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Licensing of Academic Patents Has Contributed Up to $1.7 Trillion to US Economy

Supported up to 5.9 Million Jobs Since 1996

PHILADELPHIA–(BUSINESS WIRE)–The licensing of university and nonprofit research has made a
significant contribution to US gross domestic product (GDP), industrial
gross output, and jobs over the last 22 years, according to an
independent study released today and commissioned by the Biotechnology
Innovation Organization (BIO) and AUTM, a global nonprofit that works
to advance ideas from research institutions into the marketplace.

The report, “The Economic Contribution of University/Nonprofit
Inventions in the United States: 1996-2017,” documents the sizeable
return that US taxpayers receive on their investment in federally funded
research. It shows that, during a 22-year period, nonprofit patents and
the subsequent licensing to industry bolstered US industry gross output
by up to $1.7 trillion, US GDP by up to $865 billion, and supported up
to 5.9 million person years of employment.

“Over the past 20 years nearly 60% of all new drugs worldwide were
created in the US alone – more than in the rest of the world combined,”
said Hans Sauer, BIO’s Deputy General Counsel and Vice President.
“Thanks to the enduring effectiveness of the Bayh-Dole Act, our nation’s
carefully balanced ecosystem of publicly and privately funded
life-sciences research and development activity continues to turn
foundational knowledge into real-life medicines and treatments. This
updated study demonstrates that fact.”

“Simply put, the world has changed for the better because of the
commercialization of ground-breaking research at US universities,
hospitals and research laboratories,” said AUTM CEO Stephen J. Susalka.
“This positive effect can be seen in the hundreds of new products and
more than a thousand companies launched annually. But if there’s one
overarching takeaway from this report, it is that the commercialization
of those ideas, and the quality of life they foster worldwide, has a
significant effect on the US GDP and drives the creation of new jobs.”

The report’s findings, which were collected by technology transfer
experts and former senior economic consultants, is based on data
gathered by AUTM in its Annual
Licensing Activity Survey
.

“Generous public funding in basic medical research is supplemented by
staggering private investment to turn foundational knowledge into
real-life medicines and treatments,” said Sauer. “Without the
willingness of private companies to invest in costly and risky drug
development, it is fair to say that most publicly funded basic research
would never result in new real-life treatments.”

The report was co-authored by Lori Pressman, Mark Planting, Jennifer
Bond, Robert Yuskavage, and Carol Moylan.

The report is available at
www.bio.org/Patents
and
www.autm.net/Reports

About BIO

BIO is the world’s largest trade association representing biotechnology
companies, academic institutions, state biotechnology centers and
related organizations across the United States and in more than 30 other
nations. BIO members are involved in the research and development of
innovative healthcare, agricultural, industrial and environmental
biotechnology products. BIO also produces the BIO
International Convention
, the world’s largest gathering of the
biotechnology industry, along with industry-leading investor and
partnering meetings held around the world. BIOtechNOW
is BIO’s blog chronicling “innovations transforming our world” and the
BIO Newsletter is the organization’s bi-weekly email newsletter. Subscribe
to the BIO Newsletter
.

About AUTM

AUTM is the nonprofit leader in efforts to educate, promote and inspire
professionals to support the development of academic research that
changes the world and drives innovation forward. Our community is
comprised of more than 3,000 members who work in more than 800
universities, research centers, hospitals, businesses and government
organizations around the globe. To learn more about AUTM, visit www.autm.net.

Contacts

George Goodno
BIO
ggoodno@bio.org
202-962-6660

Leef Smith Barnes
AUTM
lsmithbarnes@autm.net
703-870-4895

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