Status Report on Foundation for Innovation and Technology Transfer (FITT)

1. Status Report onFoundation for Innovation and Technology Transfer (FITT) Prepared by Dr AK SENGUPTA MD, FITT, IIT Delhi February 2005

2. CONTENTS • FITT Charter, its Mission and Objective functions • Broad Range of Activities as an Autonomous Industry Interface Organisation of IIT Delhi • The Technology Business Incubation Unit (TBIU) Programme administered by FITT • Results and Concluding Comments

3. CHARTER

4. The FITT Charter Outlined in the following documents : • Report of the IIT Review Committee, 1986 • Concept papers on Foundation for Innovation and Technology Transfer, IIT Delhi, 1991 • Memorandum of Association and Regulation of FITT, 1992 • Other Directives from the Institute

5. Review Committee Recommendation (1986) An Industrial Foundation independent in its normal day to day functions may be set-up in each IIT. It should work as a commercial corporate body with its own budget and plan for marketing its research and consultancy capability The Foundation will • Engage in and bid for relevant research in Industry • Cooperate with R&D organisations in Industry and Govt. Deptts. • Act as a clearing house for consultancy services for industry problem • Assist in Continuing Education Programme. BOG approved setting up of FITT in 1991 FITT was registered as a Society w.e.f. 9-7-1992

6. Concept Paper & MoA(1992) • FITT to be set up as an autonomous technology development interface closely linked with the Institute with a view to achieving a quantum jump in interaction with industry without compromising its primary goals and objectives. • FITT will adopt an industrial culture and ethos in its functioning • FITT will use IIT Delhi (expertise and infrastructure) as its primary resource base • FITT will have a minimum of own fixed assets and a minimum number core professional staff. • Financially FITT will be independent of IIT Delhi and will not pass on its financial liabilities to the Institute.

7. Key Terms of Reference for FITT (Ref.Concept Paper) • To add commercial value to academic knowledge and to market the intellectual and infrastructure resources of IIT Delhi for national development • To promote, foster and engage in goal oriented research and development and undertake cooperative progammes with industry. • To motivate IIT Delhi faculty to undertake market/product oriented problem solving.

8. MISSION OF FITT To be an effective interface with the industry to foster, promote and sustain commercialization of S&T in the Institute for mutual benefits. OBJECTIVES OF FITT • To proactively market the intellectual ware of IIT Delhi to industry. • To offer a flexible mechanism and a single window service to the industry clients for making use of the expertise and infrastructure of the institute and capabilities/technologies developed at the institute. • To provide (to the faculty) an effective interface with industry, a congenial platform and a facilitative environment for collaborative work assignments. • To augment IIT Delhi’s resource generation efforts.

9. THE FORMATIVE PERIOD AND BEYOND • FITT was formally initiated in 1992 with Prof. R.C. Malhotra the then Deputy Director of IIT Delhi appointed as the first Managing Director • The Organizational Set-up was taken up in 1993 with manpower recruitment, establishing an office, completion of legal formalities. Dr.A.K.Sengupta joins as the first Full Time MD • MHRD Corpus Fund received in 1992 and 1993 • Registration as SIRO in 1995

10. THE ETHOS OF FITT • FITT has two sets of Customers • Academic Members of Staff • Industry and other clients • It is an organisation that provides a Platform of Facilitative, Flexible, Friendly and Focused environment for fruitful mutual interaction between the Institute faculty members and the external world, particularly the Industry at large • The relationship between the Faculty and FITT is based on • Mutual trust and good faith • Empowerment for implementation • Cooperation, support and concern for each other

11. FITT FunctionsVis-a-Vis the Faculty Members of IIT Delhi • Pre-Program Stage • Marketing of IITD expertise to Externals • Connecting faculty with industry • Assistance in Formulation of Proposals • Negotiation of terms of agreements • Drafting of Contract • During Program Execution • Provide Logistical Support to PI/CI Communication  Purchase  Import  Tax exemptions/concession  Legal issues  Other administrative support • Financial Management • Invoicing, Book Keeping • Disbursal of payment • Monitoring, Review & Interaction with clients • Post-Project stage • Dissemination of information • Assist on IPR matters

12. Key Objective Functions of FITT • Research partnership and problem solving innovative assignments with industry • Technology Transfer and IPR Support to the Faculty • Technology Incubation Programs for students and faculty • Customised Training and Technology Update Programs for Industry in knowledge based value added application areas • Identification and Consolidation of Database on Technologies developed in the Institute • Proactive linkage with Industry for collecting market information on technology environment • Creating awareness amongst the faculty for intervention and collaboration with industry.

13. ACTIVITIES

14. Marketing of IIT Delhi as a source of Technology Expertise • Establishing contact with industries and industry associations • Membership of Prominent Industry Associations • Industry-Academia meets - in Dec 1994 jointly with Confederation of Indian Industries (CII) - in March 1999 with Dep of S&T (GoI) and FICCI - in 2002, 2003 and 2005 along with IITD Alumni Association • Participating in Industry Exhibitions (More than nine so far) • Selective dissemination of FITT through features in Newspapers, Magazines , TV, own Newsletter etc • Close links with Venture Capital Systems • Visiting Industries with Faculty Team

15. BROAD RANGE OF ACTIVITIES • Dissemination of IITD/FITT mission and programmes • Technology Transfer/ Development Projects (89 nos. at a gross value of Rs. 707 lakhs upto 31.01.05) • Administering the TBIU program of the Institute - 14 companies admitted residency so far (upto 1/2/05) - 6 companies/unit presently under incubation having following mix - 4 faculty-student led company - 1 company involving a faculty as a promoter - 1 unit having a faculty as the R&D Mentor • Managing Industrial Problem-Solving assignments of IITD Faculty - 1311 projects contractd upto 31.01.05 at a gross value of Rs. 1584 lakhs

16. BROAD RANGE OF ACTIVITIES(Contd.) • Managing Special Custom Designed HRD Courses for Industry - 206 nos. at a gross value of Rs. 687 lakhs upto 31.1.2005 • Facilitation for IPR Safeguarding of IITD Faculty - More than 150 IPR applications, including for 110 patents • Marketing of Educational Video Programs - Turnover of the order of Rs. 10 m • Publication of Technology Compendiums of IIT Delhi • Facilitate implementation of special International Projects ( namely EU financed programs) • Corporate Membership and Info Support Services

17. Financial Highlights of FITT upto 31.03.2004 • Corpus fund provided by MHRD in 1992-93 Rs 16.2 millions Estimated Corpus( + reserves & surplus) as on 31.03.2004 Rs 35.4 millions • Cash Transfer to IIT Delhi, out of project operations in FITT upto 31.03.2004 Rs. 23.0 millions • Augmentation of assets in IIT Delhi Rs. 32.0 millions • Funds spent / committed for TBIU Rs. 5.47 millions • Funds generated for R&D Promotion Rs. 18.6 millions Operational surplus is being ploughed into the Institute for - Creating / Augmenting Specialised Labs./Equipment - Commissioning of Awards for industry relevant projects at PG level - Developmental Support/ Seed Funding

18. TBIU Programme

19. Technology Business Incubation Unit(TBIU) Program at IIT Delhi • Put in place in June 2000 by IIT Delhi under the administration of FITT • Provides infrastructure on campus for a limited duration to facilitate research and Development to convert nascent Technological Ideas into Commercial entities • Open to: • new entrepreneurs (faculty, students, alumni, scientists) • start-ups • corporate research units • FITT provides support services including Seed funding • Currently there are 6 Resident Incubatee Units including four faculty-student led companies • Tie up for funding with DST, MICT and VCCs • An IIT Delhi based Incubation Fund is being set up

20. Incubation of Student- Faculty led start-ups • Ultimate goal: • Transition into a “business”, developing and marketing products and services • Be acquired by an existing company • Sell or license technology • and fold up, or take to contract research • Stake holders: • Graduate Students, VCs/angels, IIT and faculty have equity • IIT’s role through FITT : • Encourage and facilitate students, faculty • Seek and facilitate VC funds • Provide all infrastructure and support services

21. Two Currently Resident TBI Units in IIT Delhi • Kritikal Solutions Pvt Ltd* Embedded Systems, Adhoc Networks, Computer Vision Student-Faculty led Technology Start-up ( Mentor: Prof BN Jain & 4 other Faculty members) Started September 2002 • VirtualWire Technologies Ltd* Wireless Applications, DSP, Cryptography Student Faculty led Technology Start-up (Mentor: Prof S Prasad & Dr Ranjan Bose) Started July 2003 * Seed Support from FITT

22. Other Technolgy Start-ups Currently Resident in TBIU

23. Recent Developments in TBIU • Sourcing of Funds - DIT of MICT has sanctioned Rs 8.0 Million over a two year period to support seed funding of Start-up ventures in IT/ITES - DST has sanctioned Rs 1.5 Million to support incubatee start-ups. • Networking with Investment Company -MOU signed with the Indian arm of M/s Beacon Ventureast Global Fund (a US based VCF) to support incubatee start-ups with either or both seed capital and VC and link up with its portfolio companies and US universities for Business and Technology collaboration • MOU signed with the Centre for Innovation and Incubation of Enterprises (CIIE) at the Indian Institute of Management Ahmedabad • Establishing an INCUBATION FUND in IITD/FITT - A dedicated fund is proposed with all grants /receipts / income due to TBIU activities in IIT Delhi

24. Summary of Results till 31.01.2005 • 89Technology Transfer Agreement signed • More than 150 IPR application processed (including 110 patent ) • Information support services provided to corporate members ( nos 100), faculty and students. • Corpus grew from Rs.16.2 m in 1993 to Rs.36m in 2005 • Value of Projects contracted and managed by FITT : Rs 0.5 m in 1993-94 Rs 48 m in 2002-03 • Proactive efforts by FITT contributed to the growth of external projects in IITD (from Rs.65 m in ‘93 to Rs.400 m in 2002) • Marketed educational video programmes (> Rs.8.5 m) • Self-sustainable in terms of meeting own admin expenditure • Administering the Institutes TBIU Programme since 2000 • Instituted FITT Awards of Excellence for Best Industry relevant UG and PG projects • Augmenting facilities in a number of High-Tech Laboratories ( worth more than Rs 10 million) • Fund and Asset Transfers to IIT Delhi from FITT in last Five Years : worth more than Rs 65m

25. Concluding Comments • Many Technical Universities and Academic Institutions (eg IITs) in India are reservoirs of Knowledge , Expertiseand enthusiasm among the faculty members and students. • It is time the Industry at large in India develop effective interactive relationship with the Academia with a view to enhancing technological capability for competitive advantage. • Academic Institutions have to transform into Knowledge Enterprises without sacrificing their core values while Industry has to shed many inhibitions to share resources without compromising on their business interests and ethics. • IIT Delhi has in the last decade or so adopted policies that have ingredients to make it a vibrant Knowledge Enterprise • The TBIU program at IIT Delhi is aimed at promoting Entrepreneurship among students and faculty and creating successful Technology Business Enterprises of future

26. Thanks for Kind Attention Visit us at Our Web Site www.fitt-iitd.org or email sengupta@fitt.iitd.ernet.in