Elif KOŞOK TÜBİTAK TEYDEB Venture Capital Funding Group Executive Board Coordinator

Pillars of Further Improvement Mission Oriented Approaches Enhanced Interaction in the Ecosystem Support to Frontier Research Enhancing Skilled HR Technology Based Start-ups & Innovation Interfaces Focussed International Cooperation Inclusive, Transparent and Flexible Strategies

Entrepreneurial Discovery Enabled by Technology Based Start-ups Start-ups are source of creative thoughts and endeavour required to turn possibility for distruptive technological innovations into reality. Implementation Institutions Technology Based SME/Start-up Ecosystem TtO Individual Young EntrepreneursSupport Program (1512) Mentorship Services Technology development zone Individual Entrepreneur SME Finance ins. Private sector New Tech-Based Start-ups (2017): 402 SME R&D Support Program (1507) Mentor Pool (1325 experts) Mentorship Services: Strategic tech/product management (271) Advanced engineering design (143) SME business development (627) Business development for technology based start-ups (386) Horizon2020 (19) Mentorship Services Young TTOs Experienced TTOs TTO Support Program (1513) Establishment Support: Currently 17 TTOs Coaching TTOs: Currently 25 TTOs (4 in TDZs) (10 in TDZs) Mentoring Mechanism Development Call Mentor Training Call Establishment, and Capacity Building of TTOs Capacity Building Support Program (1601)

Technology Transfer Offices Support Program (TUBITAK 1513) Improvement Points After Evaluation of 5 Years of Implementation Incomes from licensing and commercialization activities of TTO’s are limited: Majority of the TTO’s incomes come from the services offerred for scientific research projects and university-industry collaboration projects. Financial and self-sustainability of TTOs are low. Differentiation in host university competency levels affect the affiliated TTOs: Universities differentiate in research capabilities, IPR Management and economic value creation. These differences highly reflect on TTOs, resulting in differentiation in performances among TTOs. Performances are not taken into account in funding: Financial support ratio for TTOs is constant and does not consider performance increase or decrease.

Technology Transfer Offices Support Program (TUBITAK 1513) Effective Transfer of Technologies to Industry -Mission and Performance Based Support System- 1.Phase 2.Phase Same performance indicator set Different targets regarding TTOs’ features Different weights for boosting different improvement areas For every TTO: Institutional Capacity Development Mission Oriented Growth 80% support ratio 40% - 80% support ratio based on TTO’s performance score 5 year support for every phase Determined transition progress between phases Panel assessment On-site visits of at least two GYK members to TTOs that are above the threshold set by GYK Expected Impact: A support method monitored by targets in line with national R&D and innovation strategies A dynamic structure that evolves with cooperation and learning, updated with regular feedback Determination and dissemination of good practices of TTOs via performance assessment Flexibility in budgeting and spending

Patent Support Program (TUBITAK 1602) The objective is to increase the number of patent applications, and number of granted patents. Both national and international patent applications are supported. Application fee, Research report fee, Examine fee, Granted patent reward National Patent Application Attorney Support

Patent Support Program (TUBITAK 1602) Progress in 2017 4.703 National Patent Applications Supported (%55 of the TR addressed National Patent Applications to TurkPatent) ~2,4 Million TL Funded for National Applications 796 PCT Applications (%66 of the Total International Patent Applications) 6 Million TL Funded for International Applications 1a) Number of national patent applications in 2017: 19.283 (source: TÜRKPATENT) 1b) Number of TR adressed national patent applications in 2017: 8.625 (source: TÜRKPATENT) 2) Number of PCT applications in 2017: 1.208 (source: WIPO) 6 Milyon TL (1.056.000 CHF) Funded for International Applications

Main Duties of University Education 1 Research 2 Technogy Transfer 3

Technology-Based Initiatives’ Ecosystem University Technopark Technology Transfer Office Research Centers Funds

Deficiencies in Ecosystem Deficiency of Capital Accumulation Lack of Experience on VC

Technology Based Early Stage Entrepreneurship Sustainable venture capital ecosystem for technology-based early stage entrepreneurship is activated. Startup Growth Maturation Technology-Based Early Stage Entrepreneurship Support Venture Capital Fund * Undersecretary of Treasury TTO/TDZ/RI (LP) Other Investors (LPs) Technology Based Initial and Early Stage Initiatives 1 Technology Based Initial and Early Stage Initiatives 2 TÜBİTAK Venture Capital Fund Model Added Value: Increase the amount of funding for early stage entrepreneurship with high risk Increase the accumulation of know-how on IP valuation and commercialization experience on TDZs, TTOs and RIs in the medium and long term. Faster and easier commercialization of R&D results Increasing Number of Players in Venture Capital Ecosystem Establishment of Specialized Venture Capital Funds of TDZs, TTOs and RIs in medium / long term «Open to Investors from Abroad» 11

Conditions of TÜBİTAK Grant Capital Accumulation Condition After the fund’s exit from the investments, TUBITAK grants will be accumulated in TTO, TDZ, RIs and will be used in the funding of early stage technology-based initiatives. Experience Accumulation Condition It is aimed to transfer experience from Funds to TTO, TDZ, RIs. At least one representative from TTO, TDZ, RIs will be involved in at least 3 due diligence studies each year, and they will get experience on company valuation, legal transactions, commercialization etc. about fund management. These experiences are expected to be transferred to the ecosystem.

Features of Funds Funds will be managed and decided independently Funds will invest in early stage technology-based ventures in Turkey University research, spin-off and start-up investments as well as the commercialization of R & D activities and innovation will be financed Fund term will be 12 years, the investment period of the first 5 years

Minimum 2 Million TL Maximum 20 Million TL Maximum 100 Million TL Grant Amount Minimum 2 Million TL Maximum 20 Million TL The amount of grant support that TÜBİTAK can allocate to each institution within the scope of the call Maximum 100 Million TL The amount of grant support that TÜBİTAK can allocate to all institutions within the scope of the call

Application and Evaluation Process Treasury's Decision to Participate in Funds Call, evaluation and participation decision for funds Panel Evaluation 1. Technological and/or technical competence (quality and appropriateness of processes developed by TTO/TDZ/RIs for the success of the project) 2. Feasibility (eligibility of TTO/TDZ/RIs to be supported and the structure of the Fund) 3. Impact (Institutional Capacity Building and Sustainability) Simultaneous TÜBİTAK Support Contract with TTO/TDZ/RI and Participation Agreement between Treasury and funds A support contract is signed between the TÜBİTAK- approved TTO/TDZ/RIs and the participation contract is signed between the Treasury and the Funds. TÜBİTAK Conditional Support Decision The conditional support decision on TTO/TDZ/Rıs that will participate to Funds is sent to Ministry of Treasury and Finance Joint Project Application- Application Deadline 30.09.2018 TTO/TDZ/RIs apply for a joint grant support. Call Announcement 14.06.2018

Thanks for your attention... Elif KOŞOK TÜBİTAK TEYDEB Venture Capital Funding Group Executive Board Coordinator E-Mail: elif.kosok@tubitak.gov.tr