Brendan Rauw MBA CLP Success Stories University Owned

Brendan Rauw, MBA, CLP Success Stories: University Owned and/or Partnered Technology Investment Funds

Challenge of Technology Transfer University of California (1996 -2005) Disclosures 100% Patents Filed 42% Licensed 17% Revenue Blockbusters $ 4% 0. 1%

Universities Increasingly Launching Startups and Licenses for US Universities 2. 8 Startups 2. 6 Licenses 2. 4 2. 2 45% increase in Startups relative to licenses 2. 0 1. 8 1. 6 1. 4 1. 2 1. 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: AUTM 2005 -2016 (FY 2005=1) B. Rauw -- IP 2018 Istanbul -- October 2018

The Challenge of Funding Innovation Stages of Innovation Research Technology SEED INVESTMENT TRANSLATIONAL GRANTS Investment ($) Startup “Valley of Death” Government Funding Nonprofit Foundations Public Markets Venture Capital Industry Research Individuals Non-Dilutive Time B. Rauw -- IP 2018 Istanbul -- October 2018

Venture Capital Is Highly Concentrated Venture Capital Investment (US$B) $14. 0 $12. 0 12. 1 $10. 0 $8. 0 6. 8 $6. 0 $4. 0 1. 3 $2. 0 0. 5 0. 2 New York LA Portland $0. 0 Bay Area Boston Seattle Source: National Venture Capital Association B. Rauw -- IP 2018 Istanbul -- October 2018

US University Venture Investment Models B. Rauw -- IP 2018 Istanbul -- October 2018

Oregon Health and Science University Size US$25 Million US$80 Million US$100 Million Focus Pacific Northwest United States Global Management University New GPs Experienced GPs Investment None $450 K Up to US$25 Million B. Rauw -- IP 2018 Istanbul -- October 2018

Lessons Traditional VCs are not typically investing in university technologies • There are economic and strategic reasons for increasing translational research funding Sources of funds need to account for institutional priorities • Competing demands on alumni, philanthropists, government, nonprofits Successful investment requires specialized focus • Expertise required depends on fund structure, objectives • Potential conflicts need to be anticipated Commitment does not begin or end with the investment decision • The “ecosystem” and support available matters There is no one “right” model adaptable to all contexts B. Rauw -- IP 2018 Istanbul -- October 2018