From the Director: What Does the AUTM Survey Tell Us?

Todd Sherer, Exec Director Photograph
Todd Sherer, Exec Director

Each year the Association of University Technology Managers (AUTM) conducts an annual licensing survey capturing metrics related to research, patenting, and licensing. The survey attempts to capture a broad array of metrics with the goal to convey the effects of technology transfer on economic development and improvement of human lives. These metrics include product vignettes that describe how university technology transfer is making a better world, but – to AUTM’s great disappointment – it is the dollars and cents that get the greatest attention each year.

While the AUTM licensing survey is in its 21st year, there isn’t 21 years of data from all data points or all research universities. However the data is substantial and reveals some very interesting trends in U. S. technology transfer:

  • Over the last two decades, research funding has been on the rise each year and around $61B was reported in 2011, up from $12B in 1991. If you plot that data on the same graph as new invention disclosures, these two lines mirror each other amazingly well. Although on a different scale, invention disclosures have also increased each year to an all-time high in 2011 of nearly 22,000; up from just 5,000 in 1991. Clearly, the U. S. investment in research is helping to drive innovation coming from universities.

  • In 2011 alone, 591 new products were introduced in the market and 671 new startups were formed. Almost 4,000 university-based start-ups were believed to be operational and employing an estimated 55,000 people in 2011.

  • The $2.5B in licensing revenue reported in 2011 comes from an estimated $80-120B in product sales. That translates to a lot of product benefitting a lot of people and a lot of funds fed back into the research enterprise to support the next great innovation!

In June 2012 the Biotechnology Industry Organization (BIO) released a report utilizing AUTM’s data. Over a 15 year period, university/non-profit licensing supported as many as three million “person years of employment.” The impact on U. S. gross industry output was as much as $836 billion and the impact on gross domestic product was as much as $388 billion in 2005 dollars.  There is little doubt that academic technology transfer has a positive impact on the economy.

It is important that we, as an industry, and centers of research keep in mind that money, revenue, and jobs are important factors, but not the only outcome of technology transfer.  Our discoveries and innovations pay dividends not only in dollars and cents but even more so in the impact they have on the lives and wellbeing of people worldwide.

The Economic Contribution of University/Nonprofit Inventions in the United States: 1996-2010, June 19, 2012, Biotechnology Industry Organization (BIO)

8 comments

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