Transfer and Commercialization of NASA
Technologies
Presented by:
Martin Zeller
Date:
May 28, 2003
SST 2003
U S C
A
E N G I N E E R I N G
N A S A
R E G I O N A L
T E C H N O L O G Y
T R A N S F E R
T E C H N O L O G Y
T R A N S F E R
http://www.usc.edu/go/ttc
C E N T E R
C E N T E R
What do These Have in Common ?
Invented at DuPont
in late 1930s
Teflon
Presented
by:
Martin
Zeller
A product of
Kraft Foods that
NASA bought
for astronauts
Invented in
Switzerland in late
1940s by George de
Mestral
History of Tech Transfer at NASA
Tech transfer is a chartered activity of NASA
• “The Administration shall provide for the widest
practicable and appropriate dissemination of
information concerning its activities and the results
thereof.” (1958 National Aeronautics and Space Act
establishing NASA)
Presented
by:
Martin
Zeller
NASA Tech Transfer Infrastructure
Aerospace
Technology
Enterprise
(Code R)
Commercial
Technology
Division
SBIR/STTR
Incubators
Presented
by:
Martin
Zeller
NASA Center
Commercial
Technology
Offices
NASA
Tech
Link
NTTC
RTTCs
State
Affiliates
RTI
NASA’s Commercial Technology Division
Mission:
1. Foster partnerships and cooperative activities with
U.S. commercial enterprises that will
- develop technology that is applicable to NASA
mission needs and
- contribute to commercial competitiveness in global
markets
2. Facilitate the transfer and commercialization of
NASA-sponsored research and technology, including
licensing of NASA-owned patents and the industrial
use of unique NASA R&D capabilities and facilities.
Presented
by:
Martin
Zeller
NASA Commercial Technology Network
Northeast
RTTC
Midwest
RTTC
MidAtlantic
RTTC
Far West
RTTC
Mid-Continent
RTTC
Presented
by:
Martin
Zeller
Southeast
RTTC
NASA Field Centers
Ames – Information Technology, Astrobiology and
Nanotechnology
Dryden – Atmospheric Flight Operations
JPL – Unmanned Exploration of Space
Johnson – Human Space Flight
Marshall – Space Propulsion, Space Transportation
Systems, Space Optics and Microgravity Research
Kennedy – Space Launch and Cargo Processing
Langley – Aeronautics, Atmospheric Science and Materials
and Structures
Glenn – Aeropropulsion and Communications
Presented
by:
Martin
Zeller
Goddard – Scientific Research and Study of Earth from
Space
Stennis – Rocket Propulsion Testing and Commercial
Remote Sensing
NASA Technology Portfolio
NASA’s Technology Assets Are Available
for Transfer and Commercialization
• NASA-owned technology
 licensing opportunities from NASA
• Special expertise, capabilities and facilities
 Collaborative development opportunities
• Small business research funding
Presented
by:
Martin
Zeller
 SBIR/STTR
What do These Have in Common ?
Teflon
Presented
by:
Martin
Zeller
They did not
originate with
NASA!!
This One Did Originate With NASA
Temper Foam
Presented
by:
Martin
Zeller
Discover NASA’s Technology
• Use the RTTCs
• Websites and Staff of the NASA Field Center
Commercial Technology Offices
• Websites of the NASA Field Centers
• NASA Technology Portal Website
(http://nasatechnology.nasa.gov)
• NASA Tech Finder Website
(http://technology.nasa.gov)
• NASA Technology.com
(http://www.nasatechnology.com)
Presented
by:
Martin
Zeller
• NASA Tech Briefs Magazine
(http://www.nasatech.com)
A Few Examples
AIRFIELD WIND ADVISORY SYSTEM
(Patent # 6,311,107)
PROBLEM ADDRESSED Critical weather information systems are inadequate at
thousands of general aviation airfields. Portable wireless units could deliver vital airfield
wind and other safety information to pilots in real time on takeoff and landing approach.
TECHNICAL ELEMENTS (1) compact handheld portable cockpit receiver and display
unit and automated ground unit at airfield; (2) display unit automatically activated 8 to
10 miles from airfield, with a simple digital readout showing gust and average wind
velocity, direction, and most favorable runway; (3) ground unit weather station
containing sonic anemometer coupled to a microprocessor, broadcasting data digitally
over a half-watt spread spectrum transmitter at 900 MHz, powered by AC or solar power
with battery backup.
Presented
by:
Martin
Zeller
From NASA Dryden
Another Example
REHYDRATION BEVERAGE
(Patent # 5,447,730)
PROBLEM ADDRESSED A beverage for rapid rehydration of persons whose water
content has fallen below normal
TECHNICAL APPROACH A specially designed beverage for rapid restoration of
hydration homeostasis, based on plasma volume restoration (1) 270 mOsmol/kg water
solution with only 0.36% of Na ions, consisting of 9 gm of sodium chloride, 15.44 gm
of sodium citrate, and 9.72 gm of aspartame in 2 liters of water, with practically the
same osmolality as extracellular fluid [285 mOsm/kg water] (2) Optimal fluid
absorption and retaining of plasma water assured by isotonicity (3) Any undesirable
salty taste alleviated by artificial sweetener aspartame.
Presented
by:
Martin
Zeller
From NASA Ames
Another Example
Video Image Stabilization and Registration (VISAR)
(Patent applied for)
• Software incorporating algorithms to enhance videotape images and
image sequences
• Stabilizes effects due to camera rotation and zoom
• Stabilizes images against moving backgrounds
• Removes jitter, blurring, noise (snow)
• Smooths jagged edges of images
• Enhances image clarity
• Currently a post-processing tool only
• Runs on Windows and Mac platforms
Presented
by:
Martin
Zeller
From NASA Marshall
Last Example
Pill-Shaped Biotelemetry Transmitter
(Patent applied for)
PROBLEM ADDRESSED An implantable or ingestible pill-sized
sensor/transmitter for collecting and transmitting in-vivo physiological data to a
nearby external receiver/signal processor
TECHNICAL APPROACH A biotelemetry system consisting of an implantable
or ingestible miniaturized sensor/transmitter package, and external electronics: (1) A
pill -sized package containing one or more battery powered (e.g., 40 microwatts
with 10 month lifetime) miniaturized sensors - e.g., pressure, temperature, pH, ions,
blood gases, glucose, electrical - along with a pulse interval modulated transmitter
with carrier frequency in biomedical range (174-214 MHz); (2) External receiver at
3-10 ft distance along with data acquisition card and signal processor
Presented
by:
Martin
Zeller
From NASA Ames
Recent Licensing Activity
DCTune
• Image compression technology from Ames
• Non-exclusive license to small Hawaii company
Ames Spatial Auditory Display (ASAD)
• Surround sound technology from Ames
• Non-exclusive license to small Los Angeles
company
Presented
by:
Martin
Zeller
Perilog
• Suite of data mining tools from Ames
• Non-exclusive license pending to small Los
Angeles company
Doing Business With NASA
NASA has a variety of mechanisms for technology
transfer, including:
Space Act Agreements
• Reimbursable
• Non-reimbursable
• Patent and Copyright License Agreements
• SBIR/STTR Program
Presented
by:
Martin
Zeller
Space Act Agreements
• Company partners with NASA to develop
technology of interest to both the company and the
Agency
 Implies direct ties to NASA mission interests
• NASA may provide personnel, services, facilities,
equipment, data, etc. and share resources and
results in a collaborative effort
• No transfer of funds by the government
Presented
by:
Martin
Zeller
• Company may reimburse NASA for expenses
incurred by the Agency
License Agreements
• NASA actively promotes the licensing of its
technology
• Patents, patent applications, and copyrights
can be licensed
Presented
by:
Martin
Zeller
Why Does NASA License its Technology?
• To benefit the U.S. economy
• To improve U.S. competitiveness
• To protect investments made by industry
to commercialize NASA technology
Presented
by:
Martin
Zeller
• Sharing of royalties with inventors
provides an incentive to participate in
technology transfer
Terms of a Typical NASA License Agreement
• Governed by federal regulation (37 CFR Part
404) - Licensing of Government owned inventions
• Licensed technology must be substantially
manufactured in United States
• U.S. Government Retains Irrevocable, Royaltyfree Right to use technology
• Royalties/Fees
• Schedule and Key Milestones
Presented
by:
Martin
Zeller
• Annual Reports Required
Typical Evaluation Criteria
• Prospective licensee submits letter of intent and
application for license
• Application will be evaluated based on:
Presented
by:
Martin
Zeller
 Technical Expertise
 Understanding of technology
 Facilities
 Manufacturing capabilities
 Marketing Plan
 Capital and credit rating
 Committed resources
 Distribution channels
 Commercialization history
Types of Licenses
Nonexclusive
• Minimal development and production
cost
• Multiple applications
Exclusive or Partially Exclusive
• Substantial development or production
cost
Presented
by:
Martin
Zeller
• Fields of Use, Period of Time, or
Geographic Area
SBIR/STTR – What is it?
• SBIR and STTR are federal set-aside
programs for small businesses.
• SBIR/STTR funds high-risk, early-stage
technology R&D projects that have potential
for commercial success.
Presented
by:
Martin
Zeller
• SBIR/STTR funds are not loans!
SBIR/STTR Program Objectives
• Stimulate technological innovation
• Use small business to meet federal R&D needs
• Increase private sector commercialization
derived from federal R&D
• Encourage participation by disadvantaged
and minority persons in technological
innovation
Presented
by:
Martin
Zeller
Legislative Basis for SBIR/STTR
• SBIR Program originally authorized in 1982 by the
Small Business Innovation Development Act (P.L. 97219)
• SBIR reauthorized by Congress in 1992 and in 2000
• SBIR program extended to 2008
• STTR originally authorized in 1992
Presented
by:
Martin
Zeller
• STTR Reauthorized in 1997 and 2001
• STTR program extended to 2010
Eligilibility Requirements for Businesses
• Only small businesses can participate
• Fewer than 500 employees, including all affiliates
• Must be U.S. owned and independently operated,
with principal place of business in the U.S.
• Must be organized for profit
Presented
by:
Martin
Zeller
Federal Agency Participants in SBIR
• Ten agencies with extramural R&D budgets in excess
of $100 million per year are required to set aside 2.5%
of that budget for SBIR projects.
• Agencies issue solicitations specifying topic areas for
which proposals from small businesses are sought.
• Agencies evaluate, select, and award funds for winning
proposals.
Presented
by:
Martin
Zeller
Agency SBIR Funding Levels
Total of all agencies is close to $1.6 billion!
Presented
by:
Martin
Zeller
DoD $773 Million (FY02)
NIH $482 Million (FY02)
NASA $115.9 Million (FY03)
DoE $110 Million (FY02)
NSF $85 Million (FY03)
USDA $15.7 Million (FY02)
DoT $5.4 Million (FY02)
DoED $8.7 Million (FY02)
EPA $7.0 Million (FY02)
DoC $6.1 Million (FY02)
Three Phases of SBIR
Phase I: Feasibility Study
• Funded at $50,000 to $100,000, depending on the
agency
• Six month effort
Phase II: Prototype Development
• Funded at $225,000 to $750,000, depending on
the agency
• Up to two year effort
Presented
by:
Martin
Zeller
Phase III: Commercialization
• No SBIR funds available for Phase III
• Small business procures other development
funds, product orders, intellectual property
licenses, commercial partners, etc.
A Very Competitive Program
• Approximately 12% of SBIR Phase I proposals
are funded, on average, across all agencies.
• Approximately 40 % of Phase II proposals are
funded, on average, across all agencies
Presented
by:
Martin
Zeller
STTR: Companion Program to SBIR
• STTR is the Small Business Technology Transfer
Program
• Three-phase approach, just like SBIR
• Five federal agencies participate
• Set-aside is only 0.15% of the agencies’ extramural
R&D budgets (compared to 2.5% for SBIR)
• A small business must form a partnership with a
nonprofit research institution to be funded under STTR
• The small business is the prime contractor
Presented
by:
Martin
Zeller
• Goal is to facilitate commercialization of technology
developed by a nonprofit research institution through
the entrepreneurship of a small business
Investment Sources for Formative Stage Companies
Venture Capital
SBIR/STTR
Family and Friends
Average of $6.2 million
in first round*
$350K to $850K per
project
Up to $100K
Presented
by:
Martin
Zeller
* PricewaterhouseCoopers MoneyTree Survey, Q1 2003 Results
For Further Information . . .
NASA Far West Regional Technology Transfer Center
• http://www.usc.edu/go/ttc
• 213-743-2353
• 800-642-2872
• nasa@usc.edu
Presented
by:
Martin
Zeller