The evolution of university patenting and licensing procedures: An empirical study of institutional change

In a recent paper (Nelson & Sampat, 2001) we proposed that it is fruitful to conceptualize institutions as “social technologies” that are standard among economic actors in particular contexts. This paper extends the social technology concept to study institutionalization and institutional change, based on a case study of the history of social technologies used by universities to manage their patenting and licensing activities. While at the beginning of the twentieth century, universities avoided patenting and licensing activities, today all research universities have “technology transfer offices” to patent and market faculty inventions. That is, this social technology has become an institution. Based on historical narrative, we argue that the social technologies orientation highlights several important aspects of institutional change that are not prominent in the mainstream institutionalist literatures. Moreover, the evolution of social technologies has interesting parallels to the evolution of physical technologies.