Improving the Opportunity by Adding Value

1. Improving the Opportunity by Adding Value Keith Gilchrist National Research Council National Institute for Nanotechnology Introduction to Technology Transfer

2. Adding Value • All about increasing the chance of commercialization • Reducing the risk taken on by the commercialization partner • Leads to • Greater number of agreements • Increased technology value at the time of the transaction • Higher value per agreement • License terms • Lifetime revenue • Chews up resources – reduces the number of technologies you can work on Introduction to Technology Transfer

3. 1) Protection: Turn IA into IP • IP Protection – secure exclusionary rights to create competitive entry barriers • Choose a strategy based on potential product(s) Introduction to Technology Transfer

4. R & D SPECTRUM Basic Research Applied Research Product/Process Development Commercial Introduction Refinement Demonstration University Strength and Interest Industry Strength and Interest GAP 90% Cost 10% Cost 2) Technology Maturation • 2a) Additional Research • 2b) Additional Development Introduction to Technology Transfer

5. 2a) Additional Research • Disclosure will often provide a possible technology solution in a specific context. • Further research tests the solution in other contexts. • What are the characteristics the product has to have? • Generate broader data to increase scope of patent claims. Introduction to Technology Transfer

6. 2b) Additional Development • Prototyping and beyond • Critical to have product development expertise / input • This effort is intended to increase confidence of potential partners / investors • GET POTENTIAL PARTNERS INVOLVED Introduction to Technology Transfer

7. Designing a Technology Maturation Program • View each project as an investment opportunity • make it competitive • Use objective ranking criteria • Use a high degree of project management and advisory input • Understand the sources of funds available: • Internal • Provincial / Federal Programs • AHFMR • NSERC I2I • CIHR POP • Make internal funds repayable Introduction to Technology Transfer

8. 3) Bundling Technology • Combine two or more technologies (and IP rights) to offer a bigger piece of the product puzzle. • Be clear on what you are looking for (new piece needs to be a solution for X). • Sources: • Internal • Researcher colleagues • TT Networks, service organizations • Companies • Who controls the bundled opportunity? Introduction to Technology Transfer

9. 4) Creating a New Company • Startup Profile: • Huge upside, multiple applications • Limited receptors for the technology • Cannot cross the funding chasm without risk capital • Requires an investment vehicle • An experienced management team needs to be available to package the opportunity • Neither simple, nor easy Introduction to Technology Transfer

10. 5) Prepare for Knowledge Transfer • Technology transfer is not just the agreement • How does the company ensure it can replicate the research team’s results? • Arrange for knowledge transfer opportunities • Increased chance of commercialization, speed to market Introduction to Technology Transfer

11. Summary: Adding Value • All about increasing the chance of commercialization • Reducing the risk taken on by the commercialization partner • Leads to • Greater number of agreements • Higher value per agreement • Understand the resources / extra prioritization required Introduction to Technology Transfer

12. Introduction to Technology Transfer