“Reg was very clear at the outset how important this was to him, to QB3, and the mission of QB3,” says Sean Johnston, senior vice president and general counsel for Genentech, who negotiated the agreement on behalf of the company. “It really was a much broader vision, which was to bring together scientists within the state, who are doing great things, and let them do more. Out of that will come great benefits for the state and the citizens of the state. Whatever financial returns there might be at the end of the day through royalties or otherwise would be icing on the cake.”

The belief at QB3, though, is that it is not enough to work with established companies. Fostering startup formation is also an important role. In part, this reflects a belief that most things coming out of the university are too risky or too early-stage to be appealing to existing businesses, and that a small entrepreneurial venture may be better able to nurture an early-stage invention.

 “The university is very concerned about managing its risk and its reputation,” says Doug Crawford, director of industrial relations for QB3. “It’s created a lot of officers and offices to mitigate the university’s risk, but they have not invested in officers whose job it is to capitalize on opportunities.”

QB3 has been assembling a toolkit to help foster entrepreneurship among the faculty. It provides seminars, networking opportunities, and guidance from mentors such as venture capitalist Brook Byers. The institute has also assembled a clinical advisory board to help researchers determine the practical applications of an invention, and what value it might have for doctors or patients. Should a researcher hope to commercialize a discovery, QB3 has sought to provide new sources of funding, and even incubator space for fledgling companies. Such activities reflect how much the environment has changed since UCSF’s Herb Boyer joined with the venture capitalist Bob Swanson to launch Genentech.