In some cases, public institutions' impact on clusters has been indirect. For example, the investments of the US Defence department in Silicon Valley helped the initial development of the incipient electronic industry. In other cases, public institutions have been more active either by fostering the growth of existing clusters, through infrastructure development, universities funding and provision of grants and loans, or by transforming and equipping a geographical area to host a new cluster as for example in Barcelona where the creation of the business district 22@ was the result of an extensive urban renewal of the neighbourhood Poblenou.[1]