Open Science and Open Innovation: Sourcing Knowledge from Universities

In this chapter, we investigate how firms work with universities in the course of their innovation activities. We provide an overview of three main modes of direct interaction between firms and universities: IP licensing, research services and research partnerships. We outline the main characteristics of each mode, its relative importance for firms as well as benefits and challenges. While licensing remains an important mode in which public research finds its way into firms laboratories, we highlight the significant role of relationship-based modes of interaction which include research services and research partnerships ­ between firms and universities. While some of these relationship-based interactions enable appropriation via intellectual property rights, others are more aligned with the norms of open science and create benefits for firms by generating basic knowledge, creating skills and enabling follow-on innovation. We conclude with open questions for future research.