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Table of ContentsTechnology Transfer Advisory Committee 2Welcome from the Executive Director 3

Technology Transfer at the University of California UC Berkeley 4 UC Davis 6 UC Irvine 8 UC Los Angeles 10 UC Merced 12 UC Riverside 14 UC San Diego 16 UC San Francisco 18 UC Santa Barbara 20 UC Santa Cruz 22 Lawrence Berkeley National Laboratory 24 Lawrence Livermore National Laboratory 26 Los Alamos National Laboratory 28

Technology Transfer Activity and Financial InformationIntroduction 30Part 1: The Campus Portfolios 30Technology Transfer Activity 30 Invention Reporting 30 Patent Activity 32 Licensing and Related Activity 34Technology Transfer Revenues 36 Total Licensing Revenues 36 Royalty and Fee Income 36 Payments to Joint Holders 37 Revenue Associated with Patent/Legal Expenses 37Technology Transfer Expenses 38 Legal and Other Direct Expenses 38 Operating Expense 38Income Available for Distribution 39 Inventor Shares 39 General Fund Share 39 Research Allocation Share 39 Campus Share 39

Part 2: The DOE Laboratory-managed Portfolios 44 Invention Disclosure, Patenting, and Licensing Activity 44 Financial Results 44

Technology Transfer Organization at UCUC Technology Transfer on the Web 46

Table of contents

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2005 Technology Transfer Advisory Committee

General oversight of the UC Technology Transfer Program is under the purview of the Technology Transfer Advisory Committee (TTAC). This standing committee is chaired by the Senior Vice President — Business and Finance and meets periodically to advise the UC President on technology transfer policy and guide the direction of the overall program.

Kathryn Atchison Associate Vice Chancellor, UCLA

Richard E. Attiyeh Vice Chancellor — Research, UC San Diego

Alan B. Bennett Associate Vice Chancellor — Research, UC Davis

Carol Berman Contracts and Grants Coordinator, Division of Agriculture and Natural Resources, UC Office of the President

Beth Burnside Vice Chancellor — Research, UC Berkeley

Lawrence B. Coleman Vice Provost, Office of Research, UC Office of the President

Sherylle Mills Englander Director, Sponsored Projects and Intellectual Property, UC Santa Barbara

Cheryl A. Fragiadakis Department Head, Technology Transfer, Lawrence Berkeley National Laboratory

Warren M. Gold* Professor, Medicine, UC San Francisco

MRC Greenwood Provost and Senior Vice President - Academic Affairs, UC Office of the President

Susanne L. Huttner Associate Vice Provost, Office of Research, UC Office of the President

Charles F. Louis Vice Chancellor - Research, UC Riverside

Duncan McBranch Division Leader, Technology Transfer, Los Alamos National Laboratory

Karena McKinley Director, Industrial Partnerships and Commercialization, Lawrence Livermore National Laboratory

Robert C. Miller Vice Chancellor — Research, UC Santa Cruz

Martin Moskovits Dean — Division of Mathematical, Life and Physical Sciences, UC Santa Barbara

Joseph P. Mullinix Senior Vice President — Business and Finance, UC Office of the President

Christopher J. Newfield* Professor, English, UC Santa Barbara

Alan S. Paau Assistant Vice Chancellor and Director, Technology Transfer and Intellectual Property Services, UC San Diego

David G. Schetter Assistant Vice Chancellor, Research and Technology Alliances, UC Irvine

William T. Tucker Executive Director, Office of Technology Transfer, UC Office of the President

A. Eugene Washington Executive Vice Chancellor - Research, UC San Francisco

*Academic Senate representatives

FisCal Year 2005Office of the President

Senior Vice President — Business and FinanceOffice of Technology Transfer1111 Franklin Street, 5th Floor

Oakland, CA 94607-5200

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The University of California (UC) plays a critical role in growing the California economy, both by supplying industry with its graduates and by leveraging the research enterprise to create technology that forms the basis for new companies and industries. The UC technology transfer program is at the heart of the transition from promising early stage research to products and applications that benefit the public. UC technology transfer encompasses a range of activities carried on throughout the system to facilitate this commercialization, including not only the traditional patenting and licensing, but also the development of relationships with businesses, industry, and government that enhance the research and education missions of the University and contribute to the economic prosperity of the State of California.

FY05 was another outstanding year for the UC systemwide technology transfer program. Both programmatic activity and financial performance exceeded that of prior years. Invention disclosure, patenting, and licensing activity all increased. Faculty and staff disclosed 1,304 new inventions during the year, a 9% increase over FY04, which resulted in UC maintaining an overall portfolio of approximately 7400 active inventions at year end. The growth in the number of inventions reported throughout the UC system led to in an increase in both US and foreign patent filings. In addition, 310 new US patents were added to the University’s patent portfolio. 2005 was also the 11th consecutive year that the US Patent and Trademark Office named the University of California as the leader among the nation’s universities in developing new patents. In the fiscal year, UC entered into 386 new licenses and related technology transfer agreements. Systemwide revenues for the program were $109.6 million, an 18% increase over FY04. Over 1,200 inventions contributed to this revenue total.

The Office of Technology Transfer (OTT) is responsible for systemwide administration of technology licensing activities carried out at the Office of the President (UCOP) and eight campus-based licensing offices. The newest among these offices is the UC Santa Barbara Office of Technology & Industry Alliances (TIA), which initiated its licensing operations in FY05. The establishment of the Santa Barbara licensing office continues the trend toward strengthening technology transfer operations at the campus level. To support this strengthening , OTT has been transferring technologies historically managed in this office back to the campuses from which they arose. This activity will continue throughout FY06 and 07. OTT itself will focus on activities that enhance campus-based technology transfer operations.

In addition to managing an increased caseload, many campus offices have reorganized their operations to emphasize collaboration and interaction with industry on many levels, and this year’s annual report recognizes the campuses’ innovative approaches to technology transfer. In the 27 vignettes assembled here, we’ve focused on some of their more interesting inventions, departments, and start-ups. In addition, we’ve highlighted novel licensing and partnering strategies, and start-up incubation programs. We hope these stories will demonstrate to you how this great institution is continuing to translate the innovative talents of our faculty and staff into products that benefit the public and support a vibrant California economy.

Sincerely,

William Tucker Executive Director,Research Administration and Technology Transfer

Message from the Director

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MEMS

UC Berkeley Nonexclusive licensing pays off for MEMS actuator

Gaining exclusive access to intellectual property is a common and important business strategy for technology companies. Many inventions lend themselves to this approach to licensing. However, some inventions have broad application or offer such a clear advantage that a better strategy for the inventor is to offer non-exclusive licenses to many adopters. Using just such an approach, the UC Berkeley Intellectual Property and Industry Research Alliances office has licensed a new MEMS (for micro electromechanical systems) actuator design to a broad range of companies, including Honeywell, Toyota, Bosh, and Discera.

The novel actuator arose from work done in the 1980’s by Roger Howe, then a professor at UCB, and a graduate student, William Tang, as part of a larger interdisciplinary research endeavor to create MEMS, which combine electronic circuit design with complementary metal-oxide-semiconductor (CMOS) fabrication technology. Berkeley researchers have been at the forefront of this investigation, and the Berkeley campus is the source of many MEMS inventions spearheading the commercialization of this technology.

The actuator invented by Howe and Tang resembles two tiny combs with their tines interleavened. One comb is fixed and the other pivots when a small voltage is applied, resulting in activation. While previous MEMS actuators were perpendicular to the CMOS chip, the novel actuator is fabricated lateral to the chip surface. This design enables reliable, precise MEMS actuation that is commercially feasible in high-volume, low-cost applications. The advent of this MEMS actuator and the non-exclusive licensing of the associated patent rights have resulted in the proliferation of the technology in devices from disk drives, to gyroscopes, to network routers, and optical switches.

Recently intellectual property (IP) management at UC Berkeley was restructured to support Berkeley’s preeminence as a cut-ting edge research institution and to streamline industry-uni-versity interactions. A new unit was created at Berkeley: the Intellectual Property and Industry Research Alliances office (IPIRA). The formation of IPIRA, from two distinct offices with different missions and metrics, acknowledges the importance of Industry-University collaboration as an innovation accelera-tor that fosters translational research and fuels economic de-velopment. To establish, nurture, and maintain multifaceted relationships with industry, new and innovative partnership models are forged in IPIRA while upholding the mission and values of a public research institution

For the first time a full spectrum of IP management strategies may be employed within a single organization to achieve our goal of maximizing Berkeley’s impact on society. One such strategy benefits the developing world by providing free access to Berkeley IP and has resulted in new models for partnering with philanthropic organizations to accelerate translational re-search on neglected diseases. Amyris Biotechnologies, a Berke-ley startup, leverages recent breakthroughs in synthetic biology to cost-effectively produce high-value, complex molecules that are currently available only in small quantities through extrac-tion from natural sources. Amyris was recently honored by the World Economic Forum as a Technology Pioneer for 2006, for focusing its novel technology on addressing the complex chal-lenges of sustainable global health.

In the first year after the establishment of IPIRA, corporate-sponsored research at Berkeley nearly tripled, research and material transfer agreement contract negotiation times were dramatically reduced, a new clinical research program was es-tablished in our School of Optometry, new industry affiliates programs were established in Electrical Engineering & Com-puter Sciences and Chemistry, corporate and foundation gifts increased, new translational research programs were launched, and new relationships were established with a local hospital re-search institute, a local business park, and a contract research organization. Through IPIRA, the University is enhancing its key role in the ongoing cycles of technology innovation, commercial development, and reinvestment in the research enterprise.

Carol MimuraAsst. Vice Chancellor Intellectual Property and Industry Alliances (IPIRA)

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MBIMEMS

Using microchips to unmask patheogens and find genes

In the world of biological sampling and biochemistry, more and more is being done with less and less—volume, that is. Microchip Biotechnologies, Inc. (MBI) is developing a microchip they call the NanoBioProcessor™ that can perform reactions using nanoliter and even subnanoliter volumes efficiently and reliably. Using intellectual property licensed from UC Berkeley, the company is developing the microchip system for use in genetic testing and anti-bioterrorism devices.

Some biological samples can be gathered only in very small amounts. While the quantity of pathogenic bacteria, for example, might be enough to be biologically significant, and even dangerous, the material may literally be lost in handling. Research in Professor Richard Mathies laboratory at UC Berkeley created a microchip that performs biochemical reactions in nanoliter volumes to solve this problem. The microchip consists of tiny, pneumatically operated valves and pumps sandwiched between a glass slide and a deformable plastic membrane. The chips are low cost and have the potential to be used in automated, high throughput applications.

Despite their small size, these microchips are generating big innovations in medicine and biodefense. Under an SBIR grant from the DOD, MBI is building a module to selectively isolate and concentrate pathogens from an air sampling device and determine the genetic identity of the organism using microchip-based assays. MBI is also working with collaborators, including the Mathies team, on general improvements to DNA sequencing. The team was awarded a $6.1MM grant from the National Human Genome Research Institute (NHGRI) to develop a next-generation device that would lower the cost of sequencing 100-fold.

MBI NanoBioProcessor™ microchip

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CONNECT

UC DavisThis year, technology transfer at UC Davis underwent a monu-mental transformation. A new unit, Technology & Industry Alli-ances (TIA), was established to integrate and harness the shared missions and activities of the Technology Transfer Center, UC Davis CONNECT Business Development, Research Outreach, and Copyrights. TIA consolidated into their new office location, and during 2005, we focused on increasing client satisfaction, preparing for the upcoming technology transfer decentraliza-tion from OTT, and emphasizing our technology marketing re-sources and processes.

The Technology Transfer Center was renamed Technology Trans-fer Services and is working closely with Sponsored Programs to improve collaboration between UC Davis and its research spon-sors from industry. In 2005, our research-technology pipeline saw a substantial increase in total research funding to a record $505 million with over 310 agreements and $24 million in fund-ing from industry.

The business development (BD) team, working in support of Technology Transfer Services, developed strategies to strengthen the value of UC Davis intellectual property through a directed marketing program. The second major focus of the BD team is to support startup companies based on our intellectual prop-erty. We had seven new startup companies either started or funded this year and the BD team assists these entrepreneurs with a range of services to support their businesses in the earli-est stages.

In summary, the major restructuring program of 2005 has es-tablished a solid foundation from which we are already realizing the benefits.

David McGeeExecutive DirectorUC Davis Technology & Industry Alliances (TIA)

Davis programs offer incentives to move research into the marketplace UC Davis researchers are innovating in areas with enormous commercial potential, including health and medicine, food technology, computer science, and nanotechnology. Two separate UC Davis programs help bridge the gap between research and commercialization: the Little Bang poster competition, aimed at graduate students and postdoctoral fellows in engineering and the sciences, and the Translational Technology Grant (TTG), which targets the UC Davis Health System faculty. In different ways, these programs support research with commercial potential and connect inventors to experts in industry and in venture capital who can help move the ideas into the marketplace.

The Little Bang project, organized by UC Davis CONNECT, is a poster competition designed to encourage teams of graduate students and postdoctoral fellows to consider the commercial potential of their research and showcase innovative scientific findings to the business world. Teams compete for a cash prize in each of five categories: nanotechnology, computational science and information technology, medical and biotech innovations, foods for health and wellness, and clean energy/environmental sciences. A panel of judges drawn from academia and industry select the winners who then compete for further funds in the Big Bang! Business Plan Competition run by the Graduate School of Management.

The TTG supports innovation in life sciences, particularly projects focused on healthcare – capitalizing on the extensive clinical expertise of the UC Davis Health System. Many universities have grant programs to support very early research aimed at producing results that can help in obtaining federal funding. In contrast, TTG focuses on research that is no longer eligible for federal grants, but still not developed enough to be commercially viable. Grant proposals are reviewed by two committees, one focused on the science and the other on the market assessment. Some of the key criteria for funding are stage, commercial potential, quality and originality, and realism. To date, the program has reviewed 14 applications and spent $500K to fund 5 proposals, including a method for early detection of ovarian cancer, with Kit Lam of the UC Davis Cancer Center as PI.

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Arête

ARETE tackles inflammation from a new angleInflammation is implicated in numerous medical

conditions, including heart disease, high blood pressure, diabetes, and other diseases. For years, scientists and pharmaceutical companies studying inflammation were focused on two well-known inflammatory pathways.

Over ten years ago, Dr. Bruce Hammock of UC Davis discovered that a third, related metabolic pathway plays an important role in vascular inflammation. This third pathway centers around metabolism of arachidonic acid. A key enzyme in this pathway is soluble epoxide hydrolase (sEH) which decreases the formation of anti-inflammatory metabolites and increases the formation of pro-inflammatory metabolites. Over the years, Dr. Hammock developed chemical inhibitors of sEH and observed positive effects when these inhibitors were administered in animal studies.

In 2004, Dr. Hammock teamed up with a consortium of venture capital firms to form Arete Therapeutics Inc. Arete is the world’s first company dedicated to the study of this novel branch of arachidonic acid metabolism. Arete has licensed UC’s portfolio of sEH related technologies. The company is currently working to develop sEH inhibitors to treat hypertension and other inflammation-related conditions. It is hoped that clinical trials will commence in the near future.

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CODA

UC Irvine

CODA Genomics takes path to success one step at a time

Recombinant proteins are important tools in medicine, drug discovery, and industrial production. To make large amounts of proteins requires engineering genes (DNA) to be efficiently expressed in bacteria, yeast, or animal cells. Optimizing the DNA for high-quantity production is frequently problematic. In an interdisciplinary academic collaboration, UCI Professors Richard Lathrop and G. Wesley Hatfield tackled this problem using computational biology. Their insights into the mechanics of DNA assembly and protein expression ultimately led to the creation of a new synthetic biology company, CODA Genomics.

Growing a company The route Hatfield and Lathrop traveled from collaboration to co-founding of CODA (Computationally Optimized DNA Assembly) was accomplished in stages. Dr. Robert J. Molinari, President and CEO of CODA cites UCI’s Office of Technology Alliances (OTA) and its Director, David Schetter, as playing a critical role in this evolution, and says the gradual approach to the start-up has been a key factor in the company’s success. At an early stage, CODA was a “virtual” company, incorporated in California, but lacking staff and space. Once the technology was licensed, CODA operated initially under sponsored research agreements that gave the company access to UCI’s facilities and equipment. As the company received grants and as business grew, CODA was able to tap angel funding first in Southern and then in Northern California. With help of additional VC funding the company has acquired its own facilities, hired experienced management, and now operates self-sufficiently. In February, 2006 CODA announced that it closed a Series B funding of over $1.6 million.

Ths year marks UC Irvine’s 40th anniversary and the tenth an-niversary of the creation of the UCI Office of Technology Allianc-es (OTA). During this decade, annual campus research funding has grown to nearly $300 million, leading to an invention port-folio of 560 active cases, with 150 new inventions being disclosed annually. New heights in patent and copyright income have re-sulted in UCI being ranked third in the UC system for net patent revenue. UCI’s Dynamic Cooling Device that minimizes scarring and pain in laser operations, is the #2 revenue producer in the UC system.

Of the 40 start-up companies founded on UCI technology, 33 are still active or have been acquired, with most continuing to operate in California adding jobs and revenue to the state. UCI enjoys dynamic and synergistic relationships with local industry and, through its partnership with the Orange County Technol-ogy Action Network (OCTANe), is making significant contribu-tions to the economic development initiatives of Orange County. Finally, with the recent relocation of Broadcom to University Re-search Park, the potential of the Park is now being realized.

To honor UCI’s 40 years of Innovation, 12 faculty from six schools were presented Innovation Awards in November for their work in areas including new sources of electric power, catalysts for making high performance plastics, stem cell therapies for spi-nal cord injuries, rapid detection of contaminants in organic matter, and educational software. Awards also were given for faculty entrepreneurship, start-up company innovation and those industry partnerships that generated the highest levels of revenue for research and from technology licensing. This event highlights the growing depth, breadth and commercial success of UCI technologies and the OTA technology commercialization program.

UCI is, indeed, open for business!

David G. Schetter Assistant Vice Chancellor, Research & Technology Alliances

Drs. Lathrop and Hatfield receiving 2005 Innovation Award for Start-Up Company Innovation. Left to right: William H. Parker, Richard H. Lathrop, David G. Schetter, and G. Wesley Hatfield.

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UCI Invention Wins First Place in 3-D MEMS Design Challenge.

Dr. Shkel’s group is also involved in development of the world’s fi rst micromachined gyroscope based on spin-polarized nuclei precession. Th is class of gyroscopes uses the spin of atoms, each atom acting as a spinning wheel gyroscope. Th e project is currently funded by DARPA.

Th ese MEMS gyroscopes off er advantages for health, imaging, navigation, and safety applications. Th e medical applications include medical monitoring systems, diagnostic devices, prosthetic implants, and implantable devices to cure inner ear (vestibular) disorders that impair balance. Th ey could also be used to stabilize images in video cameras, virtual reality products, pointing devices, and video game controllers. Improvements in auto safety systems, including yaw and tilt control, rollover protection, airbags and antilock brake systems, are also foreseen.

Such a diverse array of applications promises continuing excitement in this area of research and commercialization. Researchers associated with Andrei Shkel, including Cenk Acar, Christopher Painter, E. Jesper Eklund, and Adam R. Schofi eld, have been prolifi c in developing valuable IP for UC. A total of 14 patent applications have been fi led for their inventions since 2002, with three patents having been issued and two notices of allowances received. Already, interest in the intellectual property developed by Dr. Shkel and his colleagues is high. An invention related to the development of the gyroscope has been exclusively licensed, and discussions are underway with several potential licensees for other inventions in the portfolio.

MEMSProtein production scienceTh e company announced the sale of its fi rst product,

the CODAExpress™ Gene Kit, in October 2005. Sales to universities, pharmaceutical, and other biomedical companies are growing rapidly. Th e Gene Kit incorporates CODA’s gene design technology, Translational Engineering™. Th is technology rests on two novel fi ndings of CODA’s founding scientists. First, they developed methods for the accurate self-assembly of small DNA fragments into synthetic genes. Second, they found that the speed of protein translation is determined by codon pair utilization biases. By incorporating control of translation kinetics into the gene design process, CODA Genomic’s genes are guaranteed to produce valuable proteins in heterologous host production systems at high levels. Th ese improvements off er great advantages to, among others, the drug production, drug screening and development, and enzyme manufacturing industries.

UCI researchers put a new spin on gyroscopesA toy top or a bicycle illustrates the principle behind

gyroscopes: a rapidly spinning mass can be more stable than the same object at rest. Gyroscopes exploit this relationship between spin and stability, or inertia, to help ships remain upright in heavy seas, steer planes on autopilot, make automobiles safer, and myriad other applications.

A special challenge for the fi eld has been the creation of robust miniature gyroscopes. Th e translation of classical mechanical gyroscopes into today’s micro applications is diffi cult because at this scale surface friction eff ects dominate, making the production of classical rotating wheel gyroscopes nearly impossible. An alternative is a vibratory gyroscope, which uses vibration rather than rotation to create the large linear momentum required.

Associate Professor Andrei M. Shkel and his research group at UC Irvine, have patented novel designs for just such micro electromechanical systems (MEMS) gyroscopes. One of the designs won Cenk Acar, then a graduate student in Dr. Shkel’s laboratory, fi rst place in the 3-D MEMS Design Challenge. Th is new MEMS gyroscope design has the advantage of decoupling the drive and sensing modes of the gyroscope, making it immune to environmental variations. Another design by a former Ph.D. student Christopher Painter, does not require electronic integration of angular rates, and angular orientation is obtained directly. Th e results of this work introduced and demonstrated a new paradigm in MEMS gyroscope design.

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UC Los AngelesWireless, mobile access to complete medical data arrives at UCLA

Doctors are expected to respond quickly and appropriately as their patients medical needs dictate. In an ideal world, physicians would have access to all medical data for a patient at their fingertips, but in the real world information must be retrieved from several different sources. Now, under an agreement with Sprint, a new technology developed at UCLA will offer physicians mobile wireless access not only to patient records, including X-ray and CT images, but also to real-time data from ICU monitors and bedside charts, and even live video feeds. The Integrated Clinical Information System Mobile (ICIS Mobile) solution will make this comprehensive medical information available on handheld devices and smart phones, even when doctors are away from the hospital.

Mobile access to existing clinical information systems through wireless networks is expected to improve the quality and safety of patient care, avoid errors, increase cost-effectiveness, and increase physician productivity and responsiveness. The system will make it simpler and faster to retrieve patient information, leaving more time to care for patients.

The digital data retrieval and storage system behind ICIS Mobile is already used in many departments of the UCLA David Geffen School of Medicine, where it was invented and developed by Neal A. Martin, Chief of Neurosurgery, Valeriy I. Nenov, Director of the Brain Intensive Monitoring and Modeling Laboratory (BIMML), and Farzad Buxey, a Systems Architect and Research Specialist working at BIMML. The team of inventors founded a privately held software company, Global Care Quest, Inc. (GCQ), to commercialize the technology, through deals including the agreement with Sprint.

ICIS Mobile

During fiscal year 2005, UCLA restructured the Office of Intel-lectual Property Administration (OIPA) under a Vice Provost for Intellectual Property and Industry Relations. In its new form, the office continues its mission to identify licensing, start-up and re-search collaboration opportunities, and works closely with indus-try partners to develop UCLA technologies into usable products.

In 2005, the office had a banner year. UCLA faculty produced 291 invention reports, up 56% from the previous year’s 186. This brought UCLA’s active invention portfolio to 1,151, a 21% increase in one year. There were 155 first and 92 second US patent ap-plications filed, and 67 first foreign patent filings. With 34 new US patents issued in 2005, UCLA reached a total of 436 patents granted by the USPTO.

Licensing activity was also strong with 261 inventions optioned or licensed to industry partners by fiscal year’s end. Close to $20 million in royalty and fee income was received during FY05, and net distribution to the campus was $5.9 million, a 41.5% increase from the previous year. Of 196 technologies that produced income during FY05, 65 generated $100,000 or more, and 7 produced $1 million or more over the lifetime of the patent.

Biotechnology was an especially active area in fiscal year 2005. Highlights include the launching of AvidBiotics by inventor Jeffery Miller, a start-up to develop protein-based therapies. In addition, a therapeutic for multiple sclerosis developed by Rhonda Voskuhl was licensed to General Fiber; Aeras licensed tuberculosis vaccine technology developed by UCLA’s Professor Marcus Horwitz for use in developing countries; and a new class of antibiotics discov-ered by Robert Lehrer for life-threatening bacteria was licensed to Novozymes.

Additional highlights can be seen in the following articles. I en-courage you to visit our website, and learn about future research, licensing, and start-up partnering opportunities at UCLA.

Kathryn A. Atchison, DDS, MPHInterim Vice Provost, Intellectual Property and Industry RelationsAssociate Vice Chancellor for Research

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An anti-inflammatory peptide drug holds promise for cardiovascular diesease

It began with a protein called apoliprotein A-1 (Apo A1), the major component of high density lipoproteins (HDL). Dr. Alan Fogelman, Chair of the Department of Medicine at UCLA and a researcher specializing in cardiovascular disease, found Apo A1 is important for HDL anti-inflammatory activity. As a potential therapeutic, however, Apo A1 had a significant drawback – it would require intravenous administration. So, Alan Fogelman and Mohamed Navab at UCLA, and Dr. Anantharamaiah at the University of Alabama, Birmingham, began searching for an Apo-A1 mimetic peptide that could be orally administered to patients. They developed D-4F, which not only dramatically reduced plaque buildup in animal studies but also showed significant anti-inflammatory activity. D-4F continued to show promise in ongoing studies and soon it became a major focus of Alan Fogelman’s research at UCLA.

D-4F

Though promising, commercialization of D-4F presented some challenges, and Dr. Fogelman determined that the best way to champion the development of D-4F was through a start-up company focused on the drug. In 2002, with his friend and patient, Jerry Magnin, he founded Bruin Pharma to develop D-4F and similar peptides. The small, privately-held company licensed the patents on D-4F from the University, and Bruin Pharma began the task of creating a drug that would interest a major pharmaceutical company. The company goals were to significantly reduce the cost of D-4F and increase its bioavilibility.

Bruin Pharma’s efforts to make D-4F a drug candidate attractive to the pharmaceutical industry have paid off. In 2004, Bruin Pharma announced a partnering deal with Novartis, a multinational pharmaceutical company. The combined efforts of Bruin Pharma and Novartis have put D-4F on the map as a promising new cardiovascular drug. In 2005, human trial studies began, moving Bruin Pharma a step closer to realizing its vision of bringing to market an innovative cardiovascular peptide drug.

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CCB

UC MercedUC Merced Establishes Center for Computational Biology

In October of 2004, the U.S. Department of Energy’s Office of Advanced Scientific Computing awarded a three-year, $900,000-per-year grant to the University of California, Merced, to establish a Center for Computational Biology (CCB). The UCM-CCB sponsors multidisciplinary scientific projects in which biological understanding is guided by computational modeling. The center also facilitates the development and dissemination of undergraduate and graduate course materials based on the latest research in computational biology. The Center is starting a number of activities that aim to recast biology as an information science, with studies such as how cancer cells interact with drugs used to treat the disease, or how a plant or animal population changes over time due to ecological issues.

Professor Michael Colvin is the director of the new center, with Assistant Professor Arnold Kim as deputy director. UC Merced is developing the CCB in collaboration with other institutions such as Rensselaer Polytechnic Institute and Lawrence Livermore National Laboratory. “Math and computer science are beginning to have a dramatic impact in the field of biology,” said Colvin. “The Center for Computational Biology will attract and retain a new generation of biologists whose research depends on that interaction.”

The UC Merced CCB is one of three such centers being created by the Department of Energy (DOE). The other two are located at the University of Wisconsin and the Johns Hopkins University. According to Gary Johnson of the DOE, who helped award the grant, “We hope that computational biology will grow to be a central focus of the research and educational life of UC Merced.”

The research objectives of the CCB will be carried out on regular desktop computers already either planned or established at UC Merced, as well as on supercomputers at centers run by the DOE and other large entities. Very little should be needed by way of new facilities and equipment. Therefore, the DOE funds will be used primarily to bring people on board to run the new center. Positions will open up for grad students and postdoctoral fellows to help carry forward research as well as staff members to plan workshops, talks and student activities.

“Biology is becoming a computational science,” Johnson explained. “The use of computers in the sequencing of the human genome was just the beginning - the best is yet to come. Computation will have a transformative effect on biology. The time to start is now.”

The CCB will develop methods to translate that computer power into improved biological understanding. This should create increased job marketability and security for students who benefit from its programs, as well as progress for the larger scientific community.

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COINSUC Merced School of Engineering Participates in COINS Nanomechanical Research Center

Researchers in nanotechnology are establishing a niche for their work at the University of California, Merced. The UC Merced School of Engineering is a partner in a recently awarded $12 million National Science Foundation grant to establish the Center of Integrated Nanomechanical Systems (COINS) over the next five years. COINS research aims to develop machines that are versatile and efficient due to their ultra-small size - most can be seen only under an electron microscope.

“Nanomechanical research will be a leading employer of engineers in the future, and UC Merced is developing a strong focus in that field in order to meet the need for prepared workers. COINS will move that effort along,” said Dean Jeff Wright of the UC Merced School of Engineering. “In addition, we look forward to collaborating with researchers at other leading California institutions to create innovations in nanotechnology, benefiting the communities in which we live.”

The NSF is funding nanotechnology centers at prestigious universities around the United States with its Nanoscale Science and Engineering Center (NSEC) program. The University of California, Berkeley, leads the group of research institutions working together on COINS. UC Merced will participate in the center along with the California Institute of Technology and Stanford University. The cooperative effort will allow UC Merced faculty members and their students to use UC Berkeley fabrication labs for their research until such infrastructure can be put into place at UC Merced. Ultimately, COINS will comprise facilities and cooperative research at all four institutions.

The center’s research focuses on the development of low-power, manufacturable and multifunctional nanomechanical systems. Researchers describe their development method as an “element-to-device-to system” approach. They will first seek to create nanomechanical “building blocks” - microscopically small tubes, disks, wires and other basic shapes - and understand their properties. Then they can proceed with theories and ultimately experiments about how to put those building blocks together into useful nanomechanical systems.

Inspiration for nanomechanical innovation can even be drawn from living organisms - the stickiness of gecko feet or the strength of spider silk may be replicated in nano materials. Participating researchers hope that the advances in nanomechanical engineering that come from COINS will eventually impact fields such as chemical and biological sensing, medical diagnostics, data storage, computation, communication and power generation.

As one of its important emphases, the center will help prepare students to participate in the growing field of nanotechnology as part of its mission.

“We plan to direct UC Merced’s share of the grant toward funding undergraduate research internships in UC Merced investigators’ labs, the development of online course tools in nanotechnology, and summer internships,” said Professor Valerie Leppert, the principal investigator for the UC Merced portion of the COINS grant. Leppert specializes in the study of semiconductor quantum dots, and other small particles used for nanotechnology, with the transmission electron microscope.

Also participating in COINS are Leppert’s colleagues, professors Christopher Viney and Tom Harmon. Viney specializes in engineering materials inspired by natural materials such as the spider and gecko examples mentioned above, while Harmon will work on sensor-related applications for nanomechanical technology, designed to be useful in environmental and water research.

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VGF

UC RiversideHydrogen hybrid cars? Mixing it up with alternative fuels It seems the gasoline-powered internal combustion engine may one day go the way of the dinosaurs—those same dinosaurs that provide the fossil fuel most cars depend on. In the search for alternative fuels, hydrogen is a main contender, promising a clean-burning, renewable energy source. While hydrogen powered cars are available, their range is limited by a lack of refueling stations. A team at CE-CERT is working on solving this problem by creating variable gaseous fuel (VGF) engine technology that would facilitate the design of a car able to run on a mixture of hydrogen and natural gas. The hybrid approach could encourage adoption of hydrogen cars by extending their range as the fueling infrastructure grows.

A critical element of VGF technology developed and patented by the CE-CERT team is a sensor that can detect the exact mix of fuel in a single pressurized tank containing hydrogen and natural gas. The sensor operates by measuring various physical properties of the fuel mixture, such as thermal conductivity and infrared absorption. This sensing is critical, as the two gases may not form a homogenous mixture, potentially creating problems for engine performance. In a vehicle, the VGF sensor would relay information on the fuel gas mix to an engine control module that could automatically adjust parameters like fuel injection and ignition timing to keep the car running smoothly. This sensor, and VGF technology in general, can help the internal combustion engine evolve from a dinosaur into a creature better-suited for long-term survival.

Following an external campus review of “Technology Transfer, Industry Collaboration and Economic Development at UCR,” the UCR faculty and campus administration endorsed a plan which included movement of the management of intellec-tual property from OTT to the campus. It is expected that the establishment of the new campus Office of Technology Commercialization will be completed over the next year and a half. The new campus office will integrate many services which will support intellectual property development and licensing, industry research development activities, and pro-vide assistance for faculty who wish to be involved in their own property development. The new senior Assistant Vice Chancellor for Technology Commercialization will be respon-sible for developing the vision and recruiting the staff for this new campus office, evaluating and marketing inventions and copyrightable works, prosecuting patents, negotiating and administering a variety of legal agreements related to licens-ing intellectual property, providing information and outreach services, and litigation/disputes management.

The UC Riverside campus is experiencing significant growth of its research community and research funding that for the first time exceeded $100 million in FY05. With the addition of the proposed new Medical School, the campus will need this dedicated infrastructure to handle inventions which arise in the medical science area as well as the life sciences and engineering properties, which have been part of its historical Land-Grant background. In the past, the financial support for UC Riverside inventions arose from its agricultural pro-grams, including the development of a chemical fertilizer, as well as improved varieties of turf grass, asparagus, avocado and citrus from the plant breeding programs. The new UC Riverside mandarin varieties are now integrated into a long-term foreign licensing program, which will lead to products of UC Riverside agricultural research being known and used throughout the world.

Nora HackettDirector, Intellectual Property Services

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CE-CERT

UC Riverside researchers turn waste into fuel by adding water Only in fairytales can gold be spun from straw, but UC Riverside engineers are working on a process nearly as magical: a method to efficiently and cleanly transform a variety of waste materials into fuel. A thermochemical conversion process that can use “wet waste” as a carbon source has been the subject of intensive research over the last 5 years by Drs. Colin Hackett (who passed away in 2005), Joseph Norbeck, and Chan Seung Park, at the Center for Environmental Research and Technology in the College of Engineering (CE-CERT). Using a laboratory-scale model reactor, the team has shown their novel hydrogasification process can produce synthetic diesel fuel from agricultural waste, municipal waste, wood, and coal. Realization of the technology on a large scale offers the exciting prospect of easing the demand for landfill for municipal waste and providing an alternative to fossil reserves as a source of fuel gas.

Synthetic natural gas production by gasification of carbon-based feedstock has been studied since the 19th century, but conventional gasification process requires the addition of hydrogen and oxygen to generate fuel. Oxygen production plants are expensive because the oxidative reaction creates hazardous emissions that must be detoxified. By making use of water in “wet waste” carbon sources, the CE-CERT process avoids the need for addition of oxygen and the resulting noxious side-products.

With support from Viresco Energy LLC, a privately held company, a process development unit (PDU) prototype of the reactor has been built and used to validate the underlying concept for the new reactor design. Using coal as a source for conversion into diesel fuel, the PDU, called LISP, is able to convert 50 lbs of feedstock into 2 gallons of diesel per day. A pilot plant is in the planning stages that will have the capacity to transform 10 tons of feed into 30 barrels of fuel per day. The next critical juncture in the research will be to perfect a design for continuous feeding of wet waste slurry into the reactor. Once this is achieved, biomass can be used as a carbon source, offering the prospect that municipal waste may one day be viewed as a resource rather than a problem.

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Ortiva

UC San DiegoShaping the Future of Mobile Content Delivery

When Sujit Dey decided to take a full leave to start a new wireless company, he did so reluctantly. The Electrical and Computer Engineering professor did not want to stop teaching, but otherwise, the technology might never see the light of day. “The companies that expressed interest were technology users, not technology developers,” explains Dey. “After a lot of soul searching, I decided to take the risk.”

In late 2004, he launched Ortiva Wireless. Ortiva’s core software solutions involve dynamically adapting data as a function of the type of network, device, and application being used. “Our pitch to wireless carriers is that our products can increase wireless data capacity and revenues by a very healthy margin, while reducing capital and operating expenditures,” claims Dey. “We also provide significant advantages to content providers and aggregators by allowing them to deliver rich content across any network and device, without the need to develop and maintain network and device-specific content versions. All the above, while significantly improving data quality in the form of 50% better video, and five to ten times faster web browsing.”

Dey got support from UCSD’s Technology Transfer and Intellectual Property Services (TechTIPS) office and the Jacobs School’s von Liebig Center for Entrepreneurism and Technology Advancement, which really helped to facilitate this project. According to Dr. Alan Paau, Assistant Vice Chancellor of Tech TIPS, “The teamwork of the two service units allowed UCSD to make available to Professor Dey a full plate of services – from the protection and licensing of intellectual property to market validation and business formation advice.”

The deal to license the technology from UC was completed in near-record time. “We made the decision in September to start a new company and by December we had an agreement in place with UC,” explains Dey. “There was not a single instance of heartache on either side.” UC received an upfront license fee, and will get a portion of all future revenues generated by Ortiva Wireless. The company has received venture backing from Artiman Ventures, Mission Ventures and Avalon Ventures.

http://www.ortivawireless.com/

UCSD celebrated the 10th anniversary of the establishment of its campus technology transfer program in FY2005. With the support of the campus leadership and the academic community, the office has now matured to a full service operation and was renamed Technology Transfer & Intellectual Property Services (TechTIPS) in 1999 to more accurately reflect its broad purview. TechTIPS’ main responsibilities include: transfer of UCSD intellectual property to suitable partners for development into beneficial services and products for the public good; implementation of UC intellectual property policies; assisting in program development and solving problems that relate to intellectual property matters; and educa-tion and promotion of intellectual property awareness and entre-preneurialism to the UCSD community.

Through the years, TechTIPS is one of the many UCSD units that have contributed significantly to the evolution and transforma-tion of San Diego into a high-wage, technology-based economy. Many technology companies in the greater San Diego community, including startups, benefit from and can trace their roots to UCSD innovations.

To celebrate TechTIPS’ 10th anniversary, the Chancellor’s Asso-ciates, TechTIPS, and Corporate Relations jointly hosted an “In-novators Showcase” on November 9, 2004 with an evening gala reception at the beautiful UCSD Birch Aquarium overlooking the Pacific coast. We took the opportunity to honor many UCSD in-novators whose active participation in and support of the technol-ogy transfer program at UCSD made our job possible. Many of our industrial partners (licensees of UCSD innovations), who play the indispensable role of transforming promising UCSD innova-tions into useful services and products, joined us in the celebration. Luminaries, including industry and community leaders, attended the event. Dr. Martin Rachmeler, founding director of the UCSD technology transfer program on campus, and Dr. William Tucker, Executive Director of the UC system-wide Office of Technology Transfer, were also our honored guests. Chancellor Marye Anne Fox specifically recognized two prominent UCSD inventors, Dr. C. Lowell Parsons (Urology) and Dr. Rama Ranganathan (Radiology), as “Outstanding Inventors” and celebrated their achievements with the presentation of commemorative plaques. Their inven-tions are the bases of two medical products, Elmiron® and Ultrav-ist®, respectively, that not only contribute to human health care but have also been among the UC system-wide “Top 25” royalty-generating inventions for many years.

As the UCSD technology transfer program enters its second de-cade of services, we look forward to continuing our services to our faculty and to the university community.

Sincerely,Alan Paau, MBA, PhDAssistant Vice ChancellorTechnology Transfer & Intellectual Property Services

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Ortiva

Erbitux® (Cetuximab) is a chimeric monoclonal antibody for treatment of metastatic colorectal cancer and head and neck cancer.

ErbituxClinical Product Gains Market Momentum

Adding to the choice of antibody drugs available to target specific aspects of a variety of cancers, Erbitux®(cetuximab) received Food and Drug Administration (FDA) approval in 2004. Derived from a monoclonal antibody developed by former UCSD faculty Gordon Sato and John Mendelsohn, Erbitux® targets and blocks epidermal growth factor receptors on the surface of cancer cells and interferes with the cell’s ability to grow and proliferate.

Licensed by ImClone Systems (IMCL–NasdaqNM) of New York and co-marketed with Bristol-Myers Squibb (BMY–NYSE), Erbitux® sales increased 58 percent during 2005 to $413.1 million. Erbitux® was initially approved to treat colorectal cancers. In March of 2006, ImClone Systems received FDA approval to use Erbitux® to treat head and neck cancer as well.

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LACE

UC San FranciscoInnovative computer tool helps hearing impaired ‘train’ at home

The aging of the baby-boom generation is stimulating innovation in many areas of technology important for seniors. Hearing loss is an especially common experience as we age, and an estimated 28MM Americans currently suffer some degree of impairment. Although hearing aids can help, only an estimated 20% of the hearing-impaired seek treatment. Of those who do wear a device, many are disappointed with the results: hearing aids amplify sound but do not improve other aspects of hearing loss, like impaired frequency and temporal resolution. In addition to the mechanical aid, the hearing impaired need strategies to compensate for the fragmentary auditory signal. With training, listening and comprehension can improve and even result in changes in neurons of the central auditory system. However, individualized therapy to teach auditory skills has rarely been offered because it is time-intensive. A new interactive computer-based training program called LACE (Listening and Auditory Communication Enhancement) addresses this problem by allowing patients a chance to “workout” on their own to improve their listening skills and increase comprehension, especially in difficult conditions.

LACE is the brainchild of Dr. Robert Sweetow, Director of Audiology, and Jennifer Henderson-Sabes, a research audiologist, both at UCSF, and software programmers at NeuroTone, a company created by Gerry Kearby, founder of Liquid Audio, to realize LACE. Over a four week training period, LACE users practice understanding rapid speech, speech in a noisy background, or speech delivered simultaneously with a competing speaker. The difficulty of the comprehension tests is scaled to the user’s ability, to prevent either boredom or frustration. In addition, LACE provides training in cognitive skills that diminish with age, such as auditory memory and speed of processing. Finally, the program also helps users acquire new interactive communication strategies. The program was tested on 80 subjects and results showed that LACE training improved comprehension and increased user confidence in challenging listening situations. A portable version of the program for a hand-held device is being built to allow patients without access to a computer to experience these benefits.

www.neurotone.com

DNDi

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LACE

UCSF team partners with nonprofit to find drugs for sleeping sickness

Sleeping sickness, transmitted by the bite of the tse-tse fly, is endemic to sub-Saharan Africa, where 50 MM people are at risk for the disease. The tens of thousands of Africans infected each year have little hope of a cure. The drugs to treat this otherwise fatal disease are highly toxic or require weeks of impractical IV infusions. Often, treatment simply isn’t available. As for many tropical diseases, pharmaceutical companies have little or no financial incentive to develop new drugs, or even to continue supplying old ones. James H. McKerrow, a professor in the Departments of Pathology and Cell and Molecular Pharmacology at UCSF, has partnered with the nonprofit organization Drugs for Neglected Diseases Initiative (DNDi, www.dndi.org) to discover new drugs against the parasite that causes sleeping sickness, Trypanasoma brucei. McKerrow’s team is taking a two-pronged approach to the task: screening known drugs for activity against T. brucei, and testing novel inhibitors of cysteine proteases for their ability to kill the microbe.

DNDiThe DNDi is pioneering a new

paradigm to fill the gap in global healthcare left by for-profit medicine in developing countries by mobilizing expertise around the world to discover and develop new tropical medicines.

Under the recent agreement with UCSF, DNDi will have a royalty-free license to promising new anti-parasitic compounds for manufacture and low-cost distribution in economically disadvantaged countries, where the drugs are needed most. In a similar spirit, McKerrow and colleagues at other academic institutions have joined together to form a virtual drug company called the Sandler Center for Research in Parasitic Diseases. The consortium taps academic and industry expertise to identify promising leads for new or existing drugs against diseases caused by parasites. Their findings are available to all on their Low Hanging Fruit (www.ucsf.edu/schisto/fruit.html) website.

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QUIKCLOT

UC Santa BarbaraThe past two years have been a time of rapid change in the handling of the intellectual property portfolio at UCSB.

In March 2004, the UCSB Office of Research started to manage part of the campus’ patent portfolio independently. By August 2005, UCSB launched its Office of Technology & Industry Al-liances (TIA), which will fully manage the patent portfolio by the end of 2006. TIA combines technology transfer and man-agement of industry-sponsored projects -- the intellectual prop-erty licensing group and the industry contracts group working side-by-side. This organizational blending provides TIA with the flexibility to negotiate a wide variety of agreements. It also allows TIA the opportunity to assist in identifying new research and licensing collaborations for the benefit of both the campus research program and our partners in industry.

During this fiscal year, we were pleased to see the growing strength of our campus research centers, including the Solid State Lighting & Display Center (SSLDC) and the Mitsubishi Center for Advanced Materials (MC-CAM). These centers have proved highly efficient, each with only about $350,000 expended per invention disclosure (compared to an average of $500,000 per invention disclosure for technology companies, as reported in The Economist). We also continue to see a rich foundation of cross-disciplinary collaboration, with engineers, life, and physical scientists working together to develop novel materials, medical devices, biosensors, and research tools.

The royalty and fee income from the UCSB portfolio increased by forty-seven percent in the past year. The number of license agreements in all forms also increased, by more than a factor of two for the specific case of letters of intent. During this same period, we have increased our patent activity while decreasing our net patent prosecution and maintenance expenses. Inven-tion disclosures are rising as UCSB continues to enjoy a growing international prominence.

Sherylle Mills EnglanderDirector, Office of Technology & Industry Alliances

UCSB researchers improve life-saving blood clotting agent

Marines deployed in Iraq carry what looks like a container of sand but is actually a novel agent used to stop severe bleeding. The granular substance, a product called QUIKCLOT® brand hemostatic agent, is manufactured by Z-Medica Corp., who recently licensed intellectual property originating at UCSB to improve their product. Originally developed in cooperation with the US military and approved by the FDA in 2002, QUIKCLOT® is a novel blood-clotting agent that is helping emergency response personnel and soldiers save lives at home and abroad. Researchers in the laboratory of Galen Stucky, a professor with joint appointments in materials science and chemistry, studied the molecular properties of QUIKCLOT® and used their insights to develop a new formulation.

QUIKCLOT® employs mineral material derived from volcanic rock, generically termed a zeolite, to solve the problem of excessive bleeding. The zeolite acts like a sponge to absorb water from blood by funneling and trapping it in tiny pores. Unlike a sponge, however, QUIKCLOT is selective, leaving clotting proteins in blood behind. Because these proteins and platelets are too large to enter the pores in the zeolite, they become more highly concentrated, speeding up the process of clot formation. The UCSB inventors discovered that zeolite surface chemistry also enhances clotting by activating platelets, binding phospholipids, and providing calcium ions, a cofactor for clotting enzymes.

The original formulation of QUIKCLOT® generates heat when it comes into contact with water, which can produce unwanted effects. The UCSB team found this exothermic reaction was due to hydrogen bond formation between cations in the zeolite and water in the blood. By altering the mix of cations in the formulation, they were able to eliminate the problem. The new formulation discovered at UCSB includes silver ions, which have known antibiotic activity, further enhancing the product’s usefulness in wound treatment. It is currently undergoing testing in animals and is expected to be approved and released in summer 2006.

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SSLDCQUIKCLOT

The UCSB Solid State Lighting & Display CenterCurrently, lighting consumes 22% of all electricity

produced in the United States. Solid state lighting, essentially a sandwich of semiconductor layers built on a substrate, creates light without heat, resulting in far less energy loss than traditional lighting. The U.S. Department of Energy estimates over $98 billion in energy savings could be realized by 2020 if solid state lighting can achieve breakthrough efficiency targets of 200 lumens/Watt (60%). With these efficiencies, solid state technologies have the potential to more than double the efficiency of general lighting systems in the coming decades, conserving enough electricity to power the states of Arizona, Colorado, and Mississippi and significantly reduce the number of new power plants that must be built. No other single lighting technology offers so much potential to conserve precious electricity.

Against this backdrop, the Solid State Lighting & Display Center (SSLDC), one of UCSB’s most dynamic research centers, is focused on advancing new semiconductor-based energy efficient lighting and display technologies through partnering with key industry leaders. The realization of the full potential of these technologies requires a focused and coordinated effort across a range of disciplines, including materials science,

electrical engineering, chemistry, and physics. The SSLDC features many prominent UCSB faculty members, including Drs. Shuji Nakamura, Steven DenBaars, Umesh Mishra and James Speck.

By maintaining a modest number of industry members (ten leaders in the industry) and inviting each to send visiting scientists, the SSLDC has created a highly interactive forum where academic and industrial researchers work in collaboration to understand and address the most challenging problems in solid state lighting. Since its inception in March, 2001, SSLDC has produced thirty-four (34) inventions, many of which should be a part of the next generation of lighting technologies – assuring the lighting of tomorrow will be as efficient as it is bright.

Angular-resolved photoluminescence spectrum from a Gallium Nitride photonic crystal. The Shuji Nakamura group has developed novel light-emitting diodes, shown above, which will further increase power efficiency. Researchers utilized semi-polar crystallographic planes of gallium nitride.

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MotionDSP

UC Santa Cruz

MotionDSP brings low-resolution digital video into focus

A pixelated blur in a surveillance video is transformed into a sharply detailed portrait. An infra-red image of what looks like a series of blocks is made to reveal trucks and tanks. Titles on the spines of books emerge from a fuzzy video of a library shelf. This trick of reconstructing high-resolution images from low-resolution originals is called computational super-resolution. Peyman Milanfar, an associate professor in the Electrical Engineering department at UCSC and director of the Multidimensional Signal Processing group, is a pioneer in the field. With funding from the National Science Foundation and the US Air Force, Milanfar and his colleagues developed novel super-resolution solutions described in 5 pending patent applications. In 2005, Milanfar licensed this intellectual property and founded a startup to commercialize software based on his research, along with cofounder Sean Varah. The company, MotionDSP (for Digital Signal Processing, www.motiondsp.com), specializes in resolution enhancement software for video.

Any amateur photographer knows from experience the difficulty of accurately capturing a scene through a lens. Optics are imperfect and movement of the camera or subject, however small, are unavoidable. In digital video, the problem is worsened by the limited number of picture elements (pixels) available. Somewhat counterintuitively, MotionDSP software takes advantage of these inconsistencies and motion to generate sharper images using stable mathematical algorithms.

Video stills with and without MotionDSP enhancement

MotionDSP plans to apply their technology to internet video, consumer imaging, and video surveillance markets. According to Varah, “We’re very excited about MotionDSP’s opportunities in internet video and consumer-created content. Our development is focused on enabling this ‘long-tail’ content to reach the broadcast quality consumers demand.” Milanfar thinks the timing is right for commercializing this technology. “Consumers are excited to take images and videos with their mobile phones and webcams, and share them on the internet. But they’re disappointed with the results. More pixels don’t help. You need better signal processing to fix the problem. We hope to be to video what Dolby was to audio.”

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ZMOS

MotionDSP

ZMOS technology designs power-saving chips for next generation devices

Dr. Steven Kang, Dean of the Baskin School of Engineering and Professor of Electrical Engineering at UC Santa Cruz, has some bright ideas about chip design that could be coming soon to your mobile phone. Dr. Kang and his co-inventor, Dr. Scott Yoo, generated extensive intellectual property describing chips designed to reduce current leakage, called Z-technology. In 2004, ZMOS Technology signed exclusive licenses to Z-technology from UC and the Univ. of Illinois and are rapidly moving to commercialize their work.

ZMOS Technology designs circuits that address the problem of power loss, or leakage, when devices are turned off. The magnitude of leakage or “static” power consumption is surprisingly large: In high-performance microprocessors it can account for up to 40% of total power use. With the continued drive to higher performance and miniaturization, solving the power loss issue is a critical next step for the industry. The leakage places limits on microprocessor size and speed and, in mobile devices, translates into shorter battery life. As chips grow ever smaller, the voltage they require drops, and current leakage becomes an even more critical issue for device performance and battery life.

ZMOS Technology is first applying their innovative chip architecture, based on Z-technology, to producing prototype memory chips, although the approach can be applied to logic chips as well. In a prototype chip produced in January 2005, the company realized a 1000-fold reduction in current leakage, while doubling the speed. The company is currently working with major manufacturers in Korea and Japan to bring chips incorporating Z-technology to market. Manufacturing of the first such chip for consumer applications, particularly mobile devices, is expected to begin as early as 2006.

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CAD

Lawrence Berkeley National LaboratoryIn 2005, with a management team led by Nobel prizewinner Steven Chu, the University of California won the competition to continue managing Berkeley Lab on behalf of the U.S. De-partment of Energy. Under UC management, the Lab has for 75 years, done cutting edge scientific research and generated inventions from fields as diverse as life sciences, nanoscience, energy and environmental science, high energy and astrophys-ics, and integrated computing.

Most measures of technology transfer show significant increas-es this year, for example:

• Over 120 new inventions and 35 software programs reported,

• A 19% increase of licensing revenue to $2.5M,

• Several new start-up companies based on Berkeley Lab tech-nologies, including RSL Energy and SeeqPod.

• Four R&D 100 Awards.

We look forward to new and ongoing relationships with indus-try during the next year through our user facilities, collabora-tive and sponsored research, and licensing activities.

Cheryl FragiadakisTechnology Transfer Department HeadLawrence Berkeley National Laboratory

Next Generation Coronary Artery DiagnosticIn 2005, Berkeley Lab licensed to Quest Diagnostics, Inc.

and Berkeley HeartLab, Inc. a cholesterol assessment test that will help identify individuals who may have no idea that they are at risk from coronary artery disease (CAD). Eighty percent of individuals suffering from CAD have normal cholesterol levels. Half of the 1.5 million heart attacks in the U.S. each year strike people without symptoms who have normal cholesterol levels.

The Berkeley Coronary Artery Disease diagnostic was developed by Henry Benner, Ron Krauss, and Patricia Blanche and is the first rapid, direct method for lipoprotein measurement and assessment. In one analytical step performed in only minutes, this technique simultaneously analyzes all classes and subclasses of cholesterol-transporting lipoprotein particles with respect to their number, mass, and surface area. The technology is based on measuring the drift of charged particles as they are dragged through air by the force of an electric field and then determining particle size from drift velocity. Both of the licensees are now developing diagnostic products that could make lipoprotein analysis tests as routine as life-saving mammograms and basic cholesterol screens.

Inventors of Berkeley Lab’s Next Generation Coronary Artery Diagnostic. Left to right: Ronald Krauss, Patricia Blanche, W. Henry Benner

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Lawrence Berkeley National Laboratory

Software for Finding Fossil FuelsGreg Newman has developed software to discover fossil

fuel deposits that can’t be detected by current technologies alone, helping energy supplies keep pace with increasing demand. The software will also aid oil and natural gas companies in minimalizing the economic risk and environmental damage of drilling unprofitable wells.

Building on a relatively recent discovery that low frequency electromagnetic waves are sensitive to the presence of hydrocarbon, the software interprets data gathered when these waves penetrate and interact with the earth’s subsurface. The 2D and 3D models generated from the data augment the seismic mapping methods that traditionally inform fossil fuel development decisions. The software has been licensed by oil and gas exploration companies, including Shell and ConocoPhilips, and has drawn Exxon as a collaborative research partner.

Current solar cell technology like this residential system in Oahu, Hawaii is less than half as efficient as it might be once solar cells are made from revolutionary Berkeley Lab materials.

Plots of electrical conductivity over the Troll Field in the North Sea produced by analyzing 3D electromagnetic field data

High Efficiency Material for Competitive Solar Power

Berkeley Lab’s breakthrough multi-band gap semiconductor and solar cell technology was licensed in 2005 to RoseStreet Labs. The new material, invented by Wladek Walukiewicz and Kin Man Yu, absorbs photons from virtually the entire solar spectrum and has the potential to achieve efficiencies as high as 60-70 percent, compared to current solar cell performance of approximately 25 percent. This technology should be as easy to manufacture as today’s solar cells are. This combination of high energy conversion efficiency and low manufacturing costs is unique and will result in solar cells that can compete directly with fossil fuel-based power, without being subsidized.

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Lawrence Livermore National LaboratoryTechnology transfer is very important to LLNL because it allows us to first, fulfill those of our missions that require our technology to be commercialized and second, to contribute to the private sector.

As one example of the former, when Laboratory-developed homeland security technologies are transferred to the private sector, they can be commercialized and made available to those who secure our borders and airports, monitor public places for biological or chemical attacks, and respond to emergencies. As a recent illustration, Innovative Survivability Technologies (IST), a small business in Goleta, California, is commercializing LLNL’s Adaptable Radiation Area Monitor (ARAM). ARAM is designed to accurately detect even small amounts of radiation from a distance and moving as fast as 60 miles per hour so that dirty bombs and other radiological weaponry can be found without interrupting the flow of fast-moving vehicles, pedestrians, lug-gage, and packages. After licensing in 2004, IST very quickly moved to commercialize the technology: to date, 16 units have been delivered for deployment at California border crossings.

Many of our licensees and technologies have won awards and national recognition for products based on LLNL technology. A few recent examples are:

• Start-up licensee Cepheid was named to Deloitte’s Technol-ogy Fast 500, fastest growing technology companies in North America in 2005.

• The Frost & Sullivan Technology of the Year Award was pre-sented to the Saab Rosemount’s radar-based tank gauging technology.

• Licensee Cellerant was named as one of the “Fierce 15” emerg-ing biotech companies in 2005.

• LLNL inventions have garnered a total of 106 R&D 100 Awards winning four in 2005.

We are very proud of the success of our licensees and would like to share two other successes in more detail below. For more in-formation on industrial partnering, please visit our website at www.llnl.gov/IPandC.

Karena McKinleyDirector, Industrial Partnerships and Commercialization

Laser-Peening System for Metal Life ExtensionThe world’s longest commercial nonstop flight from New

York’s JFK Airport to Singapore is possible in large part because of a process developed jointly by LLNL laser scientists and Metal Improvement Company, Inc. (MIC) of Paramus, New Jersey. The process strengthens components, enabling improvements in fuel efficiency and thus the longer distance flight. During construction of the Trent 500 engines for the A340 aircraft, the engine’s fan blades are peened using a laser beam. Shockwaves from the rapidly firing laser beam, similar in origin to those created in the Laboratory’s laser fusion work, compress the metal surface, giving the blades greater fatigue strength and making them safer by generating beneficial compressive stress four times deeper below the surface than conventional shot peening can achieve. MIC’s facilities in Livermore and Earby, Lancashire, U.K. reported having achieved a combined milestone of laser peening over 16,000 Rolls Royce Trent fan blades and fan discs.

Because parts last longer with laser peening, the time between periodic inspections and overhauls can safely be extended, and maintenance costs, including aircraft down time, are lower. Laser peening is gaining momentum as a tool to extend the useful life of highly stressed metal parts.

Over 40 new applications are being developed in aircraft, helicopters, Formula One race cars, and even in the semiconductor manufacturing industry. A newly developed mobile laser peening system that can be transferred anywhere in the world will bring the technology to new potential users and applications, especially remote U.S. military needs, or in the aerospace, oil and gas and nuclear power industries. This new technology received an R&D 100 Award in 1998 and again, for new applications, in 2001 and 2003.

Between May 2002, when MIC started operations in its facility in Livermore, and early 2005, this entirely new manufacturing plant created 30 new jobs in the Livermore area and an additional 30 jobs in the U.K. The number of production peening systems is being increased by 50% again during 2006 and more high quality technical jobs as well as lower skill support jobs are being added.

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NanoFoilLawrence Livermore National Laboratory

NanoFoil® Solders with Less Heat Soldering and brazing are now possible without furnaces, torches, or lead

One of the early nanotechnology products making its way into the commercial marketplace is a new class of material called NanoFoil®. A critical issue in computer and semiconductor design is developing effective methods to conduct heat away from a computer chip, without damaging or destroying the chip. NanoFoil® does just that—creating a strong, thermally conductive bond between a heat sink and a chip with no damage to the chip. Nanofoil® can be used to bond metals, ceramics, semiconductors, and polymers. It will even bond dissimilar materials without causing them to crack. Developed jointly by Lawrence Livermore National Laboratory (LLNL), Johns Hopkins University, and Reactive NanoTechnologies, Inc. (RNT) of Hunt Valley, Maryland, NanoFoil® is now manufactured and sold exclusively by RNT.

NanoFoil® delivers just enough heat to melt a solder but not enough to damage a chip. When one end of the foil is pulsed with energy, NanoFoil®’s thousands of nanolayers of nickel and aluminum begin to chemically react and release heat into the surrounding solder material. This reaction front self-propagates across the foil, causing the temperature of the reacted area to leap to more than 1,500°C while the remainder of the foil remains at room temperature. The bond produced can be customized for specific uses by controlling properties of this chemical reaction.

NanoFoil® offers a replacement for epoxies and solder in mounting components on circuit boards, eliminating the need for environmentally unsound lead-based solders. Because it creates strong, large-area metallic joints between ceramic and metal, it also may be used to attach ceramic armor tiles to military tanks and trucks. Other potential applications include mounting magnetron sputtering targets; hermetically sealing devices such as photocells, capacitors, and sensors; and igniting solid propellants. Because of NanoFoil®’s unique properties, the technology is gaining considerable high-profile exposure. It was featured on the cover of the Strategic Plan for the National Nanotechnology Initiative published in December 2004 by the Executive Office of the President and won an R&D 100 Award in 2005.

A NanoFoil® is pulsed with energy to ignite a reaction with the foil. Image courtesy of Reactive

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Los Alamos National LaboratoryThe Los Alamos National Laboratory (LANL) Technology Trans-fer (TT) Division enhances the Laboratory mission by partnering with industry, by accelerating the creation of products from Los Alamos discoveries, and by fostering a regional entrepreneurial economy. As the primary bridge between the nation’s leading sci-ence laboratory and the commercial world, our responsibilities are more varied than other comparable technology commercialization organizations in any of our sister labs. In TT Division today, our organizational responsibilities include the following:

· Implementing and managing a wide variety of partnership, commercialization, and licensing mechanisms and programs;

· Managing the Laboratory’s intellectual property (patents, copy-rights, and disclosures);

· Developing productive strategic partnerships with industry;

· Developing a sustainable, technology-focused, regional econo-my;

· Marketing Laboratory technologies and industrial programs; and

· Educating our customers through commercialization and entre-preneurial training programs.

During the past decade, partnering with industry has been an area of increasing interest to Los Alamos. We have focused on strategic relationships based on solving problems that strongly overlap both national security and industry needs. For example, The Laborato-ry’s decade-long partnership with Procter & Gamble (P&G) has led to PowerFactoRE, a software and training innovation for predicting manufacturing reliability in both the weapons complex and the consumer products arena. This tool has saved P&G well over $1 billion in manufacturing costs. In addition, for the past three years, we have strategically reinvested revenues from license and prod-uct royalties to accelerate commercialization of technologies from long-term research efforts such as high-temperature superconduc-tivity and fuel cells. Through our Technology Maturation program we have re-invested about $1.4 million in 31 projects, generating an ROI of nearly $10 million. By engaging industry in providing feed-back on milestones that demonstrate commercial potential for inventions still in the conceptual stage, we are narrowing the gap from discovery to production.

Duncan McBranchDivision LeaderTechnology Transfer Division

Turning Science into Products: Los Alamos National Laboratory’s Technology Maturation Fund

“The Technology Maturation Program has been the most efficient and red tape-free program out of all Laboratory operations/initiatives I have been exposed to since I came here in 1997.” — Piotr Zelaney (Laboratory Staff Member)

The Technology Maturation Fund—a modest grant program managed by the Technology Transfer (TT) Division—is an innovative approach piloted by the Laboratory to support early stage technologies perceived to have high commercial potential. Unlike many types of funding within the Laboratory, these awards are not for a specific time period but rather to achieve a specific milestone in a defined development path leading to technology commercialization, effectively removing specific hurdles along the product development path. Funds for the program, up to a current maximum of $450,000 per year, are derived from a combination of licensing/royalty revenues and monies earmarked for this purpose. This grant program is similar to a venture capital fund but invests in Lab technologies rather than start-up companies in an effort to move promising technologies to proof-of-concept or prototype stage to attract potential licensees or investors. This is a relatively unique concept for a national laboratory—similar programs exist at only a handful of other research institutions and universities nationwide.

For example, the Technology Maturation Fund helped Los Alamos scientist John Ramsey and his team build a prototype fuel cell stack to prove their technology and to fulfill the technical requirements of a small, Colorado company, Mesoscopic Devices Inc. Soon after Ramsey’s team successfully completed its working prototype, the design was transferred to Mesoscopic under a government-use agreement with the Laboratory. According to Ramsey, Mesoscopic’s Los Alamos-based fuel cell stack has the highest power-to-weight ratio on the market. “It was that number and the clean packaging that attracted Mesoscopic,” said Ramsey.

This direct methanol fuel cell/battery hybrid integrated power system was developed by Mesoscopic Devices, LLC in collaboration with Los Alamos.

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Los Alamos National LaboratoryFrom the Lab to the Marketplace: A New High-Tech Business for New Mexico

Among Los Alamos National Laboratory researchers, few are as inventive as Dr. Benjamin Warner who has 22 patents and patent applications to his name, the majority of which have been successfully commercialized. Warner’s patents span a variety of markets and include a self-dimming automobile mirror and a beryllium detector. Warner recently took Entrepreneurial Leave of Absence from the Laboratory to personally commercialize one of his latest inventions—a revolutionary approach to testing a single chemical against thousands of proteins at once.

Warner’s company, Caldera Pharmaceuticals raised approximately $7 million in financing to address an important drug development problem in the pharmaceutical industry. Today’s high drug-development failure rate—the primary cause of the high cost of new drugs—is driven by the inability to measure more than an infinitesimal number of protein-drug interactions. MESA, (measuring enzyme substrate affinities) has the ability to measure a very large number of these interactions and detect toxicity quickly.

Using the MESA technology, Caldera Pharmaceuticals believes it can save the $40-billion-a-year drug discovery industry billions of dollars by shortening the testing process, essentially weeding out potentially dangerous drugs before they reach expensive clinical trials. According to Warner, “We can do in eight hours in vitro what others do in animal trials.”

A fluorescing drug molecule (the glowing gold oval) binds to a protein (twisted and coiled thin teal “rope”) within a “ribbon” representation of a bacterial ribosome, a frequent target for antibiotic drugs. This binding of the native drug to a protein molecule would be unambiguously detected by the MESA label-free measurement technology.

Ben Warner hands a check to Laboratory licensing executive Laura Barber for the license to MESA for his start-up company, Caldera Pharmaceuticals.

In the course of commercializing his many patents and laying the groundwork for his new company, Warner worked closely with the Technology Transfer Division’s MBA summer interns as both customer and mentor. One of these interns helped Warner write the successful business plan that helped him launch his new company with $7 million in equity and debt financing. Another former MBA intern has recently joined Caldera as vice president of Business Development. The company is already making an impact on the local business community.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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Activity and financial information in this Annual Report is divided into two parts. The UC Campus Portfolio section (pp. 30-43) presents results related to the patenting and licensing of inventions for the ten-campus system for the fiscal year ending June 30, 2005. This portfolio of inventions was managed by the Office of Technology Transfer (OTT) within the Office of the President (UCOP) and eight campus-based licensing offices. These include the Intellectual Property and Industry Research Alliances office at UC Berkeley, the Technology and Industry Alliances at UC Davis, the Office of Technology Alliances at UC Irvine, the Office of Intellectual Property Administration at UC Los Angeles, Technology Transfer and Intellectual Property Services at UC San Diego, the Office of Technology Management at UC San Francisco, the Office of Technology and Industry Alliances at Santa Barbara, and the Office for Management of Intellectual Properties at UC Santa Cruz.

The DOE Laboratory-managed Portfolio section (pp. 44-45) provides activity and financial information related to technology transfer at the three Department of Energy (DOE) Laboratories managed by the University. Information on the Laboratories is reported separately because certain aspects of technology transfer are different at the Laboratories as compared with the rest of the University. Among these differences is the reporting period, which covers the fiscal year ending September 30, 2005.

Part 1: The systemwide/Campus PortfoliosTechnology Transfer activity

INvENTION REPORTINGDuring the twelve-month period ending June 30, 2005,

a total of 1,304 inventions were disclosed by faculty and researchers at the ten UC campuses. This represents a 9% increase when compared with the 1,196 new inventions reported in FY04 (Exhibit 1).

ExhibiT 1

INvENTIONS REPORTED

700

800

900

1000

1100

1200

1300

1400

FY05FY04FY03FY02FY01

1,196

1,304

957

1,027973

Inventions in life science disciplines including medicine and biotechnology accounted for over 70% of the new inventions, while those from the physical sciences and engineering accounted for most of the balance. Over time, the pattern of invention disclosure by broad technology area has approximated the distribution of extramurally-sponsored research at the University. The distribution of newly reported inventions by campus is shown in Exhibit 2. Notably, in this first year as an operating campus, Merced also began its participation in the technology transfer program with its first disclosure.

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ExhibiT 2

INvENTION DISCLOSURES BY CAMPUS*Year Ended June 30, 2005

UCSD 290UCSF 148

UCB 126

UCD 145

UCI 141

UCLA 291

UCM 1UCR 46

UCSB 94UCSC 32

* Inventions having inventors from more than one campus are counted multiple times, once for each campus with an inventor.

As of June 30, 2005, the systemwide invention portfolio was comprised of 7,395 active inventions. The size of each campus invention portfolio is indicated in the exhibit below.

ExhibiT 3

CAMPUS INvENTION PORTFOLIOS*Year Ended June 30, 2005

UCB 797

UCD 841

UCI 560

UCLA 1,151

UCM 1

UCR 301

UCSB 473

UCSC 91

UCSD 1,913

UCSF 1,336

*Inventions associated with inventors from more than one campus are reported multiple times in this exhibit.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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PATENT ACTIvITYThe University of California has received more patents

than any other university in the world. A patent is a form of intellectual property protection granted by the US or a foreign government that gives the patent holder the right to exclude others from making, using, or selling the patented invention for a defined period of time, generally twenty years from the date the patent application is first filed. Both US and foreign patent rights often must be pursued for an invention in order to maximize the likelihood of successful commercialization.

ExhibiT 4

PATENT ACTIvITYYear Ended June 30, 2005

U.S. Applications Filed First Filings 601 Secondary Filings 429 Total 1030

First Foreign Filings* 284

US Patents Issued 310

Foreign Patents Issued 416

*An invention is counted only one time in the first foreign filings category regardless of the number of countries in which foreign patent protection is sought.

Systemwide patent activity for FY05 is presented in Exhibit

4. Acquiring adequate patent coverage for all aspects of a new technology may require more than one patent filing for a given invention. Such secondary filings frequently lead to the issuance of multiple patents related to a single initial invention. Several years typically elapse between the time a patent is filed and the date of issuance. Exhibit 5 shows the number of patents issued to the University in the past five years.

ExhibiT 5

US PATENTS ISSUED TO UC

0

50

100

150

200

250

300

350

FY05FY04FY03FY02FY01

298 300323

270

310

At the end of FY05, there were 3,275 US and 3,168 foreign

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patents in the systemwide portfolio (Exhibit 6). The number of US patents in each campus portfolio is presented in Exhibit 7.

ExhibiT 6

TOTAL UC PATENT PORTFOLIO

0

500

1000

1500

2000

2500

3000

FY05FY04FY03FY02FY01

U.S. Foreign

2,267

1,780

2,502

2,051

2,364

2,8372,753

3,0243,168

3,275

ExhibiT 7

CAMPUS US PATENT PORTFOLIOS*Year Ended June 30, 2005

UCB 508

UCD 405

UCI 199

UCLA 436

UCR 81

UCSB 274

UCSC 32

UCSD 561

UCSF 800

* Patents associated with inventors from more than one campus are reported multiple times in this exhibit.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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LICENSING AND RELATED ACTIvITYA license agreement grants a licensee access to a University

invention in exchange for the licensee’s commitment to further develop and commercialize the invention. Utility licenses generally cover useful processes, machines, manufactured items, or compositions of matter protected by utility patents. Most utility patents are licensed exclusively to a single company for a defined use, although non-exclusive licensing of utility patents sometimes occurs. In contrast, plant licenses cover sexually and asexually reproduced plant varieties and are licensed non-exclusively to multiple growers and distributors worldwide.

The provisions of the license define the rights and responsibilities of the two parties. In the typical license agreement, the licensee is granted access to an early stage invention that is protected by a University patent. In exchange, the licensee makes a commitment to commercialize the invention and pay the University agreed-upon fees, reimbursement of expenses and royalty payments when products reach the marketplace. The specific terms of the agreement are determined through a complex negotiation process. Prior to the execution of a license, certain shorter-term agreements are sometimes executed. A secrecy agreement is used in conjunction with marketing and affords a potential licensee access to confidential information that assists the company in determining if it has an interest in pursuing a license for a given technology. Approximately 900 secrecy agreements are entered into by the University system each year. A letter agreement generally is used to confirm a company’s intent to negotiate a license and often commits a company to pay certain fees or patent costs while negotiations are underway. Option agreements are similar in scope to license agreements and protect a licensee’s interest in an invention while more in-depth technical or marketing research is performed.

In FY05, UC entered into 386 licenses and related technology transfer agreements. As indicated in Exhibit 8, these included 186 utility license agreements, 57 plant license agreements, 22 option agreements, and 121 letter agreements.

ExhibiT 8

Year Ended June 30, 2005

Agreements Executed Letters 121 Options 22 Utility Licenses 186 Plant Licenses 57

Total Active Licenses Utility Licenses 1114 Plant Licenses 488

At the close of the fiscal year, the systemwide portfolio totaled 1,602 licenses. In managing these agreements, the University must collect monies when due and monitor progress to ensure that the licensees exercise due diligence in developing inventions toward commercial application.

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ExhibiT 9

TOTAL UTILITY LICENSES

0

200

400

600

800

1000

1200

FY05FY04FY03FY02FY01

1,114983

788902867

ExhibiT 10

TOTAL PLANT LICENSES

0

200

400

600

FY05FY04FY03FY02FY01

454472 473454488

Exhibits 9 and 10 show the five year trend in the size of the portfolio of UC utility and plant licenses. Each year some agreements expire or are terminated. In general, the total number of active utility agreements has continued to rise due to increasing licensing activity throughout the system. In the plant area, a wide variety of fruits, vegetables and grasses were the subject of 488 agreements. Strawberry licensing continues as a strong component of the plant program and modifications in UC plant licensing practices overseas are being made in order to promote the more controlled distribution of a range of UC cultivars.

Exhibit 11 shows the number of utility license agreements associated with each campus. In addition, the Davis campus has 399 plant licenses in its portfolio and Riverside has 89.

ExhibiT 11

TOTAL UTILITY LICENSES BY CAMPUS*Year Ended June 30, 2005

UCB 219

UCD 86

UCI 57

UCLA 144

UCR 12

UCSB 29

UCSC 8

UCSD 257

UCSF 326

*Licenses associated with inventions that have inventors from more than one campus are reported multiple times in this exhibit.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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Technology Transfer revenues

TOTAL LICENSING REvENUESTotal licensing revenue, the income the University receives

from its agreements with industry, was $109.6 million in FY05 (Exhibit 12). There are several components of total licensing revenue: Agreement issue fees, maintenance fees, and other “milestone” payments are received on specific dates or at specific points in the product development process. These payments encourage companies to diligently pursue product commercialization. Earned royalties account for the largest portion of revenues and are received once commercialized products and processes incorporate University inventions. Reimbursements, the final component of licensing revenues, represent the recovery of patent and legal expenses.

ExhibiT 12

TOTAL LICENSING REvENUE(in millions)

0

20

40

60

80

100

$120

FY05FY04FY03FY02FY01

Patent/legal reimbursement revenue

Total income

10.0

72.9

11.8

88.2

67.0

79.314.3

13.9 92.9

16.7

$82.9

$100.0

$81.3

$93.2

$109.6

Exhibit 13 shows the amount each campus contributed to FY05 total licensing revenue.

ExhibiT 13

TOTAL LICENSING REvENUES BY CAMPUS*Year Ended June 30, 2005

(in thousands)

UCB $8,919

UCD $10,495

UCI $12,052

UCLA $21,714

UCR $1,680

UCSB $2,367

UCSC $150

UCSD $21,058

UCSF $28,543

Other* $2,633

*Revenues primarily from a portfolio of 72 OTT-managed DOE Laboratory inventions, most disclosed prior to the establishment of the Laboratory-based licensing offices.

ROYALTY AND FEE INCOMERoyalty and fee income in FY05 was $92.9 million. This

income derived from 1,238 inventions. As compared with FY04, royalties and fees increased 15%, with several of the University’s top inventions showing increases over the previous year, and several new inventions added to the list.

In FY05, $332,982 was realized from the sale of equity previously acquired under 3 license agreements. As a result of these transactions and the execution of 7 licenses and license amendments in FY05 that included equity as a partial consideration, at the end of the fiscal year the University held equity related to technology transfer activities in 71 companies.

Income from the top five commercialized UC inventions (i.e. inventions that had reached the marketplace and were generating earned royalties) contributed $42.4 million in FY05, accounting for 45.2% of total royalty and fee income (Exhibit 14). The top twenty-five royalty-earning technologies collectively accounted for $66.7 million or 71.3% of total royalties and fees. Five inventions appeared on the list of top-earning inventions for the first time in FY05: Egf Receptor Antibodies, Ventana Strawberry, Network Switch Scheduling Algorithm, Mycoplasma

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Detection by DNA Hybridization, and Human Cytomegalovirus Diagnostic.

ExhibiT 14

UC TOP-EARNING INvENTIONS*Year Ended June 30, 2005

(in thousands)

invention (Campus, Year disclosed)Hepatitis-B Vaccine (SF, 1979 and 1981) $ 16,434

Dynamic Skin Cooling Device (IR, 1993) $ 8,777

Treatment of Intracranial Aneurysms (LA, 1989) $ 7,713

Interstitial Cystitis Therapy (SD, 1980) $ 5,091

Biodegradable Implant Coils (LA, 1998) $ 4,358

subtotal (Top Five inventions) $ 42,373

Egf Receptor Antibodies (SD, 1983)** $ 3,615

Camarosa Strawberry (DA, 1992) $ 2,955

Energy Transfer Primers (BK, 1994) $ 1,803

Cochlear Implants (SF, 1979) $ 1,538

Chromosome Painting (LLNL, 1985) $ 1,414

Firefly Luciferase (SD, 1984) $ 1,406

Liposome Storage Method (DA, 1984) $ 1,334

Fluorescent Conjugate Probes (BK, 1981) $ 1,197

Nicotine Patch (LA, 1984) $ 1,175

Feline AIDS Virus Diagnostic (DA, 1986) $ 1,083

Fluorescent Dyes-Calcium (BK, 1984) $ 1,016

Aids for Learning Disabled (SF, 1994) $ 979

Feline Leukemia Virus Diagnostic (DA, 1980) $ 952

Universal Oligonucleotide Spacer (BK, 1996) $ 676

Ventana Strawberry (DA, 2001)** $ 581

Laser/Water Atomic Microscope (SB, 1989) $ 561

Network Switch Scheduling Algorithm (BK, 1995)** $ 558

Mycoplasma Detection by DNA Hybridization (IR, 1984)** $ 519

Radiographic Media (SD, 1979) $ 504

Human Cytomegalovirus Diagnostic (SD, 1982)** $ 487

Total income (Top 25 inventions) $ 66,726

Total income (all inventions) $ 92,902

% of Total from Top 5 inventions 45.6%

% of Total from Top 25 inventions 71.8%

*This list is limited to revenue-generating inventions that have been commercialized.**Inventions that have appeared for the first time on this list.

PAYMENTS TO JOINT HOLDERSWhen an invention results from collaboration between UC

and non-UC researchers, multiple entities may become joint holders of the invention-related patents. In these instances, interinstitutional agreements are negotiated to establish which entity will manage the patenting and licensing of the invention and the collection and distribution of invention income; such collaborations are relatively common. In FY05, 265 of 1,304 new disclosures (20%) included non-UC inventors and 60 new interinstitutional agreements were signed.

In FY05, $5.4 million was redistributed to other entities for 155 inventions covered by interinstitutional agreements. For financial reporting purposes, these monies are treated as an offset to income. The largest payment to a joint holder was $3.5 million to the University of Washington (UW) for the Hepatitis-B Vaccine. Over the past five years this invention has accounted for most of the UC payments to joint holders, as reflected in Exhibit 15.

ExhibiT 15

PAYMENTS TO JOINT HOLDERS(in millions)

0

1

2

3

4

5

6

$7

FY05FY04FY03FY02FY01

UWOthers

0.8

5.4

1.1

5.04.7

4.0

1.2

1.0

3.5

1.9

$6.2 $6.1 $5.9

$5.0$5.4

REvENUE ASSOCIATED WITH PATENT/LEGAL ExPENSES

Because inventions are highly technical, the University uses specialized outside attorneys to draft and secure patent protection both in the U.S. and abroad. Costs to secure, maintain and protect patent rights associated with an invention are substantial. Obtaining a licensee’s commitment to reimburse these costs is a high priority objective of license negotiations, and reimbursements, therefore, are considered to be part of total licensing revenue. In FY05, the University received $16.7 million in licensing revenue from patent/legal expense reimbursements.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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Technology Transfer expenses

LEGAL AND OTHER DIRECT ExPENSESLegal and other direct expenses totaled $34.4 million in

FY05 (Exhibit 16). Most technology transfer legal expenses are associated with patent prosecution defined as payments to outside counsel for drafting patent applications as well as other costs for securing and maintaining patent protection for University inventions. The extent of reimbursement of legal and other direct expenses is a negotiated term of a license agreement and not all agreements commit the licensee to reimburse the University for these costs. In FY05, reimbursements of legal expenses totaled $16.7 million, resulting in net legal expenses of $17.7 million (Exhibit 16).

ExhibiT 16

LEGAL ExPENSES(in millions)

0

5

10

15

20

25

30

$35

FY03FY02FY01FY00FY99

$27.9$28.7

$14.8

$17.7

$12.3 $13.4 $13.6

$34.4

$22.3

$25.2

Gross legal expensesNet legal expenses

Exhibit 17 provides a breakdown of FY05 net legal expenses (i.e., legal expenses after reimbursements) by category. Patent prosecution accounted for $9.2 million of the $17.7 million in net legal expenditures. This past year, we had significant patent infringement expenses for three inventions. Although such disputes are often costly, their resolution may yeild substantial revenues for the university.

ExhibiT 17

NET LEGAL ExPENSESYear Ended June 30, 2005

(in millions)

Interference & Infringement39%

Legal Defense9%

Patent Prosecution52%

It is anticipated that University licensing personnel will continue to be successful in negotiating reimbursement of a substantial amount of patent costs. Nonetheless, it is expected that there will continue to be significant legal expenses associated with patenting and litigation as the technology transfer program matures, patent activities continue to accelerate, and relationships with inventors, sponsors and licensees become increasingly complex.

OPERATING ExPENSEOperating expense rose slightly to $15 million in FY05. This

category of expenditures covers administration of the technology transfer program at OTT and the eight campus-based licensing offices, and primarily consists of employee salaries, benefits, and expenses for equipment and supplies. In some instances, rent is included as well. Because the scope of responsibilities and operations at campus-based offices vary substantially, what is included as technology transfer operating expense is not entirely comparable from office to office. The increase in operating expense seen over the last several years (Exhibit 18) is due to the expansion of campus-based technology transfer activities and the support of a more broadly distributed approach to technology transfer administration.

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ExhibiT 18

OPERATING ExPENSE(in millions)

0

3

6

9

12

$15

FY05FY04FY03FY02FY01

$12.8$12.1

$14.3

$10.8

$15.0

income available for distribution

Income available for distribution is the income that remains after payment of all direct and indirect program expenses. It is computed as income from royalties and fees less the sum of payments to joint holders, net legal and direct expenses, and program operating expenses. This income is distributed to inventors through inventor shares and to the University through the research allocation, general fund share and campus share.

In FY05, income available for distribution totaled $55 million. The amount of program income available for distribution over the past five years is shown in Exhibit 19.

ExhibiT 19

INCOME AvAILABLE FOR DISTRIBUTION(in millions)

-10

0

10

20

30

40

50

$60

FY05FY04FY03FY02FY01

33.1

5.1

0.2*

5.2

26.0

10.6

0.4*

19.63.6

8.2

32.4

(1.7)

0.5*

25.3

11.3

0.4*

10.1

16.3

28.2

0.4*

Inventor shares

General fund shares

*Research allocation shares

Campus shares

$43.6

$56.6

$34.8

$45.2

$55.0

INvENTOR SHARES The University Patent Policy grants inventors the right

to receive a portion of net income accruing to individual inventions. In FY05, 1,219 inventors received a total of $28.2 million based on invention financial activity through June 2004. Under current policy, inventors receive 35% of net invention income. Inventor shares are calculated based on invention income and expense activity through the close of the prior fiscal year. Thus, inventor shares distributed in FY05 were calculated based on invention financial activity through June 30, 2004. Trends related to the number of inventors paid shares and the amount of inventor share payments are reflected in Exhibit 19.

GENERAL FUND SHAREThe portion of University technology transfer income

allocated to the UC General Fund as part of the state-approved budget totaled $10.1 million in FY05 (Exhibit 19, above). The General Fund share (previously called the “state share”) is equal to 25% of the amount remaining after deducting payments to joint holders, net expenses, and inventor share payments from royalty and fee income.

RESEARCH ALLOCATION SHAREThe current Patent Policy requires that 15% of net royalty

and fee income from each invention be designated for research-related purposes on the inventor’s campus or Laboratory. These monies are used in accordance with plans developed at each campus and Laboratory. The research allocation, which is computed based on inventions disclosed on or after October 1, 1997, totaled $422 thousand in FY05 (Exhibit 19, above).

CAMPUS SHARECampus share is the amount of technology transfer

program income that is available to be redistributed to campuses to support ongoing research and education programs after the University has paid all direct and indirect program expenses and distributed additional income as required by policy. Campus share was referred to as net income in previous reports and is computed as income from royalties and fees less the sum of payments to joint holders, net legal and direct expenses, income distributions, and program operating expenses. Campus share totaled $16.3 million in FY05 (Exhibit 19, above).

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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ExhibiT 20

SYSTEMWIDE TECHNOLOGY TRANSFER ACTIvITY FY01 – FY05*Fiscal Year Ended June 30

(in thousands)

Fiscal Year Comparisons FY01 FY02 FY03 FY04 FY05 % Change (FY04-FY05)

Invention Disclosure Inventions Reported 957 973 1,027 1,196 1,304 9% Total Invention Portfolio 4,982 5,472 5,948 6,618 7,395 12%

Patent Prosecution US Applications Filed First Filings 437 455 490 515 601 17% Secondary Filings 415 429 384 450 429 -5% Total 852 884 874 965 1,030 7% US Patents Issued 298 300 323 270 310 15% Total Active US Patents 2,267 2,502 2,753 3,024 3,275 8%

First Foreign Filings 234 248 230 243 284 17% Total Active Foreign Patents 1,780 2,051 2,364 2,837 3,168 12%

Licensing Agreements Issued Options 52 42 21 32 22 -31% Utility Licenses 142 125 131 145 186 28% Plant Licenses 68 55 56 81 57 -30%

Total Active Agreements Options 116 99 62 53 52 -2% Utility Licenses 788 867 902 983 1,114 13% Plant Licenses 454 472 454 473 488 3%

*Activity related to the invention portfolio managed by OTT and seven campus-based licensing offices on behalf of nine UC campuses that together with newly established UC Merced comprise the UC system. Activity related to a small number of DOE Laboratory inventions managed at OTT also is reflected in these figures. See pp. 44-45for activity pertaining to the operation of the DOE Laboratory-based technology transfer offices.

Exhibit 20 only reports activity governed by the UC Patent Policy. It does not include copyright and material transfer agreement activity that also is carried out by campus-based technology transfer offices

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ExhibiT 21

SYSTEMWIDE FINANCIAL ACTIvITY FY01-FY05Fiscal Year Ended June 30, 2005

(in thousands)

Fiscal Year Comparisons FY01 FY02 FY03 FY04 FY05 % Change (FY04-FY05)

Income from Royalties and Fees $72,899 $88,148 $67,019 $79,265 $92,902 17% Less: Payments to Joint Holders (6,174) (6,072) (5,854) (4,990) (5,403) 8% Adjusted Gross Income (A) 66,725 82,076 61,165 74,275 87,499 18%

Legal and Other Direct Expenses 22,274 25,205 27,929 28,761 34,393 20% Less: Reimbursements (9,979) (11,845) (14,300) (13,916) (16,707) 20% Net Legal Expenses (B) 12,295 13,360 13,629 14,845 17,686 19%

Operating Expenses (C) 10,832 12,135 12,749 14,260 14,984 5%

Income Available for Distribution (A-B-C) 43,598 56,581 34,787 45,170 54,829 21%

Distributions Inventor Shares 33,062 26,028 32,357 25,310 28,228 12% Research Allocation 238 406 534 359 422 18% General Fund Share 5,143 10,558 3,608 8,214 10,138 23% Campus Share 5,155 19,589 (1,713) 11,287 16,040 42%

Exhibit 21 only reports financial activity governed by the UC Patent Policy. Campus-based technology transfer offices also generate income through copyright licenses, material transfer agreements and through research support committed in conjunction with technology transfer activities. This income is not included in this report.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 1: The Systemwide/Campus Portfolios

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ExhibiT 22

FY05 CAMPUS TECHNOLOGY TRANSFER ACTIvITYYear Ended June 30, 2005

(Thousands)

UCB UCd UCi UCla UCm UCr UCsB UCsC UCsd UCsF

invention disclosure Inventions Reported 126 145 141 291 1 46 94 32 290 148 Total Invention Portfolio 797 841 560 1,151 1 301 473 91 1,913 1,336

Patent Prosecution US Applications Filed First Filings 54 79 76 155 1 11 50 9 133 39 Secondary Filings 77 70 62 92 0 12 20 7 39 54 Total 131 149 138 247 0 23 70 16 172 93 US Patents Issued 44 49 26 34 0 8 38 6 60 52 Total Active US Patents 508 405 199 436 0 81 274 32 561 800

First Foreign Filings 32 47 20 67 0 3 15 0 67 36 Total Active Foreign Patents 293 424 275 437 0 67 131 2 783 803

licensing Agreements Issued Options 8 2 3 2 0 3 1 0 1 4 Utility Licenses 34 14 10 32 0 2 4 2 49 45 Plant Licenses 0 52 0 0 0 5 0 0 0 0

Total Active Agreements Options 17 5 7 5 0 5 2 2 4 10 Utility Licenses 219 86 57 144 0 12 29 8 257 326 Plant Licenses 0 399 0 0 0 89 0 0 0 0

Note: A number of inventions involve inventors from multiple UC campuses. Activity statistics for these inventions are reported multiple times, once for each campus involved. Thus, for any given measure of activity, the sum of individual campus numbers may be greater than the systemwide totals reported elsewhere in this report.

Exhibit 22 only reports activity governed by the UC Patent Policy. It does not include copyright and material transfer agreement activity which also is carried out by campus-based technology transfer offices.

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ExhibiT 23

FY05 CAMPUS FINANCIAL ACTIvITY*Year Ended June 30, 2005

(in thousands)

UCB UCd UCi UCla UCr UCsB UCsC UCsd UCsF

Income from Royalties and Fees $6,970 $9,913 $10,850 $19,488 $1,198 $1,823 $59 $15,506 $24,942

Less: Payments to Joint Holders (39) 0 (156) (599) (10) 0 (3) (134) (4,464)

Adjusted Gross Income (A) 6,931 9,913 10,694 18,889 1,188 1,823 56 15,372 20,478

Legal and Other Direct Expenses 3,558 3,229 2,498 6,437 726 1,056 204 6,619 9,270

Less: Reimbursements (1,949) (582) (1,201) (2,226) (482) (544) (91) (5,551) (3,601)

Net Legal Expenses (B) 1,609 2,647 1,297 4,211 244 512 113 1,068 5,669

Operating Expenses (C)1 495 1,062 492 1,074 543 565 138 892 1,625

Income Available for Distribution (A-B-C) 4,827 6,204 8,905 13,604 401 746 (195) 13,412 13,184

Distributions

Inventor Shares 2,816 3,616 1,935 5,323 509 344 23 3,678 9,224

Research Allocation 52 35 90 47 7 15 5 102 70

General Fund Share 626 912 1,866 2,339 109 242 (20) 2,657 1,396

Campus Share (58) 350 4,350 4,286 (224) 56 (489) 5,386 1,534

*Exhibit 23 only reports financial activity governed by the UC Patent Policy. Campus-based technology transfer offices also generate income through copyright licenses and material transfer that are not covered by the UC Patent Policy. This income is not included in this report.

1Reflects recharges to individual campuses of OTT operating expenses and a UCOP assessment equal to 1% of adjusted gross income for cases under OTT financial management. Does not include operating expenses associated with technology transfer program administration at the individual campuses. Campus-based licensing offices reported FY05 operating expenses as follows: UCB -$1,390,680, UCD - $1,290,734, UCI - $665,798, UCLA - $1,609,845, UCSB $88,495, UCSC- $286,000, UCSD -$1,590,436, UCSF- $959,633.

TeChnologY TransFer aCTiviTY and FinanCial inFormaTionPart 2: The DOE Laboratory-managed Portfolios

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BackgroundSince 1988, technology transfer for the DOE Laboratories

has been under the purview of Laboratory-based offices at Los Alamos National Laboratory (LANL), Lawrence Berkeley National Laboratory (LBNL), and Lawrence Livermore National Laboratory (LLNL). The licensing function is managed within the context of larger departments responsible for fostering a variety of partnerships with industry: LANL’s Industrial Business Development Program Office, LBNL’s Technology Transfer Office, and LLNL’s Industrial Partnerships and Commercialization Office. In addition to patent licensing, these offices direct substantial resources toward the licensing of software and the negotiation of Cooperative Research and Development Agreements (CRADAs), technical assistance and other agreements with industry. Although these DOE Laboratory offices manage most Laboratory inventions, OTT oversees a small portfolio of 72 Laboratory inventions, most disclosed prior to 1988. Occasionally, more recent cases, such as those having co-inventors from the UC campuses, are added to the OTT-managed group.

Certain aspects of technology transfer processes differ at the DOE offices as compared with OTT and the campuses. For example, after an invention is disclosed and a determination is made to pursue a license, there are some cases where the laboratory may be able to elect title to an invention on behalf of the University under the federal Bayh-Dole legislation, just as a campus does. In other cases, however, there must be a special request to DOE to enable The Regents to retain or be assigned title to the invention. Requests to assert copyright in software also must be made to DOE. In addition, whereas OTT and campus offices contract with attorneys at outside law firms for all of their patent prosecution activity, the Laboratories manage most US patent filings internally through their own legal departments and contract out only for selected matters, particularly foreign prosecution. In addition, the fiscal year at the Laboratory offices ends September 30th in contrast to the June 30th end date for the fiscal year at OTT and the campus offices.

Information in this section pertains to the activities of the technology transfer offices of the Laboratories unless noted otherwise.

invention disclosure, Patenting, and licensing activity

In FY05, DOE Laboratory researchers disclosed 374 inventions and filed a total of 273 patent applications. One hundred seventy-five (175) US patents issued on DOE inventions.

The Laboratories completed 51 new options and licenses for patentable inventions and tangible research products (TRPs) in FY05, bringing the total number of active license and option agreements to 209 at the close of the fiscal year (Exhibit 24). Licensing of other types of intellectual property (e.g., copyrighted software) represents a significant additional element of current licensing activity.

Financial resultsThe DOE Laboratory-managed portfolios generated a total

of $7.7 million in income during FY05, an increase of 19% over the prior year. Patent income for the Labs increased 18% as compared with FY04, while copyright income increased by 26% (Exhibit 25).

Information on DOE Laboratory patenting and licensing expenses is not provided in this report. Patent expenses are allowable costs under the University’s current contract with DOE and are not readily separable from other expenses of the legal departments. Similarly, operating expenses related to the licensing function are not readily separable from other expenses of the technology transfer departments. Finally, income generated by the DOE Laboratories is not subject to the General Fund share assessment.

Inventor share payments of $2.4 million included $287 thousand paid to authors of software. These payments were based on financial activity through September 30, 2005 for LBNL, and September 30, 2004 for LANL and LLNL.

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ExhibiT 24

PATENTING AND LICENSING ACTIvITY:DOE LABORATORY OFFICES

Year Ended Sept. 30, 2005

lanl lBnl llnl Total Disclosure and Prosecution* Inventions Reported 110 127 137 374 US Applications Filed First Filings 59 49 61 169 Secondary Filings 41 42 21 104 Total 100 91 82 273

US Patents Issued 48 34 93 175 First Foreign Filings 20 27 25 72

Marketing and Licensing New Agreements Issued Secrecy 312 245 556 1,113 Option 5 7 3 15 License 16 8 12 36 Total Active Agreements Option 5 7 4 16 License 66 45 82 193

FISCAL YEAR COMPARISONS (in thousands)

Disclosure and Prosecution* FY04 FY05 %Change Inventions Reported 340 374 10% US Applications Filed First Filings 150 169 13% Secondary Filings 74 104 41% Total 224 273 22%

US Patents Issued 189 175 -7% First Foreign Filings 49 72 47%

Marketing and Licensing New Agreements Issued Secrecy 1,074 1,113 4% Option 3 15 400% License 24 36 50% Total Active Agreements Option 11 16 45% License 255 193 -24%

ExhibiT 25

FINANCIAL ACTIvITY: DOE LABORATORY OFFICES*Year ended September 30, 2005

(in thousands)

lanl lBnl llnl TotalIncome from Royalties and Fees Patents and TRPs $1,428 $1,826 $3,483 $6,737 Copyrights/Software $379 $145 $401 $925 Total $1,807 $1,971 $3,884 $7,662

Inventor/Author Shares Paid $466 $619 $1,002 $2,087

FISCAL YEAR COMPARISONS

FY04 FY05 %Change Patents and TRPs $5,707 $6,737 18% Copyrights/Software $734 $925 26% Total $6,441 $7,662 19%

Inventor/Author Shares Paid $2,103 $2,086 -1%

*In addition to income reported in this table, the OTT-managed DOE portfolio collectively generated $848,053 in FY05 royalty and fee income, including $26,689 for LANL, $45,541 for LBNL, and $829,201 for LLNL inventions.

TeChnologY TransFer organizaTion aT UC

The UC Technology Transfer program operates under a model of distributed responsibilities and authorities that balances activities carried out at the systemwide Office of Technology Transfer (OTT) with those taking place at the individual UC campuses and UC DOE-managed Laboratories. Under this approach, campuses and Laboratories develop and shape technology licensing programs to fit their unique needs as put forth in memorandums of understanding negotiated with the UC Office of the President (UCOP). In all instances, OTT retains responsibility for certain functions, such as policy development and guidance, legal oversight, legislative review, information management, and a variety of other coordinating services in support of the overall program. OTT also provides comprehensive management of approximately half of the 5,900 inventions in the systemwide invention portfolio. Internet links to UC OTT, campus and Laboratory-based licensing offices are provided below.

UC Technology Transfer on the Web (Prefix with http://)

UC Office of the President: Office of Technology Transfer (OTT) www.ucop.edu/ott

UC Berkeley: Intellectual Property & Industry Alliances (IPIRA) ipira.berkeley.edu

UC Davis: Technology & Industry Alliances (TIA) www.research.ucdavis.edu/tia

UC Irvine: Office of Technology Alliances (OTA) www.ota.uci.edu

UC Los Angeles: Office of Intellectual Property Administration (OIPA) www.research.ucla.edu/oipa

UC Riverside: Intellectual Property Services www.ora.ucr.edu/ip

UC Santa Barbara: Office of Technology & Industry Alliances (TIA) research.ucsb.edu/tech_transfer

UC Santa Cruz: Office of Sponsored Projects www.ucsc.edu/osp

UC San Diego: Technology Transfer and Intellectual Property Services (TTIPS) invent.ucsd.edu

UC San Francisco: Office of Technology Management (OTM) www.otm.ucsf.edu

Los Alamos National Laboratory: Industrial Business Development Program Office www.lanl.gov/partnerships

Lawrence Berkeley National Laboratory: Technology Transfer Office www.lbl.gov/Tech-Transfer

Lawrence Livermore National Laboratory: Industrial Partnerships www.llnl.gov/IPandC and Commercialization Office

Industry-University Cooperative Research Program (IUCRP) ucdiscoverygrant.org