Intellectual Property and Strategic R&D Management Conference. Koç University. June 28, 2013

Transcription

1 Intellectual Property and Strategic R&D Management Conference Koç University June 28, 2013

2 COMMERCIALIZATION OF IP IN UNIVERSITIES: EXPERIENCES OF TTOS IN TURKEY Managing an IP based business in Universities Why SU experience is valuable? It is not accidental, it is in the philosophy... Socially responsible Practice oriented Local, regional, global Institutional commitment to leading innovative approach to research and education: first to admit students to Faculties, first to establish commercialization structure, first to partner in a non university technopark... Competitive advantage in terms of experience Generated 250+ K TL in know-how licensing; Licensed patented technologies to start ups Negotiated technology licensing terms in industry sponsored research since Grew its industry sponsored research by 10 fold in the last 2 years to the level of 25% of entire research portfolio

3 LET S PLACE CONCEPTS IN PERSPECTIVE FOR TECH TRANSFER O U T C O M E S Wide dissemination of university-generated new knowledge for the public good Input into Further research New products or services addressing societal needs Generation of employment Transfer of knowledge into practice From a commercial perspective core Strong link Impact Sponsored research Movement of students to private and public employment Alliances around research centers M E C H A N I S M S Interaction between Publication in open academic literature creators and users of new knowledge (conference, seminar..) IP trade Consulting Entrepreneurial (licensing, businesses activity exchanging, selling )

4 LET S LOOK AT THE TEXT BOOK FROM A REAL LIFE POINT OF VIEW... Year At TTO One invention Sponsored research Alliances around research centers 3 inventors 2 past, 2 present institutions involved in joint research One joint patent IP trade (licensing, exchanging, selling ) Market search for prospective licensees Meanwhile researchers have moved to their next institutions! The first IP policy!! MTA and consecutive Sample testing & failure

5 TODAY AND FUTURE OF TECH TRANSFER BUSINESS IN TURKEY... Year Agenda of TTOs on a national scale Government policy supports technology commercialization as a key role of universities 1513 > money is not the issue Is there a market place mature enough for fast growing TTO structures? Performance metrics? How realistic to focus on income generated in the first 5 years? Do we need more flexibility in developing TT models Is there enough emphasis on incentivizing tech transfer/commercialization professional development? Tech transfer professional Management perspective (ability to create the most appropriate means for transferring technology towards an economically viable phase, ability to manage relationships, strategic orientation big picture) Aware and connected (ability to remain up-to-date; 90% of technology transfer depends on current understanding how technology markets work, what is happening out there and maintaining a sound business network) Different skill set

6 TODAY AND FUTURE OF TECH TRANSFER BUSINESS IN TURKEY... Year Agenda of TTOs on a national scale Public grant programs offer abundant financing opportunities for entrepreneurship, R&D and UIC 10 + different programs > money is not the issue They certainly planted the project culture & discipline in institutions How encouraging are they (regulations for use of funds?, structure) Any real incentives emphasizing the benefits of acquiring technology from Universities or jointly developing technologies Is there a real alignment between 1513 and industry joint R&D funding programs Is there complementarity among the existing funding schemes? Lack of impact analysis > hinder policy making UIC (USI) dynamics Trust in University technology Culture of transferring knowledge from Universities university technology has a value beyond its research cost Universities have to acknowledge where technology stands in the value chain Institutional vs. individual Solution on Univ. side TTOs > how about Industry side? R&D, Marketing, Finance?, IP Structures? University TTOs not a complete solution Motivation; academics & industry respectively Incompatibility of timelines inflated issue Innovation barrier: negative perception favoring size

7 TODAY AND FUTURE OF TECH TRANSFER BUSINESS IN TURKEY... Year Tech transfer on a global scale (& how it will affect us) Science is increasingly global; new players in addition to usual suspects - new emergent scientific nations in the Middle East, South-East Asia, North Africa, as well as a strengthening of the smaller European nations. > cultural, political, legal infrastructures come into place for TTOs.. Emergence of new players and leaders point towards an increasingly multipolar scientific world; consequently scientific activity is concentrated in a number of widely dispersed hubs > motivation and methodologies for translating research into economic prosperity varies The recognition of the role that science can play in driving economic development, and in addressing local and global issues of sustainability, has led to increased research activity and the application of scientific method and results within less developed countries. > different measures ; AUTM BWR economic development impact The scientific world is becoming increasingly interconnected, with international collaboration on the rise. Today over 35% of articles published in international journals are internationally collaborative, up from 25% 15 years ago. > More complex IP structures (mind the difference from US) Knowledge, Networks and Nations: Global scientific collaboration in the 21st century, 2011 Royal Society

8 TODAY AND FUTURE OF TECH TRANSFER BUSINESS IN TURKEY... Year Tech transfer on a global scale (& how it will affect us) Collaboration is growing for a variety of reasons Quality of research Improves efficiency Primary driver > scientist Increased citation impact Access to new markets Broadening research horizons; broader objectives for a global science system to address global challenges Open source / innovation: a major paradigm shift in innovation environment. How to occupy a role in the value chain IP pools as a competition strategy; join in common cause to create some resource for collective benefit (might offer new horizons for tech transfer professionals) first poolers in US: 1856 Singer and Wheeler & Wilson 1917 World War I; Manufacturer s Aircraft Association

9 6/6/13 Innovation Barometer 2013 ond product innovation Today and Future of tech transfer business in Turkey... Innovation remains top business priority globally, but leaders conflicted Collaboration is accelerating in emerging economies as to best path forward Revenue from collaborative innovation growing Agree the development of new business models contribute most to company performance. 91% Agree their company should focus on developing new business models to boost future performance. Turkey: 50% report 30% that innovation is a strategic 28% 24% 23% priority 16% 23% for their company* 20% 14% 12% Strongly agree 4% Turkey: 60% Agree their company should improve existing products or services to boost future performance. Agree that coming up with new business models is important for a company to innovate successfully. 18% Agree that understanding customers and anticipating market evolutions is key for successful innovation. 31% 28% Turkey: 79% Turkey: 84% But 30% challenge 41% the benefits of innovation on local 29% economies believing that 35% the increased competition and 25% accelerated 25% pace of technological 19% advancement has a negative impact** Average: 26% 38% 37% 35% 33% 31% 29% 6 * Businesses in Vietnam, Nigeria, Canada, China and Brazil most likely to consider innovation a very high priority Turkey: 93% ** Businesses in Turkey, India, UAE, Malaysia and Mexico most likely to claim innovation has a negative impact 15 PROJECT CONTENT January 31, 2013 Roy Green: Improving Aust ralia s Product ivit y Perf ormance GLOBAL COMPETITIVENESS Perspectives By Roy Green COUNTRY REPORTS Download t he GE Global Innovat ion Baromet er 2013 Count ry Report s. These report s capt ure t he result s of t he survey perf ormed in each of t he 25 market s. Executives reporting that the revenue and profit generated by collaborative innovation has been growing over the last year As our terms of trade slip back with the leveling off in commodity prices, it is increasingly recognized that Australia must Read More Growing strength RESOURCES Message for TTOs : 1. Greater opportunities for innovation 2. IP based business is getting more complicated 2/4

10 Figures and policy perspective WIPO 2013 PCT Yearly Review applications + 6.6% US Japan Germany China expected to overtake Germany in (+13.6%) Large mid-income countries Turkey -16.6% Mexico -15.6% India -9.2% South Africa -5.3% Europe (EPO) selects Inventor of the Year: high impact comes from UK (Pal Nyren - Cambridge U for DNA pyrosequencing) India Intel (Ajay Bhatt for USB) Switzerland (Martin Schadt for LCD technology $100bn industry ); lifetime achievement

11 TODAY AND FUTURE OF TECH TRANSFER BUSINESS IN TURKEY... Managing expectations in simpler terms we need better impact analysis and success metrics aligned with the maturity of market, businesses prioritizing innovation and global targets for commercializing technologies 2011 US: 1.5 billion USD in royalties Product sales based on the royalty generating tech was avg 80 billion USD > economic impact 2011 R&D spending 405 billion USD Licensing return > 0.37% Everything else being equal /and it is not/ 2011 TR: 6.9 billion USD in R&D spending > 25.5 million USD in licensing revenue (what is the cumulative target of 1513 applicant institutions?, what is the OC for 10 TTOs /year? 2 million USD for SU alone!) Not to mention technology quality and IP strength Global Innovation Index (34.1/100); TR below or at par with Greece, Uruguay, Mongolia, Armenia, Bosnia, Namibia

12 Turkey 2023 metrics R&D GDP culture %4... Tech transfer structures % 3 R%D GDP 0.84 Turkey 2013 % 2 quality Private R&D 0.36 FTE Res

13 6/6/13 Innovation Barometer 2013 Innovation remains top business priority globally, but leaders conflicted as to best path forward Light at the end of the tunnel Initial metrics focus on? Building a vibrant ecosystem Building a sound portfolio strategy 91% e their company should improve existing products or services to boost future performance. report that innovation is a strategic priority for their company* Turkey: 50% Turkey: 60% Agree that coming up with new business models is important for a company to innovate successfully. Turkey: 79% Turkey: 84% But 30% challenge the benefits of innovation on local economies believing that the increased competition and accelerated pace of technological advancement has a negative impact** Agree that understanding customers and anticipating market evolutions is key for successful innovation. 6 * Businesses in Vietnam, Nigeria, Canada, China and Brazil most likely to consider innovation a very high priority Turkey: 93% ** Businesses in Turkey, India, UAE, Malaysia and Mexico most likely to claim innovation has a negative impact PROJECT CONTENT COUNTRY REPORTS Download t he GE Global Innovat ion Baromet er 2013 Count ry Report s. These report s capt ure t he result s of t he survey perf ormed in each of t he 25 market s. January 31, 2013 Roy Green: Improving Aust ralia s Product ivit y Perf ormance GLOBAL COMPETITIVENESS Perspectives By Roy Green As our terms of trade slip back with the leveling off in commodity prices, it is increasingly recognized that Australia must Read More RESOURCES 2/4

14 6/6/13 Innovation Barometer 2013 About Instructions Model Approach Policy Innovation remains top business priority globally, but leaders conflicted People Within the context of today s low- growth, Resource- constrained Innovation remains world, business model innovation top is gaining momentum. priority globally, but leaders conflicted Customer needs and market insights are rapidly shifting. As innovators adapt to this new reality, traditional business models are being disrupted in order to unlock new growth opportunities. as to Region best path forward as to best path forward 6 Topics How We Compare World Developed Emerging BRIC MIST Western Europe Middle East Country Vietnam tes Rankings ON 91% Agree their company should focus on developing new business models to boost future performance. 91% report that innovation is a strategic priority for their company* report that innovation is a strategic priority for their company* OFF Model: Moving beyond product innovation Agree the development of new business models contribute most to company performance. * Businesses in Vietnam, Nigeria, Canada, China and Brazil most likely to consider innovation a very high priority Turkey: 50% Turkey: 60% Agree their company should improve existing products or services to boost future performance. Agree that coming up with new business models is important for a company to innovate successfully. Agree that understanding customers and anticipating market evolutions is key for successful innovation. Turkey: 79% Turkey: 84% Turkey: 93% But But 30% challenge the benefits 30% challenge the benefits of innovation on local economies believing that the increased competition and accelerated of innovation on local pace of technological economies believing that advancement has a the increased competition negative impact** and accelerated pace of technological advancement has a ** Businesses in Turkey, India, UAE, Malaysia and Mexico most likely to claim innovation has a negative impact negative impact** 6 PROJECT CONTENT * Businesses in Vietnam, Nigeria, Canada, China and Brazil most likely to consider January 31, 2013 innovation a very high priority Roy Green: Improving Aust ralia s Product ivit y Perf ormance GLOBAL COMPETITIVENESS Perspectives By Roy Green ** Businesses in Turkey, India, UAE, Malaysia and Mexico most likely to claim innovation has a negative impact Paradoxical? RESOURCES Message for TTO s: market place maturity and growth may be slow Interesting market dynamics; tailored solutions (regional, political..) As our terms of trade slip back with the leveling off in commodity prices, it is increasingly recognized that Australia must Read More COUNTRY REPORTS Download t he GE Global Innovat ion Baromet er 2013 Count ry Report s. These report s capt ure t he result s of t he survey perf ormed in each of t he 25 market s. 2/4

15 A Natural emergence of peripheral industries Valuation FtO analysis / landscaping IP as financial tools; dept / collateral financing IP based M&A transactions Enforcement and Litigation as a monetization tool Patent trolls; legislative structures for dealing with them. Technology commercialization and IP based transactions will result in new businesses OUTSIDE of TTOs. This is the BIG DATA/PICTURE of tech transfer Simply being able to license your single patent to a single party > soon no longer will be the ultimate target A TTO professional eventually needs to understand this environment

16 To sum up Tech transfer is not a profit-making business A robust tech transfer program requires sustainable investment (financially, politically) and visible support from top management and government It takes time (typically 8-10 yrs in mature markets) to build a portfolio and generate income even longer (two or more decades) before a TTO has an impact in regional economy TTOs must be established on an institutional policy & strategy perspective Conflicts of interest is inevitable ( there is no interest if there is no conflict, if I have interest, I have no conflict..) Manage it, see the forest not the trees! TT is talent based, it has to rely on the right scientific talent, it has to be managed professionally. Research (Scientific / Applied) RESEARCHER Invention (Commercialization) TTO 1513 provides a great opportunity. With a global outlook we must attain and exceed that structure Thank you SPR TTO.. Inventor Researcher Lab