Wishing Will Not Make it So 

Mike Waring
AUTM Advocacy and Alliances Coordinator


An important part of the Bayh-Dole Act is the requirement that inventions be licensed and manufactured in the United States whenever possible.  And truth be told, U.S. technology transfer offices love nothing better than to either license inventions to existing American manufacturers or help create an American startup company right in their own backyard.
 
When there is not a robust domestic manufacturer available or interested in taking one of our discoveries, the process allows for waivers to be issued which allow licensing of the technology overseas.
 
Unfortunately, some in government think that simply by mandating domestic manufacturing, government can force the creation of American technologies.  
 
As tech transfer professionals know, for nearly all of their discoveries there is an average of between zero and one company interested in developing that discovery into a new product or service.  The notion that tech transfer offices are licensing their technologies overseas in the face of a domestic manufacturing option could not be further from the truth.
 
Interestingly, government officials already understand this fact.  Look at the Chips and Science Act passed two years ago.  Most of the impetus for that legislation was to massively invest in developing a U.S.-based manufacturing base for semiconductors, which are crucial to maintaining world leadership in computers and in national security.  By spending billions of federal dollars, the U.S. aims to remain ahead of China and other countries. 
 
But the notion that banning the movement of technologies overseas will force-feed a domestic market makes little sense.  It makes even less sense to amend the Bayh-Dole Act to address concerns, such as some proposed legislation might do.
 
Let us be clear.  American technology transfer offices want to develop those technologies here in the U.S.  They look overseas only when there is no domestic manufacturer available.  There is no need to amend the Bayh-Dole Act if agencies would simply do their jobs of considering waivers when they are requested.    Requiring licensees to go above and beyond their current requirements is unnecessary.  If there is no domestic manufacturing base for some technologies, wishing will not make it so..