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Germany establishes a national technology transfer agency

What would centralization of transfer at the national level bring us? Are the experiences of our neighbours transferable? Do we also need something like a national transfer agency? Before you accept or reject the idea outright, try reading the following lines.

Our neighbours have taken their first steps and overcome their first obstacles. The formal launch of the new transfer agency is expected in 2023.

It is more than a year since the “Semaphore” coalition (SPD, Greens and Free Democrats) came to power in our neighbours with a vision of reforming German research.

One of the key promises of the new coalition was the creation of a federal technology transfer agency. The German Agency for Transfer and Innovation (DATI) will support technology transfer from universities and research institute

Mario Brandenburg of the FDP, a computer scientist who spent eight years working at SAP, Europe’s largest software company, took responsibility for the DATI project. Germany has some catching up to do when it comes to the transfer of digital innovation. “I would say we are relatively competitive in traditional technologies, but with digital technologies it is rather the opposite,” says Brandenburg.

Positive steps are being taken by the German Ministry of Economic Affairs, whose strategy for start-ups aims to facilitate the establishment of spin-offs and start-ups and to promote entrepreneurship in the environment of universities and research institutes.

The Germans are also still working on the reform of science and research funding. In Germany, this change should not only boost research but also help politicians better explain the need for science funding to the public.

Another challenge – to improve the transfer of scientific results into practice

The new agency will be tasked with funding the services needed for technology transfer, providing training courses, attracting local and national venture capital for start-ups and developing regional networks between research and business.

DATI is not the first federal technology transfer agency. SPRIN-D, which was created under Merkel’s government (launched in 2019), has run into bureaucratic barriers. Brandenburg says it is not feasible for the agency to fund often risky new technologies while adhering to strict rules for managing public funds. It is now working on the “SPRIN-D Freedom” law, which will give it greater powers in managing the finances entrusted to it.

DATI has also designed the so-called decentralized system. Germany will be divided into so-called “innovation regions”. Each region will be led by regional coaches who can quickly adapt or even cancel transfer projects. The regions will receive funding for the preparation of new projects and programmes from the DATI Board, which will be in close contact with the regional authorities.

The combination of the two modes of leadership is new for Germany. This is one of the reasons why DATI is taking so long to get off the ground. “It’s a big time investment for colleagues working on the project. A lot of meetings and explanations. For our partners, this is a brand new project and they want to know the details. This includes meetings with regional and non-governmental organisations, politicians and scientists,” Brandenburg adds.

There will also be a new addition. DATI’s regional offices will also be staffed by social science experts who will assess the ethical and social impact of the newly proposed programmes. By involving civil society in technology transfer, we can better avoid the problem of profit-seeking at the expense of social cohesion.

Financing of DATI

In November 2022, the Budget Committee of the Bundestag approved the funding of DATI for this year in the amount of €14.6 million. This money will go towards setting up the agency and associated costs. Selecting regions, hiring staff and determining what legal form the structure should take, starting pilot transfer projects and external communication. The plan is to organize a roadshow that would focus on communicating the rollout of DATI in small regions.

The funding for 2023 is only a fraction of DATI’s proposed annual budget of €50 million (for the Agency and its innovation activities).

“DATI comes into being not because we can or must do something, but because we want to help transfer scientific results into practice,” Brandenburg concluded.

Translated and edited by Jiri Kavan.