The privatisation was not just about ensuring the best prices from QinetiQ, but also reflected an intention to provide customers with access to a wider range of suppliers than would have been possible when the Department had to sustain the Defence Evaluation and Research Agency (DERA) as its in-house provider of science and technology capability. It is generally accepted that the introduction of competition creates incentives for suppliers to increase value for money. In this instance, it also provided an opportunity for new suppliers to enter the market, in a way which was not possible when almost all of the Department's research funding was spent through its in-house provider. In 2002-03 around 90% of the Department's applied and corporate research was carried out within DSTL or by the newly created QinetiQ. By 2009/10, the Department estimates that 60% of the research programme will be competed with industry and academia with the bulk of the remainder going to DSTL. In cash terms, the total annual value of contracts awarded without competition to QinetiQ has declined from approximately £208m in FY04/05 to approximately £80m FY07/08.