Technology Licensing

The ten UC campuses and three UC-managed Department of Energy Laboratories collectively account for over $4 billion annually in funded research, and generate more than 1500 new inventions each year. In FY2010, UC San Diego received over $1 billion in grants and contracts and generated over 400 innovations during the same period.

UC, in its licensing practice, can accommodate a range of licensing alternatives, including exclusive, non-exclusive, and Field of Use and other limited licenses, depending on the circumstances and industry sector. At one end of the spectrum are low-cost, non-exclusive licenses granted to companies that want to enter a market quickly and where intellectual property protection is less critical. At the other end of the spectrum is an exclusive license for a platform technology that was fully funded by public funds where intellectual property rights are paramount. UC technology transfer officers will work with potential licensees to establish terms that are fair and appropriate for the technology and the particular industry sector.

Licensees typically:

  • Reimburse UC for patent costs for licensed technology;
  • Ensure diligent commercialization of licensed technology according to a sound business plan;
  • Pay a license issuance fee (UC may take equity in small or start-up companies as part of this consideration);
  • Pay a royalty on net sales of licensed products; and
  • Accept provisions required by UC policy and California law.

In all of its agreements with industry, the University of California subscribes to eight general principles to ensure consistency, academic freedom, fairness in economic value for state assets, avoidance of harmful conflicts of interest, objective decision making, and protection of students involved in industry relationships.

Licensing Intellectual Property from Universities to Industry (Angel Investor News)