SSTI Digest

A network of more than 1,500 expert advisors is among the distinctive features that makes the Innovation Center of the Rockies' (ICR) low-cost, effective model for commercializing research appealing to universities across the country. This week, ICR announced they have entered into an agreement with the University of Wyoming to bring more faculty inventions to market based on their successful model. ICR works closely with tech transfer offices in Colorado, and now in Wyoming, to understand and develop viable pathways for university-based inventions. The volunteer advisors are matched with university research projects to help identify and solve customer problems. Read the news release. ICR garnered national recognition earlier this year as a 2013 SSTI Excellence in TBED award winner. Learn more at: http://www.sstiawards.org/2013.html.

Early data from a number of sources indicates that the venture capital market continued its resuscitation from the 2008 crisis during the third quarter of 2013. CB Insights reports that 857 venture deals representing $7.2 billion were completed last quarter, which, by their data, would be the highest rate of dealflow since the dotcom era. Other sources report a similar number of deals, but find that some quarters in recent years have been more active. Initial public offerings (IPOs), mergers and acquisitions (M&As) and valuations have all risen over the last few quarters, though venture fundraising is down for the year, according to data from the National Venture Capital Association (NVCA) and Thomson Reuters. The CB Insights report notes that venture investment activity continues to slowly gain momentum. The $7.2 billion figure represents the third straight quarter of growth. PitchBook Data reports a similar number of deals and a total investment level of $7.3 billion, but cites higher numbers for other quarters in recent years. NVCA investment figures are not yet available. The mobile sector had its best quarter yet, generating $1.12 billion in investment,…

The Social Venture Connection (SVX), a new impact investing platform in Toronto, was launched to catalyze debt and equity investments in socially driven ventures that have demonstrable social and/or environmental impact and the potential for financial return. Developed by the MaRS Discovery District, SVX provides local, socially minded accredited investors (e.g., high net-worth individuals, foundations and financial institutions) a savvy web tool to make investments in vetted nonprofit or for-profit organizations. Due to national securities regulations, SVX currently acts as a matchmaking service to facilitate offline investment transactions between local investors and social ventures within the Canadian province of Ontario. Via the platform, social ventures can raise up to $10 million via a network of accredited investors from Ontario. The SVX’s first cohort of 12 social ventures includes three socially driven, tech companies. The first-year objective of SVX is to mobilize $2.5 million or more in capital investments for at least 10 social ventures. SVX is a public-private partnership between the MaRS Discovery District, the government of Ontario, Toronto…

Startups spun out of university research parks stayed in business longer than the overall national average and helped to improve regional competitiveness by establishing their companies within the area where they were incubated, according to a recent survey from the Association of University Research Parks (AURP). The survey reported the findings of 108 university research park directors over the past five years to demonstrate the extent to which the parks are focused on advancing innovation in their region. Among the top rated opportunities for enhancing growth, effectiveness and impact of research parks going forward are: developing and expanding the business services offered by incubators, capitalizing on more corporate outsourcing of research and deepening university-industry research partnerships, and strengthening collaboration between the park and its affiliated universities. Read the report…

As the TBED community seeks to diversify its funding partners, corporations would seem to be logical prospects. Pickings are getting slimmer, however. Despite tallying record profits and stock market values over the past few years, corporations are getting stingier with their giving programs, according to a new report from the Foundation Center. The center estimates in its annual survey that giving from corporate foundations, totaling an estimated $5.1 billion in 2012, is 1 percent less than the 2011 total. Total giving from the nation's 81,777 foundations in 2012 is expected to top $50.9 billion, up $1.9 billion from the previous year. At $4.7 billion and a 9 percent growth, community foundations increased giving the most of the four foundation types covered in the report. More information...

In the days before the federal government shutdown, the White House released details of a $300 million cross-agency strategy to revive the Detroit economy following the city government’s bankruptcy filing. Most of the funding comes from existing programs that will either continue to support efforts in Detroit or will now allocate a portion of their grants, loans or services to Detroit-based recipients. However, while innovation and entrepreneurship is a major plank of the strategy, little of the $300 million will directly benefit technology-based economic development programs. Instead, the White House has announced that it will supplement the work of community-focused foundations, which plan to provide $22 million for small business efforts in the city. The federally funded aspects of the Detroit strategy mostly focus on revitalizing and redeveloping blighted neighborhoods and improving the region’s transportation systems. Nearly $150 million would be dedicated to demolition of blighted properties and community development, while nearly $140 million would help upgrade and install transit systems. Additional federal funding would be provided to improve public…

Google recently designated seven local entrepreneurial support organizations as the inaugural members of its new Tech Hub network. These organizations will receive financial support, technical content, business tools, and infrastructure upgrades, to support increasing demand from software developers and startups. Google’s announcement notes that these specific organizations were chosen because of their innovative approaches to launching businesses and their success in creating jobs in their respective communities. The first seven partners include Chicago’s 1871, Durham’s American Underground, Minneapolis’ Coco, Waterloo’s (ON) Communitech, Denver’s Galvanize, Detroit’s Grand Circus and the Nashville Entrepreneur Center. Read the announcement...

Only two states will hold gubernatorial elections this year: New Jersey and Virginia. But those states have garnered a great deal of media attention because of the candidates’ stark policy differences on a wide range of issues, including jobs and the economy. This week, SSTI takes a look at the plans for economic growth and higher education put forth by Virginia Democratic nominee Terry McAuliffe and Republican nominee Ken Cuccinelli. Current polls indicate a slight lead of 43.1 to 38.9 percent by Terry McAuliffe, former Democratic National Committee chairman, over Virginia Attorney General Ken Cuccinelli. On one side, improving biotech commercialization is touted as necessary for growing high-tech companies. The other candidate’s jobs plan promotes tax reform and emphasizes higher education with a focus on supporting STEM workers. McAuliffe’s jobs platform, according to his campaign website, is focused on energy and biotech policy. A plan to improve the state’s existing biotech commercialization program coincides with a proposal to establish a new biotech startup program. McAuliffe wants to increase by $1 million to $2.5 million the…

Oklahoma Gov. Mary Fallin announced that Jonna Kirschner, executive director of the Oklahoma Commerce Department, will serve on a transition team to establish a new workers’ compensation system. Vaughn Clark , the Commerce Department’s director of community development, was named as interim executive director. Colorado Gov. John Hickenlooper named Mark Sirangelo, who is head of Sierra Nevada Corp., as chair of the Colorado Innovation Network and the state's new chief innovation officer. John Rhodes has been appointed as president and CEO of NYSERDA. Brian Cummings is leaving as vice president for technology commercialization at Ohio State University to seek other professional opportunities. Ray Atilano, the executive director of technology commercialization, also has left his position. Christy Wyskiel has been named senior adviser to the president for enterprise development at Johns Hopkins University. Wyskiel will fill the role beginning Jan. 1, succeeding Aris Melissaratos who accepted a new position as executive-in-residence and senior adviser to Dean Bernard T. Ferrari at the Johns Hopkins Carey Business School. Michael…

According to the National Science Foundation’s (NSF) Higher Education Research and Development (HERD) Survey the percentage of university R&D funded by private sector investment has remained mostly stable since the late 1970s, hovering between 5 percent and 7 percent of total R&D expenditures. In FY 2011 the private sector invested $3.2 billion, or 4.9 percent of the total $65 billion university R&D expenditures. Sixty-seven percent of surveyed universities reported some level of R&D funding from businesses, with the majority of that funding being directed toward the medical sciences (39 percent) and engineering (26 percent).  While general levels of investment have remained the same, the dynamics of university-industry R&D funding widely vary. The top 15 academic institutions that received private sector funding for R&D accounted for 37 percent of total expenditures, reflecting a steep inequality between major research universities and other schools. Duke University, MIT, The Ohio State University, and the University of California-Berkeley were the top recipients of private research dollars, with each reporting over $100 million in…

The Alliance for American Manufacturing (AAM) released a five-year report highlighting the progress it has made since its creation in 2007. In that time it has hosted 40 town hall meetings, won a Campaign Excellence Award, released a number of research reports and publications, and has worked with federal, state and local governments to advocate for American Manufacturing. Scott Paul, President of the AAM, Stacey Jarrett Wagner, a speaker at SSTI’s recent conference, and Sridhar Jota are participating in a Google Hangout next week to discuss their recently released book, ReMaking America, and the role of small- and mid-sized manufacturers in the U.S. Innovation Economy.  The dialogue will be held on Thursday, October 3, at 2:00 PM ET. Click here to watch the live discussion…

The Nevada Office of Economic Development, with guidance and funding from the U.S. Treasury Department’s State Small Business Credit Initiative (SSBCI), has launched the Battle Born Venture Program. “Battle Born” is a state venture capital program that makes equity and equity-like investments in early stage, high-growth Nevada businesses. The fund will invest in a wide range of sectors that represent the economic base of the state, and returns on investment will be recycled back into the fund.  The Nevada program is the newest venture capital program established by the U.S. Department of the Treasury under the SSBCI with the intent of enhancing local capital infrastructure. As of this year, the U.S. Treasury has approved 47 state-run venture capital programs across 30 states. Read the announcement…