technicians Thousand Persons Annual Wage Rate 2/ (Thousand 1955 Rubles) Wage Bill (Million 1955 Rubles) Thousand Persons Annual Wage Rate 2/ (Thousand 1955 Rubles) Wage Bill (Million 1955 Rubles) Basic electronics 23.7 545.6 1 to 1 11.9 30 355.8 11.9 16 189.8 Of which: Military 9.3 214.0 1 to 1 4.7 30 139.6 4.7 16 74.4 Techniques 6.8 1440.7 1 to 2 2.3 30 68.0 4.5 16 72.7 Of which: Military 1.8 38.0 1 to 2 0.6 30 18.4 1.2 16 19.6 Components 18.5 382.3 1 to 2 6.2 30 184.9 12.3 16 197.5 Of which: Military 12.5 258.3 1 to 2 4.2 30 124.9 8.3 16 133.4 Functional elements 5.9 121.4 1 to 2 2.0 30 58.7 3.9 16 62.7 Of which: Military 3.9 80.5 1 to 2 1.3 30 38.9 2.6 16 41.6 Electronic end equipment and systems 69.7 1,441.0 1 to 2 23.2 30 696.7 46.5 16 744.3 Of which: Military 60.8 1,255.4 1 to 2 20.2 30 607.0 40.5 16 648.4 Total 124.6 alli:g2 45.5 1 364.1 79.2 1,266.9 Of which: Military 88.3 1,846.2 31.0 928.8 57.3 917.5 a. Because of rounding, components may not add to the totals Shown. c.11/ - 22 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Table 5 Estimated Total Expenditures for Soviet Electronic Research and Development 1957 Expenditures Overhead Category of Electronic Research and Development Wage Bill (Million 1955 Rubles) Factor 2/ (Percent) Expenditure (Million 1955 Rubles) Total (Million 1955 Rubles) Total Military Total Military Total Military Total Military Basic electronics 545.6 214.0 100 100 545.6 214.0 1,091.1 428.0 Techniques 140.7 38.0 100 100 140.7 38.0 281.3 76.0 Components 382.3 258.3 125 125 477.9 322.9 860.3 581.1 Functional elements 121.4 80.5 125 125 151.7 100.6 273.1 181.1 Electronic end equipment and systems 1,441.0 1,255.4 150 150 2,161.5 1,883.1 3,602.5 3,138.6 Total 12/ 2,631.0 l,86.2 3,477.4 2,558.6 6 108.4 4,404.9 a. 12/. Wage bill multiplied by the overhead factor equals the overhead expenditures. b. Because of rounding, components may not add to the totals shown. -23- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T c. Value of Facilities in 1957 As shown below in Table 6,* the total value of facilities employed in Soviet electronic R and D in 1957 and the value of facilities employed in Soviet military electronic R and D in 1957 were derived from the esti- mated value of buildings in these facilities using US analog information concerning the relationships between the value of buildings and the value of equipment. The value of facilities is shown at original cost -- that is, without allowances for depreciation. 3. Soviet Electronic Research and Development, 1956-62 a. Value of Soviet Electronic Research and Development, 1956-62 It was estimated electronic R and D would force employed by Soviet almost identical for the on electronic R and D in described R and D in the industry. 11/ that the rate of growth be the same as the rate electronic R and D, for labor force employed in the US during 1957-59. communication equipment of the value of Soviet of growth of the labor the rates of growth were and for the expenditures The US data specifically and electronic components To establish the rate of growth of the labor force employed by Soviet electronic R and D, a sample of 22 electronic R and D facilities was available for which the labor force could be established independently for 2 or more years. The average annual rate of growth of the labor force was computed for each of these facilities, and the span of years between labor force estimates for each facility was determined. This information is contained in Table 7.** The growth was about 15 percent (computed using both the geometric and median values), and a median span of years from about 1955 to 1959 was selected to move the base-year estimates (1957) for the labor force and, consequently, expenditures throughout the period 1956-62. A weighted mean was not used as the measure of central tendency, because the use of the estimates of the labor force as weights would give excess weight to time periods that largely predate the base year, 1957, and would conse- quently distort the rate of growth during 1956-62. In addition, the large dispersion of the population of the sample dictated the use of the median or a geometric measure to avoid excessive influence of the higher extremes. * Table 6 follows on p. 25. ** Table 7 follows on p. 26. - 2 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Table 6 Estimated Total Value of Facilities Engaged in Soviet Electronic Research and Development 1957 Value Equipment Category of Electronic Research and Development Buildings (Million 1955 Rubles) Factor 2/ (Percent) Cost (Million 1955 Rubles) Total 12/ (Million 1955 Rubles) Total Military Total Military Total Military Total Military Basic electronics 506.0 167.0 150 150 758.9 250.6 1,264.9 417.6 Techniques 113.8 32.7 150 150 170.7 49.0 284.5 81.7 Components 289.7 177.0 125 125 362.1 221.3 651.8 398.3 Functional elements 89.1 52.1 125 125 111.4 65.2 200.5 117.3 Electronic end equipment and systems 975.6 818.2 100 100 975.6 818.2 1,951.2 1,636.3 Total 2/ 1,974.1 1,214.7.0 , 2,378.7 l,1.01..2 4,352.9 2,651.2 a. 1_/. Value of the buildings multiplied by the equipment factor equal the equipment cost. b. At the original cost -- that is, excluding allowances for depreciation. c. Because of rounding, components may not add to the totals shown. - 25 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S -E -C -R -E -T Table 7 Estimated Average Annual Rate of Growth of the Labor Force Employed in Soviet Electronic Research and Development 1956-62 Facilities 21 Comprising the Sample Number Designation Initial Terminal Span of Years Average Annual Rate of Growth Year Labor Force Year Ls:.1,1or Force 55 Radar Manufacturing and Testing Plant 1951 400 1956 500 5 4.6 42 Institute of crystallography 1959 400 1961 450 2 6.1 13 NII 380 hi 1957 1,500 1961 2,000 4 7.5 37 Institute of Semiconductors 1957 4o0 1960 500 3 7.7 17 NII 2 1952 800 1955 1,000 3 7.7 21 NII 20 1950 2,000 1957 3,500 7 8.3 3 NII 11 1946 300 1951 450 5 8.5 50 Institute of Geomagnetics, Ionospherics, and Radiowave Propagation 1957 300 1960 400 3 10.1 66 Central Scientific Research Institute of Communications 1956 500 1959 700 3 11.9 48 Physics Institute imeni P.N. Lebedev 1958 1,200 1962 2,000 4 13.6 80 Polytechnic Institute imeni V.I. Lenin 1955 250 1960 500 5 14.9 9 NII 49 1953 2,000 1958 4,000 5 14.9 56 State Optical Institute imeni Vavilov 1952 700 1959 2,000 7 16.2 15 NII 619 1954 600 1957 1,000 3 18.6 2 NII 160 1950 600 1957 2,000 7 18.8 44 Institute of Physical Problems imeni S.I. Vavilov 1956 300 1961 750 5 20.1 33 Institute of Physics 1958 400 1960 600 2 22.5 54 Institute of Automation 1960 2,000 1965 6,000 5 24.6 62 Leningradskoye Saosse Institute 1948 1,000 1954 5,000 6 30.8 38 Institute of Silicate Chemistry 1958 400 1960 750 2 36.9 25 NII 778 1952 1,000 1954 2,000 2 41.4 65 Central Scientific Research Institute of Cartography, Aerial Photography, and Geodesy 1954 100 1958 600 4 56.5 Medians 1954-55 1959 5 14.9 a. For a complete identification of facilities, see Appendix B. The key number in this table refers to the number of the facility in the complete listing in Appendix B. b. Nauchno-Issledovatel'skiy Institut (NII) -- Scientific Research Institute. C. Based on a Soviet plan index. -26- S -E -C -R -E -T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T b. Value of Facilities, 1956-62 The estimated value of facilities for Soviet electronic R and D for 1957 was extrapolated back to 1956 and forward to 1962 at an average annual rate of 8 to 9 percent. This percentage was selected because it approximates the rate of growth implied by a plan figure for investment in electronic R and D facilities during the period 1959-65 (3.0 billion to 3.5 billion comparable rubles). 12/ 4. US Electronic Research and Development, 1956-62 a. Value of US Electronic Research and Development The series for US expenditures on electronic R and D is based on estimates by components of the US Government for the years 1956, lg 1959, 17/ and 1962. 18/ The figure given for 50X1 1962 was increased by 11.8 percent to make it comparable with the figures given for 1956 and 1959. The figure of 11.8 percent was derived from the relationship existing in 1959 between electronic R and D performed by pri- vate industry and that performed by all sources of electronic R and D. 12/ The figure in the original estimate for 1962 represented only the elec- tronic R and D performed by industry. The expenditures for the years 1957, 1958, 1960, and 1961 were estimated by interpolation between the figures given for the years 1956, 1959, and 1962. The series for expenditures for military electronic R and D was estimated by taking 81 percent of the total electronic R and D in each year. This percentage is the one reported by a US Government study for the year 1959. 20/ 5. Ruble-Dollar Ratio The aggregate ruble-dollar ratio used to convert 1955 rubles to 1955 US dollars was constructed by developing a ruble-dollar ratio for each category of electronic R and D. By taking their weighted arithmetic mean, these ratios were used to compute the aggregate ruble-dollar ratio. Expenditures within each category were allocated to labor, depreciation of equipment, depreciation of buildings, and materials. Expenditures for direct labor were determined by an analysis of the facilities. Ex- penditures for the depreciation of equipment were calculated by assuming a 5-year life for equipment, thus allocating one-fifth of the value of equipment as expenditures for depreciation of equipment. Similarly, expenditures for buildings were calculated by assuming a 20-year life for buildings and allocating one-twentieth of the value of buildings as expenditures for depreciation of buildings. The remaining expenditures were estimated to be divided between indirect labor and materials in the ratio of one part of indirect labor expenditures to two parts of mate- rials expenditure. -27- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T The resulting allocation of expenditures based on the estimated ex- penditures for 1957 are as follows: Category of Electronic R and D Percent Direct Labor Indirect Labor Depreciation of Equipment Depreciation of Buildings Materials Basic elec- tronics 50 10 15 3 22 Techniques 50 13 12 3 22 Components 44 14 8 3 31 Functional elements 44 14 8 3 31 Electronic end equip- ment and systems 40 18 6 2 34 The percentages calculated for the individual categories were weighted by the following ruble-dollar ratios in order to obtain a ruble-dollar ratio representative of aggregate expenditures on electronic R and D: Input to Electronic R and D Labor (direct and indirect) Equipment Materials Buildings 1955 Ruble Ruble-Dollar Weight 1955 us $ 2.0* 10.0** 9.0** 6.0*** The aggregate ruble-dollar ratio derived from the above procedure was 4.9 1955 rubles per 1.0 1955 us dollar. This ratio was used for all con- versions from rubles to dollars of aggregate estimates of Soviet expendi- tures on electronic R and D. The ruble-dollar ratios derived for the categories of electronic R and D were 4.88; techniques, 4.68; components, 4. electronic end equipment and systems, by the estimated expenditures on each 1957 to obtain the aggregate ratio of ** *** - 28 - as follows: basic electronics, 92; functional elements, 4.92; and 4.94. These ratios were weielted category of electronic R and D in 4.9. S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T APPENDDC B FACILITIES ENGAGED IN ELECTRONIC RESEARCH AND DEVELOPMENT IN THE USSR Number Facility Estimated City Designation Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development Numbered Institutes 1 Bolshevo 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (guided missile electronics [GM]) 50X1 2 Fryazino 2,000 1957 Military Basic Electronics: 10 percent (magnetic materials) Techniques: 10 percent (vacuum techniques) Components: 65 percent (electron tubes and semiconductors) Functional Elements: 15 percent (measuring instruments) 3 Gor'kiy 450 1951 Military Components: 10 percent (crystals) Functional Elements: 4o percent (parametric and paramagnetic amplifiers) Electronic End Equipment and Systems: 50 percent (GM and navigational equipment) 4 Kaliningrad 1,000 1951 Military Electronic End Equipment and Systems: 100 percent (GM) 5 Kunsevo 500 1952 Military Electronic End Equipment and Systems: 100 percent (radar and GM) 6 Leningrad 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (underwater electronics) 7 Leningrad 1,700 1957 Military Components: 25 percent (electron tubes) Functional Elements: 75 percent (microwave lines and transmitters) 8 Leningrad 1,500 1956 Military Basic Electronics: 20 percent (magnetic materials) Techniques: 20 percent (tropicalization) Components: 20 percent (semiconductors) Functional Elements: 20 percent (amplifiers and measuring instruments) Electronic End Equipment and Systems: 20 percent (underwater electronics) 9 Leningrad 4,000 1958 Military Electronic End Equipment and Systems: 100 percent (radar and GM) 10 Leningrad 1,700 1957 Military Basic Electronics: 100 percent (carrier frequency techniques and acoustics) 11 Leningrad 1,500 1960 Military Components: 100 percent (electron tubes and semiconductors) 12 Leningrad 1,700 1957 Military Basic Electronics: 30 percent (propagation, antenna design, and gyroscopy) Electronic End Equipment and Systems: 70 percent (GM, computers, fire control sys- tems, and navigational equipment) 13 Leningrad 2,000 1961 Military Techniques: 10 percent (vacuum techniques) Components: 10 percent (electron tubes) Functional Elements: 10 percent (measuring instruments) Electronic End Equipment and Systems: 70 percent (GM, military TV, and radar) * Nauchno-Issledovatel skiy Institut (NII) -- Scientific Research Institute. - 29 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Facility Estimated Number City Designation Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development Numbered Institutes 2,500 1953 Military Electronic End Equipment and Systems: 100 percent (underwater electronics) 50X1 (Continued) 14 Leningrad 15 Leningrad 1,000 1957 Military Functional Elements: 20 percent (measuring instruments) Electronic End Equipment and Systems: 80 percent (navigational equipment and elec- tronic countermeasures [ECM]) 16 Leningrad 1,500 1958 Military Electronic End Equipment and Systems: 100 percent (photofacsimile apparatus) 17 Marfino 1,000 1955 Military Components: 50 percent (electron tubes) Electronic End Equipment and Systems: 50 percent (secure telephone systems) 18 Moscow 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (wire communications equipment) 19 Moscow 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (GM, infrared devices, radar, and navigation equipment) 20 Moscow 1,700 1957 Military Components: 100 percent (electron tubes) 21 Moscow 3,500 1957 Military Electronic End Equipment and Systems: 100 percent (radar, radio communications, and military TV) 22 "Moscow 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (GM) 23 Moscow 1,700 1957 Military Components: 100 percent (semiconductors) 24 Moscow 200 1950 Military Electronic End Equipment and Systems: 100 percent (radar, ECM, and GM) 25 Moscow 2,000 1954 Military Components: 10 percent (gyros) Functional Elements: 20 percent (measuring instruments) Electronic End Equipment and Systems: 70 percent (GM, radar, and telemetry equip- ment) 26 Novosibirsk 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (radar) 27 Novosibirsk 2,000 1958 Military Components: 100 percent (electron tubes) 28 Pushkin? 1,700 1957 Military Electronic End Equipment and Systems: 100 percent (radio relay equipment) Institutes of the Acad- Institute of Radio Physics 750 1961 Industrial Basic Electronics: 100 percent (propagation, plasmas, magnetics, radio astronomy, emies of Science 29 Khar'kov and Electronics physics of solids, and radio spectroscopy) 30 Khar'kov Physical-Technical Institute 500 1960 Industrial Basic Electronics: 100 percent (crystallography) of the Ukraine - 30 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Number City Institutes of the Acad- emies of Science (Continued) Facility Designation Estimated Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development 31 32 33 34 35 36 37 38 39 40 41 42 43 Khar'kov Kiev Kiev Kiev Kiev Kiev Leningrad Leningrad Leningrad Moscow Moscow Moscow Moscow Physical-Technical Institute of Low Temperature Institute of Electrical Engi- neering Institute of Physics Institute of Radio Engineering Problems Computer Center Semiconductor Institute Institute of Semiconductors Institute of Silicate Chem- istry Physical-Technical Institute Acoustics Institute Computer Center Institute of Crystallography Institute of Mathematics imeni Steklov 750 750 600 750 750 750 500 750 1,000 750 750 450 750 1961 1961 1960 1961 1961 1961 1960 1960 1960 1961 1961 1961 1961 Industrial Industrial Industrial Industrial Industrial Industrial Industrial Industrial Military Industrial Industrial Industrial Industrial Basic Electronics: 100 percent (magnetic materials, crystallography, and low- temperature work) Techniques: 30 percent (automation) Components: 30 percent (radio components and batteries) Functional Elements: 40 percent (paramagnetic and parametric amplifiers) Basic Electronics: 100 percent (physics of solids, nuclear physics, and high-vacuum techniques) Basic Electronics: 100 percent (wireless transmission of power, rock crushing with radio frequencies, ultrasonic medical instruments, X-ray photography, and polymeri- zation of plastics using radio frequencies) Techniques: 50 percent (automation) Electronic End Equipment and Systems: 50 percent (computers) Components: 100 percent (semiconductors) Basic Electronics: 30 percent (crystallography, infrared [IR], magnetic material, and photoelectrics) Techniques: 20 percent (frequency standards and miniaturization) Components: 50 percent (semiconductors) Basic Electronics: 100 percent (investigation of silicon for semiconductors) Basic Electronics: 50 percent (dielectrics, crystallography, IR, maser, oscillo- graphy, optics, photoelectrics, and ultraviolet radiation) Techniques: 10 percent (miniaturization) Components: 20 percent (electron tubes, semiconductors, and batteries) Electronic End Equipment and Systems: 20 percent (space electronics) Basic Electronics: 50 percent (acoustics and ultrasonics) Techniques: 10 percent (frequency standards) Components: 20 percent (waveguides, transducers, and cables) Functional Elements: 20 percent (oceanographic acoustical instruments) Electronic End Equipment and Systems: 100 percent (computers) Basic Electronics: 80 percent (crystallography, IN, nuclear physics, pulse tech- niques, synthetic mica and quartz, fine wires, and thin layers) Functional Elements: 20 percent (transmitters and receivers) Techniques: 50 percent (machine translation) Electronic End Equipment and Systems: 50 percent (computers) - 31 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Number City Institutes of the Acad- emies of Science (Continued) Facility Designation Estimated Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development 44 Moscow Institute of Physical Problems imeni S.I. Vavilov 750 1961 Industrial Basic Electronics: 100 percent (low temperature work and oscillography) 45 Moscow Institute of Precision Me- chanics and Computing Tech- niques 400 1960 Military Basic Electronics: 20 percent (magnetic materials) Components: 20 percent (antennas) Electronic End Equipment and Systems: 60 percent (computers for machine transla- tion, electron microscopes, and GM computers) 46 Moscow Institute of Radio Engineering and Electronics 800 1959 Industrial Basic Electronics: 50 percent (cathode emission, electrodynamics, propagation, masers, scatter, plasma, and pulse techniques) Techniques: 10 percent (coding and reliability of components) Components: 20 percent (semiconductors, electron tubes, waveguides, antennas, radio components, and cables) Functional Elements: 10 percent (measuring instruments; transmitters, and re- ceivers) Electronic End Equipment and Systems: 10 percent (direction-finding equipment; space electronics, and telecommunications equipment) 47 Moscow Laboratory of Information 750 1961 Industrial Basic Electronics: 10 percent (impedence measuring) Transmission Systems Techniques: 20 percent (telegraph message coding and carrier techniques) Functional Elements: 10 percent (relay circuits) Electronic End Equipment and Systems: 60 percent (automatic telephone system equipment and multiplexing equipment) 48 Moscow Physics Institute imeni P.N. Lebedev 2,000 1962 Military Basic Electronics: 70 percent (acoustics, crystallography, dielectrics, IN, scatter, low temperature, maser, laser, optics, radio astronomy, propagation, and spectroscopy) Components: 15 percent (antennas, batteries, radio components, and semiconductors) Functional Elements: 5 percent (paramagnetic and parametric amplifiers) Electronic End Equipment and Systems: 10 percent (microwave equipment; navigational equipment, and underwater electronics) 49 Moscow Radio Technical Institute 750 1961 Industrial Basic Electronics: 10 percent (electronically controlled fusion) Components: 10 percent (wide-band double-cone transformers) Electronic End Equipment and Systems: 80 percent (hi-speed electronic computer) 50 Moscow Oblast Institute of Geomagnetics, Ionospherics? and Radiowave 400 1960 Industrial Basic Electronics: 100 percent (ionospheric and tropospheric investigations, radio astronomy, and magnetic materials) Propagation 51 Novosibirsk Institute of Radio Physics and Electronics 750 1961 Industrial Basic Electronics: 100 percent (plasma and propagation) 52 Sverdlovsk Institute of the Physics of 750 1961 Industrial Components: 100 percent (semiconductors) Metals - 32 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Number City Facility Designation Estimated Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development Other Research Insti- Unidentified Institute 2,000 1955 Military Electronic End Equipment and Systems: 100 percent (fire-control systems) tutes Baku 53 54 Kiev Institute of Automation 2,000 1960 Industrial Basic Electronics: 20 percent (telemechanics) Techniques: 60 percent (automation) Components: 10 percent (semiconductors) Electronic End Equipment and Systems: 10 percent (telemetry equipment) 55 Kuchino Radar Manufacturing and Test- ing Plant 500 1956 Military Electronic End Equipment and Systems: 100 percent (clandestine devices) 56 Leningrad State Optical Institute imeni 2,000 1959 Military Basic Electronics: 50 percent (optics, IR, and oscillography) Vavilov Electronic End Equipment and Systems: 50 percent (IR devices and optical devices) 57 Leningrad Central Scientific Research 900 1959 Industrial Techniques: 50 percent (code switching) Institute of City and Rural Electronic End Equipment and Systems: 50 percent (telecommunications equipment) Telephones 58 Leningrad "Forest Institute" 900 1959 Industrial Components: 40 percent (electron tubes) Electronic End Equipment and Systems: 60 percent (TV equipment) 59 Leningrad Institute of Electromedhanics 900 1959 Industrial Basic Electronics: 50 percent (optics and photoelectrics) Techniques: 30 percent (automation) Functional Elements: 10 percent (measuring instruments) Electronic End Equipment and Systems: 10 percent (direction-finding equipment) 60 Leningrad Scientific Institute of Marine Communication 400 1952 Military Electronic End Equipment and Systems: 100 percent (communications equipment, radar, and sonar) 61 Leningrad Scientific Research Institute of Radio Broadcast Reception and Acoustics 600 1957 Industrial Basic Electronics: 50 percent (acoustics, magnetic material, thermoelectrics, and ultrasonics) Components: 30 percent (radio components and semiconductors) Functional Elements: 20 percent (measuring instruments, receivers, and trans- mitters) 62 Moscow Leningradskoye Shosse Insti- tute 5,000 1954 Military Electronic End Equipment and Systems: 100 percent (GM) 63 Moscow Unidentified Institute 2,000 1955 Military Electronic End Equipment and Systems: 100 percent (fire-control systems) 64 Moscow All Union Electrical Engi- neering Institute imeni V.I. 500 1957 Military Basic Electronics: 40 percent (magnetic materials and vacuum techniques) Techniques: 30 percent (automation and printed and synthetic circuits) Lenin Components: 10 percent (silicon power rectifiers) Electronic End Equipment and Systems: 20 percent (space electronics) 65 Moscow Central Scientific Research 600 1958 Industrial Functional Elements: 100 percent (measuring instruments) Institute of Cartography, Aerial Photography, and Geodesy - 33 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Number City Facility Designation Estimated Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development Other Research Insti- tutes (Continued) 66 Moscow Central Scientific Research Institute of Communications 700 1959 Industrial Basic Electronics: 50 percent (acoustics, microwave, propagation, communications theory, radio noise, automatic control theory, reliability, and oscillography) Techniques: 10 percent (automation) Components: 20 percent (antennas, waveguides, cables, and radio components) Functional Elements: 10 percent (measuring instruments, transmitters, and receivers) Electronic End Equipment and Systems: 10 percent (telecommunications equipment and closed-circuit TV) 67 Moscow Institute of Automatics and 800 1960 Military Basic Electronics: 50 percent (theory of automatic control) Telemedhanics Techniques: 10 percent (automation) Components: 10 percent (antennas) Electronic End Equipment and Systems: 30 percent (computers and GM) 68 Moscow Metallurgical Institute imeni 1,300 1959 Industrial Basic Electronics: 30 percent (crystallography) Baykov Techniques: 40 percent (automation) Components: 30 percent (semiconductors) 69 Moscow Power Engineering Institute imeni Krzhizhanovskiy 700 1961 Military Basic Electronics: 40 percent (ball-lightning phenomena) Components: 40 percent (electron tubes and semiconductors) Electronic End Equipment and Systems: 20 percent (computers) 70 Moscow Scientific Research Institute for Computer Manufacture 900 1959 Industrial Basic Electronics: 20 percent (magnetic materials) Techniques: 20 percent (automation) Components: 20 percent (radio components) Electronic End Equipment and Systems: 40 percent (computers) 71 Moscow Scientific Research Institute of TV 900 1959 Industrial Basic Electronics: 10 percent (optics) Functional Elements: 30 percent (measuring instruments, transmitters, and receivers) Electronic End Equipment and Systems: 60 percent (TV equipment) 72 Moscow Scientific Research Institute of the Cable Industry 500 1960 Industrial Components: 100 percent (waveguides and cables) 73 Mytishchi Scientific Research Experi- mental Institute of Communi- cations of the Ground Forces 600 1948 Military Basic Electronics: 20 percent (scatter, pulse techniques, and propagation) Techniques: 10 percent (tropicalization) Components: 40 percent (antennas, batteries, radio components, and electron tubes) Functional Elements: 5 percent (measuring instruments) Electronic End Equipment and Systems: 25 percent (telecommunications equipment, buoys, recorders, radiosondes, and radar) 74 Novosibirsk Unidentified Institute 2,000 1957 Military Electronic End Equipment and Systems: 100 percent (radar) 75 Novosibirsk Scientific Research Institute of High Frequency Telephony 900 1959 Industrial Basic Electronics: 50 percent (propagation) Electronic End Equipment and Systems: 50 percent (telephone equipment) 76 Tomsk Siberian Physical-Technical Institute 1,500 1960 Industrial Basic Electronics: 50 percent (dielectrics, physics of the solid state, nuclear physics, propagation, IR, and scatter) Components: 20 percent (waveguides and semiconductors) - 31I - Electronic End Equipment and Systems: 30 percent (radar) S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Number City Facility Designation Estimated Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development Educational Institu- tions 77 Gor'kiy Polytechnic Institute imeni 500 1957 Industrial Components: 100 percent (electron tubes) A.A. Zhdanov 78 Gor'kiy.? Gor'kiy State University 500 1957 Industrial Basic Electronics: 100 percent (propagation) 79 Khar'kov Artillery Radio Engineering 500 1957 Military Electronic End Equipment and Systems: 100 percent (GM and EMC) Academy imeni Marshal Govorov 80 Kharkov Polytechnic Institute imeni V.I. Lenin 500 1960 Industrial Basic Electronics: 100 percent (scatter, meteor trails, radio astronomy, and oscillographs) 81 Khar'kov State University imeni A.M. Gor'kiy 200 1955 Industrial Basic Electronics: 70 percent (oscillography, propagation, ultrasonics, and milli- meter and submillimeter bands) Components: 20 percent (electron tubes, cables, and waveguides) Functional Elements: 10 percent (electron microscopes) 82 Kiev Order of Lenin State Univer- sity imeni T.G. Shevshenko 150 1954 Industrial Basic Electronics: 70 percent (acoustics, dielectrics, luminescence, magnetic materials, physics of the solid state, 1R, propagation, and thermoelectrics) Techniques: 15 percent (automation, correlation techniques, and reliability of components) Components: 10 percent (radio components and semiconductors) Electronic End Equipment and Systems: 5 percent (computers) 83 Kiev Order of Lenin Polytechnic Institute 500 1957 Military Basic Electronics: 60 percent (crystallography, dielectrics, pulse techniques, isotopes, thermoelectrics, physics of the solid state, and molecular electronics) Techniques: 10 percent (automation and radio broadcasting) Components: 15 percent (semiconductors) Electronic End Equipment and Systems: 15 percent (computers) 84 Leningrad Red Banner Air Force Engi- neering Academy imeni A.F. 500 1957 Military Components: 50 percent (semiconductors and gyros) Electronic End Equipment and Systems: 50 percent (ECM) Mothayskiy 85 Leningrad Military Red Banner Academy of Communications imeni 500 1957 Military Basic Electronics: 4o percent (scatter, microwave, and propagation) Components: 20 percent (antennas and transmission lines) Budenny Electronic End Equipment and Systems: 4o percent (radar and telebommunications) 86 Leningrad Electrotechnical Institute of Communications imeni M.A. Bandh-Bruyevich 100 1958 Industrial Basic Electronics: 4o percent (microwave, photoelectrics, pulse techniques, and propagation) Components: 10 percent (antennas and radio components) Functional Elements: 25 percent (paramagnetic and parametric amplifiers, measuring instruments, transmitters, and receivers) Electronic End Equipment and Systems: 25 percent (computers and TV equipment) - 35 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Year Facility Estimated of Labor Force Estimated Number City Designation Labor Force Estimate Allocation Estimated Type of Electronic Research and Development Educational Institu- tions (Continued) 87 88 Leningrad Leningrad Institute of Aviation Instrument Building Institute of Electrical Engineering imeni V.I. Lenin 800 250 1949 1960 Military Military Basic Electronics: 30 percent (oscillography and pulse techniques) Components: 10 percent (electron tubes) Functional Elements: 30 percent (transmitters and receivers) Electronic End Equipment and Systems: 30 percent (radar and navigational equipment) Basic Electronics: 30 percent (dielectrics, physics of the solid state, and photo- electrics) Components: 30 percent (semiconductors and cables) Electronic End Equipment and Systems: 4o percent (guidance and control equipment) 89 Leningrad Institute of Electrical 500 1957 Industrial Basic Electronics: 100 percent (automatics and telemechanics) Engineering for Signaling and Communications 90 Leningrad Institute of Precision Me- chanics and Optics 500 1957 Military Basic Electronics: 50 percent (oscillography and optics) Techniques: 20 percent (automation) Electronic End Equipment and Systems: 30 percent (GM and computers) 91 Leningrad Polytechnical Institute imeni M.I. Kalinin 1,000 1961 Military Basic Electronics: 35 percent (dielectrics, nuclear physics, photoelectrics, and oscillography) Techniques: 15 percent (reliability of components) Components: 20 percent (electron tubes and semiconductors) Functional Elements: 10 percent (paramagnetic and parametric amplifiers and measur- ing instruments) Electronic End Equipment and Systems: 20 percent (radar and GM) 92 Leningrad Leningrad State University imeni A.A. Zhdanov 1,000 1954 Military Basic Electronics: 60 percent (acoustics, microwave, propagation, and ultrasonics) Components: 20 percent (electron tubes) Electronic End Equipment and Systems: 20 percent (radar) 93 Lvov Polytechnical Institute 300 1954 Industrial Basic Electronics: 70 percent (dielectrics and ceramics) Functional Elements: 30 percent (measuring instruments) 94 Moscow Air Force Engineering Acad- emy imeni N.E. Zhukovskiy 500 1957 Military Electronic Mad Equipment and Systems: 100 percent (radar, direction-finding equip- ment, and GM) 95 Moscow Military Artillery Engineer- ing Academy imeni F.E. 500 1957 Military Electronic End Equipment and Systems: 100 percent (GM) Dzerzhinskiy 96 Moscow Aviation Institute imeni 300 1958 Military Basic Electronics: 4o percent (propagation and pulse techniques) S. Ordzhonikidze Techniques: 10 percent (automation) Components: 4o percent (antennas, radio components, waveguides? and cables) Functional Elements: 10 percent (measuring instruments) - 36 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Number City Educational Institu- tions (Continued) Facility Designation Estimated Labor Force Year of Labor Force Estimate Estimated Allocation Estimated Type of Electronic Research and Development 97 98 99 Moscow Moscow Moscow Electrical Engineering Insti-100 tute of Communications Electrotechnical Technicum 500 imeni L.B. Krasin Higher Technical School imeni 40o 1958 1957 1955 Military Military Military Functional Elements: 50 percent (transmitters and receivers) Electronic End Equipment and Systems: 50 percent (TV equipment) Electronic End Equipment and Systems: 100 percent (radar) Basic Electronics: 20 percent (ultrasonics) N.Ye. Bauman Techniques: 30 percent (automation) Functional Elements: 10 percent (measuring instruments) Electronic End Equipment and Systems: 40 percent (computers) 100 Moscow Power Engineering Institute 1,000 1960 Military Basic Electronics: 20 percent (laser research) Techniques: 30 percent (automation) Electronic End Equipment and Systems: 50 percent (computers and GM) 101 Moscow Moscow State University imeni 1,000 1958 Military Basic Electronics: 20 percent (crystallography) V.M. Lomonosov Components: 50 percent (semiconductors and antennas) Functional Elements: 15 percent (masers) Electronic End Equipment and Systems: 15 percent (computers) 102 Odessa Electrical Engineering Insti-500 tute of Communications 1957 Industrial Electronic End Equipment and Systems: 100 percent (telecommunications equipment) 103 Saratov State University imeni N.G. 100 1958 Industrial Basic Electronics: 50 percent (optics, oscillography, magnetics, and luminescence) Chernyshevskiy Components: 50 percent (semiconductors and electron tubes) 104 Sverdlovsk Ural State University imeni A.M. Gor'kiy 500 1957 Industrial Basic Electronics: 100 percent (magnetics, materials, and crystallography) 105 Tomsk Polytechnical Institute imeni S.M. Kirova 200 1958 Industrial Basic Electronics: 100 percent (propagation) 106 Tomsk State University imeni V.V. Kuybyshev 500 1957 Industrial Basic Electronics: 100 percent (propagation, luminescence, dielectrics, photo- electrics, IS, and physics of the solid state) Design Bureaus and Plant Laboratories 107 Kazan 1,500 1949 Military Electronic End Equipment and Systems: 100 percent (radar, underwater electronics, and intercept receivers) 108 Krasnogorsk 3,000 1959 Military Electronic End Equipment and Systems: 100 percent (IR devices and optics) 109 Leningrad 400 1957 Military Electronic End Equipment and Systems: 100 percent (radar, radio communications, and GM) - 37 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Facility Number City Designation Desi Bureaus and Plant Laboratories (Continued) Year Estimated of Labor Force Estimated Labor Force Estimate Allocation Estimated Type of Electronic Research and Development 110 Leningrad 1,000 1955 Military Electronic End Equipment and Systems: 100 percent (radar, GM, underwater elec- tronics, and mobile microwave [R-400]) 50X1 111 Leningrad 900 1957 Military Electronic End Equipment and Systems: 100 percent (navigational equipment, under- water electronics, direction-finding equipment, and beacons) 112 Moscow 600 1961 Industrial Basic Electronics: 50 percent (materials for electron tubes) Components: 30 percent (electron tubes) Electronic End Equipment and Systems: 20 percent (IR devices) 113 Moscow 900 1957 Industrial Techniques: 100 percent (standardization and coordination of specifications) 114 Moscow 1,000 1958 Military Electronic End Equipment and Systems: 100 percent (radar) 115 Moscow 800 1956 Military Electronic End Equipment and Systems: 100 percent (computers) 116 Moscow 500 1955 Military Electronic End Equipment and Systems: 100 percent (military radio and GM) 117 Penza "SAM" Plant, Laboratory of 1,500 1960 Industrial Electronic End Equipment and Systems: 100 percent (computers) 118 Riga "VEF" Plant, Laboratory of 1,000 1959 Industrial Electronic End Equipment and Systems: 100 percent (radio, TV equipment, wire dif- fusion equipment, and telephones and telegraph) 119 Riga Radio Plant imeni Popov, 100 Laboratory of 1949 Industrial Basic Electronics: 50 percent (communications theory and radio noise) Electronic End Equipment and Systems: 50 percent (broadcast radio and TV receivers) 120 Saratov 600 1956 Industrial Components: 100 percent (electron tubes) 50X1 121 Saratov 900 1957 Military Electronic End Equipment and Systems: 100 percent (radar) 122 Sverdlovsk 300 1957 Military Electronic End Equipment and Systems: 100 percent (radio and TV equipment) 123 Taganrog 900 1957 Military Electronic End Equipment and Systems: 100 percent (radar) 124 Vil'nyus 300 1957 Military FUnctional Elements: 100 percent (measuring instruments for radar) _ 38 _ S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T APPENDIX C ALLOCATION OF SUBSTANTIVE ACTIVITIES IN ELECTRONIC RESEARCH AND DEVELOPMENT IN THE USSR Although it is not feasible to estimate the number of scientists, engineers, and technicians working in each substantive activity of Soviet electronic R and D, it is possible to rank the various substan- tive activities within each category of electronic R and D by estimat- ing the number of research facilities participating in each activity. The terms used to describe the substantive activities are those found in the various sources reporting the activities. These terms are not altogether mutually exclusive and probably do not completely exhaust the substantive content that could be included in each category of electronic R and D. Nevertheless, the following estimated allocation is believed to indicate the main thrust of Soviet substantive activi- ties in electronic R and D during 1956-62. 1. Basic Electronics Number of Facilities a. Ranking of All Substantive Activities Participating Electromagnetic Wave Propagation 17 Magnetic Materials 14 Physics of Solids 11 Dielectrics 10 Crystallography 10 Acoustics 9 Infrared and Ultraviolet Radiation 9 Oscillography 9 Ionospheric and Tropospheric Investigation (for scatter techniques) 9 Photoelectrics 8 Nuclear Physics (for electronic applications only) 8 Carrier Frequency Techniques 7 Optics 7 Pulse Techniques 7 Radio Spectroscopy Ultrasonics 6 Plasmas (magnetohydrodynamics) 4 Radio Astronomy (for electronic applications only) L. - 39 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T 1. Basic Electronics Number of Facilities a. Ranking of All Substantive Activities Participating Continued) Maser and Laser Research 4 Theory of Automatics and Tele- mechanics (automatic control) 4 Theory of Communications Low-Temperature Investigations 3 Radio Noise 3 Luminescence 3 Thermoelectrics 3 High-Vacuum Techniques 2 Polymerization of Plastic Using Radio Waves 2 Materials for Electron Tubes 2 Theory and Design of Antennas 1 Gyroscopy 1 Wireless Transmission of Power 1 Rock Crushing with Radiofrequencies 1 X-Ray Photography 1 Synthetic Mica and Quartz 1 Fine Wires 1 Thin Films 1 Impedence Measuring 1 Meteor Trails 1 Ball Lightning 1 Cathode Emission 1 Electrodynamics 1 Isotopes 1 Reliability 1 b. Ranking of Military Substantive Number of Facilities Activities Participating Electromagnetic Wave Propagation 6 Dielectrics 6 Oscillography 5 Magnetic Materials Photoelectrics 4 Acoustics 4 Optics Infrared and Ultraviolet Radiation LI- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T 1. Basic Electronics b. Ranking of Military Substantive Number of Facilities Activities (Continued) Participating Pulse Techniques 4 Crystallography 4 Carrier Frequency Techniques 3 Ionospheric and Tropospheric Investigations (for scatter techniques) 3 Physics of Solids 3 Radio Spectroscopy 3 Maser and Laser Research 3 Nuclear Physics (for electronic applications only) 2 Ultrasonics 2 Theory and Design of Antennas 1 Gyros copy 1 Radio Astronomy (for elec- tronic applications only) 1 Low-Temperature Investigations 1 High-Vacuum Techniques 1 Theory of Automatics and Tele- mechanics (automatic control) 1 Ball Lightning 1 Thermoelectrics 1 Isotopes 1 2. Techniques Number of Facilities a. Ranking of All Substantive Activities Participating Automation 15 Reliability of Components 3 Miniaturization (and subminiaturiza- tion?) 2 Vacuum Techniques 2 Tropicalization 2 Code Switching 2 Frequency Standards 1 Machine Translation 1 Coding of Telegraph Messages 1 Use of High-Voltage Lines for Tele- phone and Telegraph Carrier 1 - 41 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 - Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T 2. Techniques Number of Facilities a. Ranking of All Substantive Activities Participating (Continued) Standardization and Coordination of Specifications 1 Correlation Techniques Printed and Synthetic Circuits (molecular electronics?) 1 b. Ranking of Military Substantive Number of Facilities Activities Participating Automation 9 Tropicalization 2 Vacuum Techniques 2 Miniaturization 1 Reliability of Components 1 Printed and Synthetic Circuits 1 3. Components Number of Facilities a. Ranking of All Substantive Activities Participating Semiconductors 23 Electron Tubes 21 Antennas 11 Passive Components (resistors, capacitors, and coils) 11 Waveguides 8 Transmission Cable 8 Batteries 4 Crystals 1 Transducers 1 Transformers 1 Gyros 1 -42- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T 3. Components (Continued) b. Ranking of Military Substantive Number of Facilities Activities Participating Semiconductors Electron Tubes Antennas Passive Components Transmission Cable Batteries Wave guides Crystals Gyros 4. Functional Elements 13 12 7 3 3 3 1 1 1 Number of Facilities a. Ranking of All Substantive Activities Participating Measuring Instruments 18 Amplifiers (including parametric and paramagnetic) 7 Transmitters 6 Receivers 6 Maser Devices 1 Relay Circuits 1 Electron Microscopes (electronic components) 1 Oceanographic Acoustical Instru- mentation 1 b. Ranking of Military Substantive Number of Facilities Activities Participating Measuring Instruments 10 Amplifiers 6 Transmitters 1 Receivers 1 Maser Devices 1 Oceanographic Acoustical Instrumentation 1 S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T Electronic End Equipment and Systems Number of Facilities a. Ranking of All Substantive Activities Participating Radar 26 Guided Missile Electronics 23 Computers 17 Radio Communications Equipment 12 Television Equipment 10 Navigational Equipment 8 Wire Communications End Equipment and Systems 8 Underwater Electronics 7 Translation Machines 7 Infrared Devices 4 Radio Relay Equipment 4 Electronic Countermeasures 4 Direction-Finding Equipment 4 Multiplexing Equipment 3 Space Electronic End Equipment and Systems 3 Telemetry Equipment 2 Fire-Control Systems 2 Secure Colimiunications Systems 1 Photofacsimile Equipment 1 Clandestine Devices 1 Optical Devices 1 Sonobuoys 1 Radiosondes 1 Radiotelescopes 1 Recording Equipment 1 b. Ranking of Military Substantive Activities Number of Facilities Participating Radar 26 Guided Missile Electronics 23 Computers 10 Radio Communications Equipment 10 Navigational Equipment 8 Underwater Electronics 7 Infrared Devices 4 Television Equipment 4 Radio Relay Equipment 4 Electronic Countermeasures 4 - 44 - S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 S-E-C-R-E-T 5. Electronic End Equipment and Systems Number of Facilities Participating b. Ranking of Military Substantive Activities (Continued) Direction-Finding Equipment 11. Space Electronics 3 Translation Machines 3 Multiplexing Equipment 2 Fire-Control Systems 2 Secure Communications Systems 1 Wire Communications 1 Photofacsimile Equipment 1 Telemetry Equipment 1 Clandestine Devices 1 Optical Devices 1 Sonobuoys 1 Radiosondes 1 Recording Equipment 1 -45- S-E-C-R-E-T Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 R Next 1 Page(s) In Document Denied Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 50X1 Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5 SECRET 1 SECRET Declassified in Part - Sanitized Copy Approved for Release 2013/06/17: CIA-RDP79R01141A002500150002-5