Entrepreneurship & Innovation Club April 9th, 2009

Ontario Centres of Excellence Accelerating the Commercialization of Innovation Further development of IP Supports: Prototype development & assessment Technology and Market Assessment IP Protection Demonstration, characterization Business plan Development New Company Start up

Diffusion of knowledge Transformation of knowledge Innovation Diffusion of knowledge Transformation of knowledge Value (Outcomes) Use of knowledge Creation of knowledge A process of Creation Diffusion Transformation Use of knowledge to create Value A process through which value is created through Creation Diffusion Transformation of knowledge to produce new and improved products or processes that are put to use by society.

International Innovation Index To rank the countries, the study measured both innovation inputs and outputs. Innovation inputs included government and fiscal policy, education policy and the innovation environment. Outputs included patents, technology transfer, and other R&D results; business performance, such as labor productivity and total shareholder returns; and the impact of innovation on business migration and economic growth. Source: Boston Consulting Group, National Association of Manufacturers, Manufacturing Institute – 2009 study

Canada - Innovation in Health Strong in … Public R&D funding vs. US and Europe IP protection system Research publication rate - well respected research But ….Below average in … Domestic & foreign private R&D investment Invention disclosures, patent applications and licenses Producing graduates with advanced research qualifications Collaboration among academia and business Source: The Conference Board of Canada – Exploring Technology Innovation in Health Systems, August 2007

Health Related Graduates Graduates with Advanced Research Qualifications in Health-Related Sectors (per million capita) Source: The Conference Board of Canada – Exploring Technology Innovation in Health Systems, August 2007

Conference Board Conclusions Increased government investments have expanded research capacity Industry participation remains well below the average of leading OECD countries Increased business participation and stronger academic-industry collaborations are necessary More research tied to market demand, greater commercialization, and increased competitiveness Source: The Conference Board of Canada – Exploring Technology Innovation in Health Systems, August 2007

Innovation Process and OCE Diffusion of knowledge Transformation of knowledge Value (Outcomes) Use of knowledge Creation of knowledge Diffusion of knowledge Transformation of knowledge Value (Outcomes) Use of knowledge Creation of knowledge Creation Diffusion Transformation Use OCE Research Commercialization Talent Programs Support and Accelerate Commercialization of Innovation

Ontario Centres of Excellence (OCE) Inc. Who We Are Non-for-profit organization– supported by MRI Leading driver of research commercialization Improve Ontario competitiveness through innovation Bridging the gap between academic research and the marketplace since 1987 Offices across Ontario Where Next Happens Ottawa, Toronto, Mississauga, Waterloo, London, Kingston, Sudbury

Ontario Centres of Excellence (OCE) Inc. What We Do Promote economic prosperity of Ontario through: Market-driven research Commercialization of technology Training of highly qualified personnel Manage connections and build networks Partner with: Industry / universities / colleges / research hospitals / government Ensure successful transfer of innovative technology and people to Ontario businesses Develop Innovators

Ontario Centres of Excellence (OCE) Inc. How We Do It Programs are delivered through five Centres Communications and information technology Earth and environmental technologies Energy Materials and manufacturing Photonics

OCE Centres Communications & Information Technology Communication Digital Media Hardware & Software Health & Medicine Education Security …… Photonics Telecom & Optoelectronics Biophotonics & Biomedical Instrumentation & Sensors Optics & Optical fibers Lighting / Entertainment Lasers Defense / Automotive / Machining Imaging & Displays Automation & Robotics ….. Energy Energy Markets Market Dynamics Human Response Emerging Energy Energy Systems ….. Materials Materials & Manufacturing Automotive Chemical Polymers Nanotechnology Metals Biomedical Manufacturing Processes ….. Earth Earth & Environmental Clean Water Technologies Sustainable Energy Solutions Sustainable Infrastructure Resource Management Sustainable Agriculture & Agri-Food …..

Delivering Results: 2007 - 2008 OCE invested $24 million in research Leveraged $36 million investment from industry partners 598 active Research Projects Engaged 720 PI’s and 3000 researchers and students Helped 1,337 people move into positions outside academia Created 43 new technology licenses Launched 38 start-up companies, bringing the total number of OCE-initiated companies to 122! These companies attracted $450 million in capital investments

OCE Programs Network Innovate Research Accelerate Cultivate Commercialization Cultivate Talent What We Do Promote economic prosperity of Ontario through: Market-driven research Commercialization of technology Training of highly qualified personnel Manage connections and build networks Partner with: Industry / universities / colleges / research hospitals / government Ensure successful transfer of innovative technology and people to Ontario businesses Develop Innovators Interact Interlink (tbd) Champions of Innovation Collaborative Research Market Readiness Martin Walmsley Fellowship Investment Acceleration Fund Centre for Commercialization Connections International Scholarships Conference Travel Awards Value-Added Personnel First Job

Research Programs Interact New Industry-Academia relationships OCE funds to a maximum of $13,500 3 to 9 months duration Company funds according to size Approval by Centre Managing Director

Interlink (program not official yet) Research Programs Interlink (program not official yet) OCE funds to a maximum of $50,000 12 -15 months duration Company funds according to size Peer review of 2 academics and 2 industry Approval by Centre Managing Director

Champions of Innovation Research Programs Champions of Innovation Research to develop disruptive technology May lead to new market and/or company OCE funds up to $100,000 / year (typically $50,000) Up to 3 terms of 12 months Requires private sector endorsement Approval by (a) Primary Centre; (b) Peer review of 2 academics and 2 industry; (c) Centre advisory committee Typically 3 month process

Research Programs Collaborative OCE funds to a maximum of $200,000/year ($100k) Up to 3 years (2 years) Company funds minimum of 1:1 cash and in-kind Company funds cash according to size Peer review of 2 academics and 2 industry Centre advisory committee Typically 3 month process

Commercialization - Market Readiness Next stage of Commercialization Up to $200K to assist academic technology to bridge gaps to commercialization Further development of IP Supports: Prototype development & assessment Technology and Market Assessment IP Protection Demonstration, characterization Business plan Development New Company Start up Eligibility IP developed at Ontario college, university or research hospital Strength of technology Potential economic impact Revenue to Ontario Team Commercialization Likelihood of a successful outcome

Commercialization - IAF Investment Accelerator Fund Provide early stage investment of up to $500K Investments are made in the form of a convertible debenture Develop new technology and products and gain entrepreneurial know-how to take the idea to the marketplace Make them attractive prospects to follow-on investors.

OCE’s Centre for Commercialization of Research Marketing Workshops, seminars, events, awards Business Development Funding Market Readiness type funding Funding Opportunities Technology development Compliance: verification, testing and certification Intellectual property related Market Research 21

Talent Connections International Scholarships Conference Travel Award Final year undergraduate teams + Industry partner Project defined by industry but selected by team/academia OCE funds up to $3500 + Company funds same International Scholarships OCE funds up to $15,000 for 4 months abroad Conference Travel Award OCE students only OCE funds up to $2000 (competition 4 times per year) Value Added Personnel (VAP) program Complimentary courses to technical skills for Masters and PhDs First Job Masters or PhD OCE funds up to 80% of salary up to $40k unless start-up then $50k

Talent – VAP Value Added Personnel (VAP) program Complimentary courses to technical skills for students Business Development and Entrepreneurship Intellectual Property and Technology Transfer Market Strategy Strategic and Business Planning New Ventures Project Management Leadership Visual Presentation Skills Networking and Communication Business Etiquette

Ontario Centres of Excellence Accelerating the Commercialization of Innovation Further development of IP Supports: Prototype development & assessment Technology and Market Assessment IP Protection Demonstration, characterization Business plan Development New Company Start up

Thank You Merci