New IP Revenue Distribution Policy
The University of Texas at Austin, in collaboration with Discovery to Impact, has established a new policy for distributing net income resulting from licensing of Intellectual Property (IP). This new policy will advance commercialization of existing research, support reinvestment in the Colleges and Schools where the innovation originates, and provide additional resources for new commercialization opportunities.
The new policy directs:
- 45% to the inventor(s)/creator(s) associated with the IP
- 45% to the University Share
- 10% to the College(s)/School(s) associated with the IP
This change applies to all IP disclosures received by Discovery to Impact on or after October 1, 2023. Date of receipt is the date Discovery to Impact electronically receives the disclosure.
The University of Texas at Austin established a new policy regarding distribution of net income resulting from licensing of Intellectual Property (IP). The new policy directs:
- 45% to the inventor(s)/creator(s) associated with the IP;
- 45% to the University share; and
- 10% to the College(s)/School(s) associated with the IP.
This change in revenue distribution applies to all IP disclosures digitally received by the Discovery to Impact office on or after October 1, 2023.
The previous distribution policy allocated (50% to the inventor(s)/creator(s) and 50% to the University Share). This previous policy is in effect until September 30, 2023.
The new distribution of revenue policy, like the previous policy, applies to all University of Texas at Austin faculty, staff, researchers, and students who submit an IP disclosure to Discovery to Impact.
Inventors are encouraged to identify and list which appointment capacity they are operating under at the time of conceiving the invention and supporting the development of the innovation.
Any disclosure received by the Discovery to Impact office prior to October 1, 2023, will fall under the prior distribution policy (50% to the inventor(s)/creator(s) and 50% to the University Share).
Distributions will be made to the College or School that the inventor(s)/creator(s) list on the invention disclosure form as the relevant College/School for the discovery.
When there are inventors spanning multiple Colleges or Schools, percent distributions to the Colleges or Schools will follow the same distribution contribution percentages as the inventors/creators in the Inventor Distribution Allocation Plan.
The University expects the Deans to use funds distributed to advance commercialization of existing research or to generate additional research that could lead to commercialization opportunities.
Colleges/Schools are authorized to distribute a portion of the proceeds to the Department/Unit which was the source of the IP. Colleges/Schools are encouraged to work with Discovery to Impact to develop new programs or expand existing programs to benefit commercialization efforts across the university.
The University of Texas at Austin uses funds received from licensed IP to recapture IP expenses incurred by the University for the development of the IP. The University also uses these funds to support the development and growth of commercialization and entrepreneurial programs.
Inventors can request for their eligible revenue to be directed back to their lab or in support of other areas within their department or the university.
Invention Disclosure forms can be found on the Discovery to Impact website: https://discoveries.utexas.edu/for-campus-inventors-entrepreneurs/.
Please email all disclosure forms to: email@example.com.
You can find the University’s IP policy here: https://www.utsystem.edu/board-of-regents/rules/90101-intellectual-property.
Please reach out to Chun Kuo, Director of Intellectual Property, Discovery to Impact at: firstname.lastname@example.org.