NASA Seeks New Approach to Tech Transfer

NASA has tried licensing its technologies, but hasn't been very successful in expanding its technology transfer program beyond a few licensees.

http://www.aviationweek.com/aw/generic/story_channel.jsp?channel=space&id=news/awst/2010/09/20/AW_09_20_2010_p77-254150.xml&headline=NASA%20Wants%20To%20Move%20Beyond%20Technology%20Auctions

There are several problems with its current approach:

1. Tech-push driven: Like universities, NASA is trying to push its basic research into the marketplace, which usually doesn't work since NASA technologies are designed for space flights, not earthly commercial applications. Moreover, tech-push approaches rarely work. Silicon Valley venture capitalists only succeed with about 10% of their portfolio companies, which are selected from thousands of business plans. If seasoned VCs cannot hit many successes, how can government managers do any better? It's mission impossible.

What NASA needs is more market- and user-driven demand. In Sweden, our Down-to-Earth Project with UmbilicalDesign.se and JIBS.se is working with companies, cities and schools that need to innovate and find space technologies a way to differentiate their products and services. For example, a white goods manufacturer had washing machine vibration problems and learned that the European Space Agency (ESA) had many solutions. Most organizations could benefit from the creative thinking and technologies from space researchers.

2. Brokers as bottlenecks: NASA and ESA use technology brokers, who are limited in the number of companies they can handle. Moreover, they do not want more competitors so few technologies can feasibly be licensed and commercialized at one time. Space agencies need to open up the licensing process by using the Internet and smartphone alerts, auctions and other business innovations to increase visibility and accelerate the process.

3. Lack of young people: Most space agency researchers and tech brokers are middle-aged professionals focused on existing businesses and industries. Few college students and postdocs, who are seeking careers and have access to the latest thinking and technologies, are invited to participate in identifying, brainstorming and commercializing space technologies. JIBS.se is one of the few examples.

4. Shortage of investors: ESA is partnering with a French venture capitalist (VC) to commercialize its technologies, but few VCs have jumped into the space commercialization business yet, mostly for developing commercial space vehicles, not sustainable earth applications where the market need is biggest.

NASA and ESA should work with VCs and sovereign funds to finance startups that want to commercialize space technologies for sustainable earth products and services. The Apollo Project, which stimulated chip and computer startups (i.e. leading to Silicon Valley), is a good example of the power of space tech commercialization. Not a bad return on investment; the electronics industry is over $500 billion a year.

So NASA has its work cut out. I hope Obama's commercialization policies is quickly expanded so the U.S. can create millions of exciting new jobs, especially for mid-career professionals and college graduates. If the U.S. could put men on the moon fifty years ago, we can put millions of Americans to work addressing climate change and other major challenges facing us.

America Wakes Up to Space Potential

The United States is suffering with 9.4% unemployment and is finally waking up to the potential of space commercialization as a way to jumpstart new job creation.

http://www.nilesstar.com/2010/09/19/global-american-space-as-a-business%E2%80%A6-is-america-ready/

Experts at the European Space Agency (ESA) estimate that each Euro generates 20x in new economic growth, double the 9x to 11x from high-tech investments. Space agencies worldwide spend $45 billion a year, which could generate $900 billion in new jobs, or 9 million jobs at year at US$100,000 per job. These are exciting, high-level jobs, not sweeping floors or serving tourists.

Obama and the Democrats are seeking new ways to create jobs. They should expand NASA's tech transfer programs and integrate them with K-16 education, job retraining programs and regional incubators. If the U.S. government did, we could give hope to millions of Americans and inspire other space agencies to do likewise.