The University of California announced Thursday that it will now be allowed to invest directly in companies that commercialize technologies formed through UC research.
UC President Janet Napolitano also announced that she will form a new UC Innovation Council to aid the University in commercializing research done by its campuses. The council, which will meet in August, will include business and investment executives, venture capitalists and experts, among other members.
For the past 25 years, the UC was restricted from investing in companies that derive products from its research because it was concerned that the investments would be seen as favoring certain faculty members. The change in policy comes from recommendations from a systemwide working group and consultations from faculty and administrators.
UC spokeswoman Brooke Converse said concerns previously expressed have been generally unsupported by evidence and changing the policy will allow the UC to better help companies.
“Investing in UC-related companies helps companies translate ideas into … practical commerce,” Converse said.
Currently, the California NanoSystems Institute Technology Incubator at UCLA provides laboratory space for start-up companies to work with UCLA faculty and researchers. The policy change will allow UCLA or the UC to invest in those companies or take the companies’ equity instead of fees to cover the costs of using the incubator or other University services.
Compiled by Jeong Park, Bruin senior staff.