Opportunity Landscape: The World of Technology Transfer
The United States Government, universities and private and public enterprises spend billions of dollars annually in the research and development of technologies focused on solving major productivity issues and complex world problems. These technologies are sometimes potential “game changers” in that they could completely redefine market perception of (or demand for) a particular product, service or approach to business. However, many of these brilliant innovations never make it to the marketplace as a result of inefficiencies in the process of moving them through the system of commercialization.
The actual process of pulling technologies out of the environs of academia or the R&D labs of government or industry has been defined as “technology transfer” – and there are whole departments in larger organizations that have been charged with the specific task of finding commercialization partners to move noteworthy technologies and services into commercial markets. . Surprisingly enough, though, even with those dedicated resources a huge number of promising technologies never leave the prototype stage as a result of a disconnect between those attempting to aid them in their quest for adoption and the harsh rigors of the real world of business, manufacturing, distribution, marketing and sales.
Some of the major points of disconnect include:
- Academics tend to develop technologies in the abstract, i.e., they solve an intellectually interesting problem without regard to actual commercial application. In contrast, tech-transfer offices and commercialization partners must identify concrete problems being solved, how much time or money is saved and/or how quality can be improved.
- Tech-transfer organizations do NOT operate with Profit as a motive and are influenced by factors which impair their ability to transfer and successfully commercialize technologies.
- The investment required to move many early stage technologies out of the R&D environment is simply too large for Angel Investors & conversely too small for real Venture Capitalists.