Fascinating - similar to employment contracts, I suppose, but it feels kind of exploitive.
While I can see both sides of this issue, the upfront payment requirement rankles - MIT already costs tons and their graduates often have staggering debt, so this seems like a negative impetus to creativity.
"Working as a NASA intern, grad student Erez Lieberman had a eureka moment, resulting in an algorithm that detects whether a person is standing correctly or is off balance. Unfortunately, MIT liked it so much they decided to patent it. Seeking permission to use his own idea for his iShoe startup, which develops products like insoles to address the problems of seniors, Lieberman was told no problem â” as long as he promised a hefty royalty and forked over a $75,000 upfront payment. Whether or not students are aware of it, the NYTimes reports that most universities own inventions created by students that were developed using a 'significant' amount of schools resources. Now they acquire about 3,000 a year, and in 2006 licensing fees and equity in spinoff companies totaled at least $45B â” research powerhouses like Stanford and NYU pocketed $61M and $157M, respectively." |