Describes how universities can end up holding an empty bag when companies with which they have formed technology-licensing deals go under. (EV)

The Virginia Polytechnic Institute and State University has created a profitable program for commercializing student and faculty research, investing with three venture-capital companies that agreed to pay extra attention to the university's technological innovations and developing an office park to promote local economic development and generate…

Unlike other universities, the University of Arizona is ending a policy of direct commercialization of faculty research, citing new federal rules governing conflict of interest and institutional budget constraints as the reasons. The decision also follows a suit against the university concerning spinoff rights. Critics argue that the university…