Today, industry and venture capital firms are taking fewer investment risks than they did a few years ago when start-ups were booming. Now they're looking for sure bets: technology that has already been proven.

A unique convergence of events—including the terrorist attacks of September 11, the collapse of the high-tech boom of the late 1990s, and a more cautious post-recession mood among investors—are bringing companies, venture capitalists, government agencies, and researchers together in search of technology that's mature and broadly applicable.

At the same time, through our Technology Transfer Office (TTO), MITRE is stepping up its efforts to gain wider exposure for technology that was developed in our R&D program to solve the problems of our sponsors—including the Department of Defense, Federal Aviation Administration, and the Internal Revenue Service.

We make many of our developments available to the public through open source, licensing, and other agreements. These efforts serve two purposes: to carry out our mission, which is to serve the public interest, and to put technology into the commercial world, making it more affordable and accessible for our sponsors, who are more and more using commercial-off-the-shelf products.

"We are trying to expand our technology transfer activities," says Gerard Eldering, director of MITRE's TTO. "At the same time, we need to always keep our eyes on the sponsor first. We don't want to allow ourselves to shift our focus away from their needs."

One way we've introduced some of our developments to the public is through technology showcases, such as the one we held in Herndon, Virginia, this year. The event gave MITRE staff a chance to show off some of the technology available for license to representatives of approximately 80 organizations representing business, government, and academia. Eldering was encouraged by the responses he received. "We got a lot of positive feedback," he said. "Some of the representatives were a little surprised. They didn't realize MITRE licensed technology like this."

"Investors seem to be backing off on consumer-level technologies—they don't see that as the sector to go after," says Louis McDonald, industry director of information technology at the Center for Innovative Technology in Herndon. "But if a product is applicable both to government and consumers, that's great. That's what investors are looking for."

In seeking to get our technology patented or licensed, MITRE has several major advantages. Our internal requirements for submitting technology for licensing or patenting reflect the kind of robust documentation that venture capitalists require. MITRE, under certain conditions, seeks intellectual property protection for technology originating from our research. Intellectual property protection is valued by many venture capitalists because it provides a barrier to entry.

Also, MITRE technology submitted for patenting or licensing is already likely to have a fairly well-defined functionality and market. At the technology showcase, for example, MITRE scientists presented three of our most promising technologies—the Virtual Room (Vroom), E-Communities Web Development Tool, and Subcarrier Transportation Communication Chip (STIC).

MITRE's representatives didn't just talk about user interfaces, data rates, and domains; they also talked about how the technology might be applied and by whom. Attendees at the symposium heard of the VRoom's potential for use in network operations or emergency management centers, and the STIC's possible value in broadcasting traffic information or alerting people to impending emergencies. They also heard how government agencies and private companies could create communities of users using rapid, low-cost alternatives to large-scale portals.

"The venture capitalist wants most of these questions answered," said Eldering. "He wants the technology ready to go, market understood, and the business plan drafted. When we develop a prototype that we hand over to a sponsor for testing, it's not too far off from that end. Some of the prototypes that we develop are used pretty broadly and intensively."

There are also other options we are exploring for bringing our technology closer to the level of development investors want. One way is by entering into a Cooperative Research and Development Agreement (CRADA), which allows MITRE to work with a company or agency during the tech transfer process to get technologies better prepared for the market. For example, a CRADA was recently signed with Veridian Corporation for commercialization of MITRE's VRoom program.

MITRE is exploring other tech transfer methods, too. We recently signed a non-exclusive letter of agreement with LaunchFuel, Inc., a technical commercialization firm based in Reston, Virginia, to leverage our commercially viable technology, intellectual property, and business concepts. MITRE's reputation, and the development that goes into its prototypes, gives the company stature with companies and investors.

"We see MITRE as a quality institution, with talented engineers who are producing high technology that has potential in the marketplace," says Mary Knebel, LaunchFuel's chief executive officer. "We like the fact that MITRE isn't just coming out with research papers, but with working prototypes. We've seen very interesting technology coming out of MITRE."

The MITRE-LaunchFuel agreement could be a harbinger of things to come, as the public and private sector work together to find technological solutions applicable across the board. One example is In-Q-Tel, a firm based in Arlington, Virginia, that is funded by the CIA and invests, supports, and nurtures a variety of commercial companies that develop products both the CIA and the commercial marketplace can use. As opportunities arise for MITRE to work with firms along the In-Q-Tel model, we may well find the same expertise we use on behalf of the government in demand from a new set of customers—and all without having to change our public-service orientation.

"We began expanding our Tech Transfer program at a good time," says Eldering. "The investment community is looking for technologies that are further along on the technology maturity spectrum, which MITRE has. I expect rapid growth for technology transfer at MITRE because the investors are so much more conservative now."

—by Russell Woolard

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