David V. Gibson

University spin-out companies: Technology start-ups from UT-Austin

Abstract This study assesses the factors that enhance and inhibit the formation and development of spin-out companies from the university. It presents empirical data from 23 technology-based spin-out companies from the University of Texas at Austin. The data are based on a survey questionnaire that assessed a range of factors, including the role of the university in company formation and development, reasons for start-up and major difficulties facing spin-out companies. Spin-out companies are defined in two ways: (1) the founder was a faculty member, staff member, or student who left the university to start a company or who started the company while still affiliated with the university; and/or (2) a technology or technology-based idea developed within the university. The companies in the study represent a range of technologies and tend to be growth oriented. Results of the study show that the University of Texas at Austin has traditionally played an important, albeit passive role in the formation and development of spin-out companies. Pull factors, such as recognition of a market opportunity, drive to try something new and desire to put theory into practice, are more important than push factors, or various forms of frustration with the university environment, in influencing the start-up of spin-out companies. However, institutional and behavioral changes indicate that the university is beginning to take a more proactive role in spin-out company formation and development. Among a variety of organizations, the university is considered the most important organizational influence on the spin-out company. The university is particularly important as a source of personnel and ideas in both the formation and development of the spin-out company. The university also plays an important role as a source of consultants and research expertise as the company grows. Major difficulties facing the spin-out company, such as raising capital, managing growth and penetrating new markets, revolve around business rather than technological concerns. The paper concludes with a number of implications for university policy if the university decides to take more of a proactive role in encouraging and supporting spin-out companies. A variety of institutional mechanisms and increased access to university resources are predicted to directly contribute to the formation and development of spin-out companies.

Key variables in technology transfer: A field-study based empirical analysis

Abstract Research and development (R&D) consortia represent a new organizational form which highlights barriers and clarifies solutions to efficient and timely technology transfer. Using interview, archival, and survey data collected on one of the nations oldest and most prominent R&D consortia, the MCC (Microelectronics and Computer Technology Corporation), this study refines and contributes to established technology transfer theory by suggesting that four variables—communication interactivity, cultural and geographical distance, technology equivocality, and personal motivation—are central to technology transfer processes within and between organizations. Research hypotheses are presented in terms of a Technology Transfer Grid which depicts different combinations and managerial implications of the four variables.

Creating the technopolis: High-technology development in Austin, Texas

Abstract New institutional alliances, driven by the rapid increase in and diversity of new technologies, are altering the strategy and tactics of economic development. As a result, communities across the world are seeking to create modern technopoleis or city-states that interactively link technology commercialization with public and private sectors to spur economic growth and diversification through high-technology company development. This paper develops the conceptual framework of a technopolis wheel from studying the dynamics of high-technology development and economic growth in Austin, Texas. It describes seven segments within the technopolis: the university, large technology companies, small technology companies, federal government, state government, local government and support groups. Empirical data, based on surveys, interviews, and archival sources, are presented to assess the role and impact of each segment on the emerging Austin technopolis. Analysis of this data demonstrates the role of the research university on spin-out company formation, the direct and indirect impacts of federal, state, and local government, the evolution of high-technology companies over time with a focus on major company relocations or foundings, and the establishment of indigenous high-technology companies. A case study of Tracor, Inc., the only home-grown, Fortune 500 company headquartered in Austin, demonstrates some of the key factors at work in the technopolis wheel. The paper points to new institutional relationships among the segments of the technopolis wheel. It emphasizes the role of influencers who provide leadership in each segment while networking the different segments to form new institutional alliances. Key findings of the study include the pivotal role of the research university, the need for continuity in governmental policies, the catalytic role of large technology companies, the importance of indigenous company development, and the need for consensus for the sustained development of the technopolis. Three important themes emerge in technopolis development, not only in the United States but also in Europe and Asia: the need for a coordinated approach to high-technology company development, the presence of a high-quality research university, and the importance of a network of influencers or “executive champions.” By focusing on the interaction among the seven segments of the technopolis wheel, we provide a conceptual framework for assessing the relative importance of government, academic, business, and public sectors in the high-technology economic development of a region.

Overview of US incubators and the case of the Austin Technology Incubator

Business incubators have a 25-year history in the US. Today, they number more than 800. Most are non-profit entities, many associated with universities. This article provides a general overview of business incubation in the US and provides a case study of the award-winning Austin Technology Incubator whose companies have generated over

Knowledge for Inclusive Development

1.4 billion in revenues and created some 3,000 jobs. The authors conclude that business incubators must accomplish five tasks well in order to succeed: establish clear metrics for success; provide entrepreneurial leadership; develop and deliver value-added services to member companies; develop a rational new-company selection process; and ensure that member companies gain access to necessary human and financial resources.

University spin-off companies : economic development, faculty entrepreneurs, and technology transfer

Abstract As the importance of knowledge creation and diffusion is increasingly recognized as a major driver of economic growth, questions are starting to emerge on how to establish the conditions that foster the process of knowledge sharing across countries at different levels of development. Under the broad designation of “knowledge for inclusive development,” these questions defined one of the strongest themes of the second International Conference on Technology Policy and Innovation (ICTPI), which was held in Lisbon, in August of 1998. While the idea of inclusive development entails a process of shared prosperity across the globe following local specific conditions, it is crucial to understand both the features of knowledge-induced growth in rich countries, as well as the challenges and opportunities for late-industrialized and less-developed countries. Thus, this special issue includes a set of extended contributions to the Lisbon conference that are largely grounded on empirical experiences of both developed and developing countries. The aim of this introductory paper is to set the stage for these contributions, with an original contribution on possible roles for science and technology policy in promoting inclusive development.

Characteristics of technology transfer in business ventures: the case of Daejeon, Korea

Explores the phenomenon of university-based research leading to business opportunities beyond academia, and attempts to offer a solution to the problem of launching academic ventures. The 14 contributors consider the pros and cons of spin-off ventures by way of several case studies.

Knowledge and technology transfer grid: empirical assessment

Abstract This article explores the characteristics of venture business and entrepreneurs in Korea to (1) identify technology transfer activities, (2) analyze the differences between technology transfer in linear and nonlinear venture businesses, and (3) guide more effective venture business policy and strategy. This empirical assessment reveals that entrepreneurs have insightful evaluations about their resources and capacities as well as expectations with regard to functions and features of science parks and incubators. Respondents from “linear model”-based start-ups tend to be older and have higher education, employ more basic research and development (R&D) and have more R&D-oriented careers, and have more varied work experience than “nonlinear”-based start-ups. The functions and features of science parks and incubators were generally not considered a critical influence on start-ups nor on the growth of venture businesses. Accordingly, alternative venture-nurturing strategies are discussed as being key to accelerate venture businesses growth.

The Emerging Importance of Knowledge for Development: Implications for Technology Policy and Innovation

Most current literature on knowledge and technology transfer (Appropriability Model, Dissemination Model, and Knowledge Utilization Model), provides models and descriptions of the processes of transfer, but these models are limited in terms of their application in contemporary high-tech industries since most studies do not provide plausible explanations on key behavioural factors affecting the transfer of knowledge and/or technology. Based on the literature, 16 research variables are identified as affecting the process and results of knowledge and technology transfer. Survey results indicate four key factors to accelerating knowledge and technology transfer: Communication, Distance, Equivocality, and Motivation. Data analyses show that there are four distinctive clusters that demonstrate contrasting characteristics in terms of these four factors. The careful mapping of the four clusters on the four factors indicates informative knowledge and technology transfer patterns. Finally, actions to increase communication interactivity and motivation, and to reduce cultural distance and equivocality are suggested.

Technology transfer in multi-organizational environments: the case of R&D consortia

Abstract What new roles for science and technology policy emerge in the knowledge-based economy we live in? This broad question was largely the motivation for the 1st International Conference on Technology Policy and Innovation (ICTPI), held in Macau in July 1997. Some of the important contributions to this conference are gathered in this special issue. The aim of this introductory article is to describe the background of current research in the area of science and technology policy, to summarize the contributions to this special issue, and to issue calls for new policy research. While the contributions to this special issue are diverse in terms of methodological approaches, units of analysis, and disciplinary fields, we try to integrate some important conclusions of the background analysis, suggesting further avenues for policy research, namely: (1) balancing innovation and diffusion; (2) beyond the excludability of software; (3) deepen the conceptual framework established through the interactive models of innovation; (4) promoting wetware and software interaction; and (5) the need for an inclusive development.