1. The Industry-University Cooperative Research Program ( IUCRP ) University of California 1996 – 2010 Lovell Jarvis University of California, Davis

2. Introduction The University of California (UC) has long recognized the value of encouraging and facilitating the development of intellectual property by its faculty, staff and students. To further encourage the development of intellectual property, UC implemented a new initiative in 1996. The Industry-University Cooperative Research Program (IUCRP), provided incentives for UC researchers and California industry to collaborate directly in the development of knowledge and its subsequent commercial application.

3. Purposes: Change attitudes – induce researchers to think how to commercialize scientific and technological advances Working with industry is academically and socially beneficial Industry financed research can be of the highest scientific standard Encourage industry to look to academics to help solve important practical problems

4. The IURCP lasted 13 years and successfully: Increased UC research Created new ties with California industry Increased California output and employment Trained graduate students, and Altered how many in UC thought about its role in society.

5. The experience has relevance for Chile, which also wants to: Increase research of tangible application Link its universities and industries in collaborative enterprise.

6. The State of California and UC offered matching funds through a competitive process to researchers and firms who presented a joint project for funding. Projects ranged from about $25,000 to $6 million, and involved small start-ups with only a few employees and a single UC researcher and also consortia of major US corporations who participated with a large number of UC researchers. Proposals were accepted for research in 8 high tech disciplinary areas. Research proposals had to include at least one UC researcher and one California firm. Funding could be requested for one to three years.

7. Initially, UC Discovery Grants supported research in five fields of science and engineering: Biotechnology Telecommunications, Digital Media, Electronics Manufacturing and Information Technology for Life Science. In 2006, three new multidisciplinary fields were included, substantially expanding the areas supported: Energy, Health and Wellness and Nanotechnology

8. The IUCRP program budget grew to $20 million in matching funds annually, with $17 million from the State of California and $3 million from UC. On average, every dollar invested by IUCRP in UC research attracted $1.41 in industry matching funds. All of the funding, IUCRP and industry, increased UC research. Thus, funding increased UC research expenditures, but more importantly created valuable interactions between UC researchers, their students and California industry.

10. The IUCRP had three competitive funding programs: 1)By far the most important, UC Discovery Grants included IUCRP and industry funding and were awarded to UC researchers. From Fiscal Year 1996-97 through 2007-08, the program funded 945 projects involving more than 850 UC researchers and 1,500 students and postdocs. The grants attracted 513 industry sponsors (including 60 startups. Roughly 1/3 of the grants each year involved industry sponsors that had not previously participated)

11. These Discovery Grant awards resulted in: $148 million IUCRP funds invested $208 million industry matching funds invested. $356 million total invested in UC research All of the intellectual property created by this research was owned by the University of California, but then could be licensed to firms

12. Opportunity Awards were smaller awards, solicited year round, and provided to UC researchers to organize conferences and symposia (up to $15,000 per event) to promote dialogue between university and industry communities. Match-Making. IUCRP supported 233 such conferences on UC campuses. UC Discovery Fellowships sought to create a professional cadre to provide leadership and serve as change agents to advance the industry-university interface. 32 fellowships were granted to support Fellows who were placed on every UC campus.

13. Proposals were evaluated by senior faculty panels chosen as experts in the specific area of the proposals. Conflicts of interest were strictly avoided: members of one campus could not judge proposals from their campus, etc. Proposals were ranked numerically on multiple criteria. A separate panel of faculty determined the cut-off for funding for each type of project, working with a representative from each of the initial panels and program administrators. About 50% of projects funded.

14. Policy for the IUCRP was determined by the IUCRP Steering Committee, which was composed of high ranking faculty, administrators, and specialized staff from UC. Day to day direction of the IUCRP was handled by an Executive Director and a professional staff. Each campus also had an IUCRP representative who facilitated coordination with campus activity, including funding disbursements.

15. As the program evolved, the IUCRP Steering Committee became the principal body developing policy regarding general industry-university relationships and interactions. Thus, when the State Governor decided to create five Institutes of Science and Technology (Cal ISIs) Institutes across UC campuses, policy for implementing their selection and creation was developed by the IUCRP Steering Committee.

16. President’s Board on Science and Innovation. The IUCRP managed the Board on Science and Innovation that consisted of top California industry CEOs and leaders who met three times per year to advise the UC President on matters crucial to the University’s relationship with California industry and the State at large. The President also relied on Board members to help lobby Legislators regarding UC research issues.

17. Economic impact research. The IUCRP Economic Research Team analyzed the program’s economic contributions to California from UC Discovery Grants and postgraduate education. Very difficult undertaking. Small within California economy. Hard to trace impact.

18. Committee thinking evolved on policy re intellectual property and how UC could benefit from interactions with Industry. Emphasis shifted away from focus on obtaining continuing revenue to UC from licensing. Still desirable, but not thought to be major. Emphasis placed on value of exchange of ideas, and providing graduate students with access to knowledge about industry. Encourage faculty to think about commercial (practical) value of research.

19. Sought long term mutually –beneficial relationships Hoped that such relationships, especially if with UC faculty- entrepreneurs, might lead to large Industry donations from successful enterprises in long term. IUCRP also encouraged UC to become growth agent for State of California, raising incomes and employment. IUCRP lasted 14 years and ended only when the 2008 economic recession and ensuring budget crisis in California eliminated the availability of funding. Was it successful? Yes.