Center for Studies in Higher Education

California has achieved considerable economic success through technological innovation and the formation of businesses based upon those technologies. This paper addresses some of the roles of universities in that success story. It starts with some measures of the contributions of innovation and a robust university structure to the California economy, drawn from the biotechnology and wine industries. This is followed by an exploration of some recent partnership structures involving universities with industry and/or the state government. Emphasis is on the University of California, since that is where the experience of the author lies. This is followed by considerations of how such partnerships can be most successful and at the same time meet concerns about potential undesirable consequences stemming from them.