Success Factors for High Impact National Laboratory Technology Transfer

Michael J. PaulusDirector of Technology Transfer

March 6, 2013

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The Clinton Pile was the world’s first continuously operated nuclear reactor

Oak Ridge National Laboratory evolved from the Manhattan Project

Chemical processing techniques were developed to separate

plutonium from irradiated fuel

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Following World War II, the Manhattan Project facilities evolved into the national laboratories

Oak Ridge

Los Alamos

LawrenceBerkeley

ArgonneBrookhaven

Ames

President Harry Truman signing the Atomic Energy Act on August 1,

1946

• Capitalize on the extraordinary scientific and technical capabilities assembled for the war effort

• Continue nuclear R&D with a focus on peaceful use

• Focus on big science: unclassified fundamental research on a scale beyond the reach of a single university or industry

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Typically the result of sustained goal-driven programs

After World War II, the national laboratories made significant contributions

Nuclear power

Nuclear medicine

National defense

Biomedical research

Materials Science

Ion implantation

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The nation’s post-war momentum began to fade in the late 1970s

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"A wealth of scientific talent at American colleges and universities – talent responsible for the development of numerous innovative scientific breakthroughs each year – is going to waste as a result of bureaucratic red tape and illogical government regulations..."

— Senator Birch Bayh

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This proposed legislation is one of the most radical, far-reaching and blatant giveaways that I have seen in the many years that I have been a member of the United States Senate.

— Senator Russell Long

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In November, 1980, Senator Dan Quayle defeated Senator Bayh in a national Republican landslide

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On December 12, 1980, a lame duck president signed a bill from a lame duck congress sponsored by a defeated senator.

“Possibly the most inspired piece of legislation to be enacted in America over the past half-century was the Bayh-Dole Act of 1980.”

The EconomistDecember 12, 2002

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Bayh-Dole Act 1980

• Created uniform federal intellectual property policy

• Nonprofits and small business could elect title to inventions that were created in whole or in part with federal funding

• However, universities and labs would have to agree to a set of due-diligence requirements

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Today technology transfer is an important part of the mission of DOE laboratories

“[Technology transfer] is an important part of what we do…It is part of the reason why we are being funded…And now, more than ever, we think that scientists…need to come to the aid of our country.”

– Steven ChuSecretary of Energy

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We have 4 mechanisms to execute this mission

Userfacilities

Technologylicenses

Cooperative R&D Agreements Work for Others

Active CRADAs

Active patent licenses

Active copyright licenses

Active NF-WFO agreements

2012 inventions

2012 User Facility users

720 1,261 2,187 2,273 1,820 22,664

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ACT mechanism (in development): Greater flexibility for technology transfer

The national labs are the property of the U.S. Department of Energy

Government-owned Contractor-operated

The Department of Energy contracts with the private sector for the management and operation of the labs

Management and Operations

(M&O) contract

New contractor options

• Negotiable payment terms• Authority to guarantee performance• Negotiable indemnity• Commercial contract terms• Negotiable IP terms

New contract provisions• Preservation of legislatively

mandated minimal risk position for the Government

• Opportunity for contractors to engage more effectively with industry

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Recent CRADA partners

General Electric GeoSpringTM heat pump water heater— 60% energy savings vs. electric storage water heater

ClimateMaster TrilogyTM ground-sourceintegrated heat pump— 60% energy savings on space conditioning and water heating vs. conventional equipment

Trane CDQ (Cool, Dry, Quiet)TM rooftop unit— High latent capacity (low sensible heat ratio) without wasteful overcooling and reheat [uses condenser waste heat to regenerate hybrid-cycle desiccant]

Southwest Gas NextAireTM gas engine-driven heat pump— 85% reduction in peak period electric demand vs. conventional air conditioning

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Recent start-up licensees

• LED North America

• Hubble Telemedical

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National lab tech transfer success factors

Successfactors

Game-changing solutions to important problems

Capable private sector partners

Intellectual property protection

Sustained engagement

Senior leadership commitment

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Help from the “crowd”

Internal• High impact innovation program

– royalty funded

• Recognition

• Royalty sharing

External• Web portals

• Technology forums and showcases

• Technology-specific seminars

• Embedded “prospectors”

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National laboratories: A national resource for innovation and economic growth

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Boneyard/back stories

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• Cooperative R&D Agreements to develop solar technology– Ampulse– Ferro– Global Solar– Mossey Creek

Enterprises

• AquaSentinel: SecureWaters

• LandScan distribution:East View

• Electrochemical strain microscopy: Asylum Research

• Graphite foam: Multiple licenses

• Superhydrophobic coatings: Velox Flow, LLC

• Advancing Li-ion battery technology through WFO agreement with Dow Kokam

• Jaguar simulations to accelerate development of Under Tray system for improving diesel fuel efficiency

How ORNL has used partnering mechanisms to transfer technology

Userfacilities

TechnologylicensesCollaboration Work

for hire

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National laboratory technology transfer professionals fill many roles

Relationshipmanager

Coach

Ambassador

Expert technologist

Patent lawexpert

Marketer

Integrator Salesperson

Negotiator

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National laboratories invest in finding and developing capable partners

• Collaborating with companies of all sizes– Startups: LED North America,

Hubble, Agile– Midsize: AB Sciex, DNP Green– Large: GE, Caterpillar

• Providing support for aspiring entrepreneurs– Outreach events– State and regional economic

development initiatives– Entrepreneurial leave

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Sustained engagement leads to innovative solutions

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ORNL is DOE’s largest science and energy laboratory

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$1.65B budget

World’s most intense

neutronsource

4,400employees

World-class research reactor

3,000researchguests annually

$500M modernization

investment

Nation’s largest

materials research portfolio

Most powerful open

scientific computing

facility

Nation’s most diverse

energy portfolio

Managing billion-dollar U.S. ITER

project

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Conventional HT

Infrared HTResearch finding: Finer precipitate

distribution leads to improved fatigue life

Characterization Processing Production

Final product:Machined impellers for diesel turbo-chargers

Atom probe results: Larger volume fraction of nanosize

Al2CuMg precipitates in infrared heated forgings

10 nm

Full-scale production: Infrared furnace operating at Queen City Forging Company, Cincinnati

Preheating of aluminum

billets

Concept Product

Integrating and applying our capabilities: Infrared processing

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DOE Office of Science DOE-EERE Industry

• Microstructural evolution in irradiated stainless steels provided keys to alloy compositional design

• Creep resistant at 600–900ºC, high ductility and fatigue resistance

• Superalloy performanceat a stainless steel price(5–7 times less)

• 18 months from lab to commercial heats

• 2007 ASTM approval

CF8C-Plus cast stainless steel: Advanced materials for industry

• Caterpillar regeneration system burner housings on diesel trucks: – 500+ tons cast– 10,000+ parts in service;

no reported failures since 2006

• Being qualified for turbocharger housings

• ARRA project to accelerate deployment for new energy-relevant applications

CF8C-PLUS

Creep tested 850°C/23,000 h

Standard CF8C

Creep tested 850°C/500 h

(TEM, as cast)