Accessibility disclaimer: To obtain information contained in document files on this page in an accessible format please contact the Innovation & Commercialization Office at ico@iu.edu.
ICO Processes
ICO's Process
Our process starts when IU’s creators of IP (such as inventors and authors) disclose their new ideas to our office. It continues as they collaborate with us throughout the life cycle of the technology. Our review process is collaborative with you and it takes up to 60 days to complete, so it is important to submit your idea early.
The key steps of our process and your role during that process are outlined below:
Disclose: The first step in our process is the completion and submission of a Technology Disclosure Form to ICO to create a descriptive record of the technology and the solution it could provide to impact society. Disclosure includes details such as: the inventor(s)/creator(s) involved, the sponsor(s) of the work, details of the technology or creation, and public disclosures and publications.
In the first week after you disclose, we will log the disclosure in, assign it a case number, obtain signatures (only for IU inventors/creators) and will assign your case to a specific Tech Development Manager who will work with you.
Evaluate: Within two to three weeks of disclosure, your Tech Development Manager will meet with you to discuss your disclosure in more detail in order to understand the technology’s uniqueness, the problem it aims to solve, potential benefits and advantages, its stage of development, potential applications and possible markets. We will then carry out further detailed diligence in the following major categories:
- Intellectual property
- Potential market
- Technical merit
- Regulatory hurdles
We need to understand these factors, since for inventions, the cost of patenting is expensive, typically costing more than $25,000 for a US patent, and more than $100,000 for other countries. ICO must determine which inventions have a great chance of being licensed and making it to the public as a commercialized product.
Within 60 days of your disclosure, we will review our diligence with you and seek your feedback so that we can finalize an evaluation outcome and determine an IP protection strategy (if appropriate), and a commercialization strategy. This evaluation process will guide the strategy on whether to focus on licensing to an existing company or a new business startup. The disclosure will fall into one of four categories:
- ICO will secure formal IP protection, either by filing a provisional patent application or a copyright registration
- ICO requires more information – the disclosure needs additional information and another round of evaluation before finalizing an outcome
- No copyright or patent IP protection required but ICO can commercialize
- ICO does not pursue IP protection and does not commercialize
Protect: Where appropriate, ICO will authorize one of its law firms to secure formal IP protection for those technologies it aims to commercialize. This may be a provisional patent application or a copyright registration. In either case, your knowledge and expertise is crucial to ensuring we achieve the best possible protection for your work. Patent attorneys will be familiar with the field of the invention, but they are unlikely to be an expert at the level of detail that makes the invention novel, useful, and non-obvious. You, the inventor, by providing feedback, will make an important difference and are indispensable for obtaining meaningful patent protection. Copyright lawyers may also have questions to ensure we are properly protecting the work. Where formal protection is required aim to file for IP protection within about one month from the approval to file.
Marketing: ICO will start marketing your invention once a formal IP filing has been made. Successful marketing is often the product of close collaboration between inventors/creators and ICO staff. We will work with you, seeking your inputs and review as we prepare a non-confidential summary of your technology which may include links to manuscripts, videos or any public documents related to your technology. We make this available on ICO’s website through Flintbox, as well as sending the materials directly to targeted companies we have connections with, or we have identified through diligence. You may have connections with industry, entrepreneurs, and/or investors and ICO encourages that you share that information. Studies have shown that around two thirds of all licenses are executed with companies known by the IP creators.
If a company or investor responds to the marketing and requests additional technical information, they may want to speak with you. Companies usually have many questions before deciding to dedicate money, people, and resources to develop a new technology. We can make introductions and put in place a confidentiality agreement to facilitate further discussions.
License: Due to the early stage of most IU research, not all technologies make their way to this stage. If marketing has been successful, ICO will negotiate a licensing agreement with the interested partner – whether an established company or a startup company. A license agreement is a contract with a third party in which rights to a technology are licensed without relinquishing ownership, in return for fair consideration (e.g., upfront fee, milestone payments, royalties) and other benefits. An initial set of terms and diligence conditions will be proposed followed by negotiations, which takes time, and which likely requires flexibility and creativity by both parties in order to arrive at a mutually satisfactory agreement. Licensing terms vary depending on the specific technology, market, company type, and commercialization approach. ICO will keep you informed about the progress of the discussions and we may ask for your opinion on a company’s capacity to develop licensed products. In addition, if an inventor or a creator has a potential conflict of interest (COI), they will need to participate in a COI review.
Monitor: Executing a license agreement is,hopefully, the beginning of a long-term relationship between IU and the licensee. The licensee’s performance will be monitored for the duration of the license to ensure the licensee is achieving its agreed-to development milestones and its financial & business milestones. We will request annual reports to ensure compliance with the licensing terms as well as to satisfy IU’s reporting requirements from funding agencies.
Share: Net revenues from up-front license fees, royalty payments or equity holdings will be shared with inventors/creators according to IU’s revenue sharing rules, as described in IU policies UA-23 (Intellectual Property: Copyrightable Works) and UA-24 (Intellectual Property: Inventions and Patents).