Skin in the Game – University Takes Equity Stake in Spinoff to Increase Support

Commercial ideas generated at universities are kind of like undergraduates. The university cradles them while they’re on campus, but at some point they’ve got to venture beyond its grounds.

But with so much pressure on universities to be "economic engines" in their states and regions, to churn out job- and wealth-creating businesses that show returns for the area and the university, some academics are arguing that universities need to hang on for the ride. For that reason, many institutions rent space in incubation centers to start-ups to give them the infrastructure to get off the ground.

Kevin Kiley

Full Story: http://www.insidehighered.com/news/2011/08/02/rochester_takes_equity_stake_in_student_social_media_start_up