Since 1992, the University’s Office of Technology Transfer has earned $1.2 million from new inventions and discoveries made by University faculty and staff, illustrating that higher education can impact today’s economy.
The technology office, established in 1992, assists outside industries with developing University inventions by helping to secure patents and licensing agreements and to facilitate the development of startup companies based on the University’s inventions. Licensing income has increased from $50,000 in 1992 to more than $300,000 today, and that income, along with patent costs, has launched the office past the $1 million mark.
“As inventions and discoveries are made at the University, we don’t want them to stay within the walls,” said Don Gerhart, the director of the Office of Technology Transfer. “We want them to move forward in application and benefit others.”
The office has worked with inventions that include new designs for loft beds and optical networking devices, and discoveries involving developments in stroke treatment technology, he said.
Gerhart said everyone involved in the invention process benefits from the money earned by the new products and research discoveries.
“It’s almost like recycling,” he said. “The inventions are created here, go into application, and the University gets money back.”
Gerhart said when an outside manufacturer buys the license agreement to an invention, the earned money is split among the inventor, the inventor’s department and the University.
He said the Office of Technology Transfer depends on the University for financial support because it usually takes five to 10 years for a manufacturer to develop a product for the open market, so money is not made right away.
The Office of Technology Transfer didn’t experience a large jump in income until recently, when several products finally reached the market.
“I think we’ll see the growth we’ve seen in recent years continue,” said Richard Linton, vice provost for research and dean of the graduate school.
Companies interested in University-developed products must also promise to pay a license agreement. Over the years the number of agreements has grown, so the return potential for the University has grown too, Gerhart said.
Linton said the ultimate goal for the office and for University research in general is to develop more entrepreneurial opportunities for the faculty. The funds to support this come from two sources.
He said licensing agreements from the Office of Technology Transfer contribute $250,000 to $300,000 annually for additional research opportunities, and competitive grants and external agencies such as the National Institute of Health provide $60 million annually for sponsored programs.
“It is my goal to invest the money back into further development for faculty research,” Linton said.
Gerhart said he is not worried about a possible economic downturn because it will have little effect on future research opportunities. “Invention and discovery happens when it happens, not just in economic good times,” he said.
Gerhart said entrepreneurial activity can sometimes pick up during slow economic periods or recessions, because people are more open to new ventures when existing business opportunities aren’t stable.
“You often see startup activity increase if people begin to lose their jobs, because they want to start over,” he said.
Gordon Melby, maintenance supervisor for University Housing, invented a mobile loft bed designed to work primarily in University residence hall rooms. He said he worked with the Office of Technology Transfer to establish a patent, and because they found a manufacturer for the product, the bed was on the market for a few years.
Melby said the first manufacturer went out of business, and he is currently looking for another company to develop and market his invention. He said he is not working on any additional designs right now, but it is good to know the office is there.
“I think it’s true of everyone here. We rely on the office to take care of a lot of our up-front costs,” he said.