Technology transfer is a complex and multi-faced process. Initially, transfer occurs from research laboratories such as universities to the market. Prior to 1980 when The Patent and Trademark Laws Amendment Act, more commonly know as the Bayh-Dole Act was passed, there was limited flow of government-funded inventions to the private sector. In 1980, the federal government held title to approximately 28,000 patents. Fewer than 5 percent of these were licensed to industry for development of commercial products (U.S. Government Accounting office, 1998). The Bayh-Dole Act permitted universities to retain title to inventions developed under government funding and encouraged universities to collaborate with companies to promote the utilization of invention arising from federal funding. Since the passage of this Act, partnerships between universities and industry have moved new discoveries from the laboratory to the market place for the benefit of society.

There is substantial evidence to suggest that the Bayh-Dole Act...