In a webinar held on February 13th at 16:30 CET, as part of the S3E Start program, we delved into the world of Licensing, exploring the pivotal role it plays in researchers' entrepreneurial deep tech journeys.

With a audience of 64 participants from six different countries, the webinar proved to be an enlightening discussion on the complexities and opportunities associated with licensing agreements.

Let's review some of the points that were discussed during the webinar:

1. Navigating Licensing Agreements:
Led by Pedro Vilarinho, HiSeedTech general manager, participants were prompted to share their Intelectual Property rights arrangements on each of their respective countries, shedding light on the crucial need for alignment between researchers' expectations and institutional ownership rights.

2. Challenges in Commercialisation:
The challenges of the commercialisation process was a key point to highlight the stress between the IP owners and inventors and the distribuition of profits from commercialisation. This issue intensifies when teams include a mix of teachers and students, which makes it difficult to manage and credit intellectual property (IP). Clear ownership is not just a procedural requirement; it's a prerequisite for attracting investors and securing funding for future project development.

2. Leveraging IP into a Business:
It's important to have a viable business, which is why in the webinar Pedro emphasised the strategic steps researchers should take to turn their IP into a viable business. The steps required to achieve commercial success were carefully laid out, from determining the size of the market and securing patents to obtaining capital and licensing technologies.

3. Insights on Licensing:
Only 2% of patent holders generate profits from their inventions. Licensing to startups or large corporations has emerged as a key strategy, with royalties ranging from almost nothing to 50% of Net Sales, depending on the risk of bringing the technology or the product to the market. The significance of setting milestones, particularly in drug development, was underscored, with specific attention drawn to minimum royalty requirements for exclusive licenses.

4. Considerations for Creating a Spin-Off over Licensing Companies:
The webinar provided clarity on when establishing a spin-off company might be preferable to traditional licensing. It discussed factors such as a lack of suitable receptor capacity for IP (Licensee), a strong IP foundation for the new company, the capacity to attract funding and managerial resources, and the potential returns for investors and the research institution, examining and analyzing them in detail.

5. Pros and Cons:
While both licensing and spin-offs have their pros and cons, the webinar concluded that spin-offs, though requiring more effort, have the potential for significant long-term success. Researchers are encouraged to carefully weigh their options and choose the path that aligns with their goals, considering the dynamic landscape of entrepreneurial endeavors.

In essence, technology commercialisation serves as the crucial bridge between innovative ideas and tangible societal impact. The journey from laboratory breakthroughs to market success involves strategic decisions, collaborative partnerships, and a deep understanding of market dynamics.

This webinar serves as an important starting point for the S3E Start teams, with the reminder that they will have the opportunity to delve further into intellectual property in a subsequent webinar.