Tech Transfer Policy Faces Legislative Headwinds
Despite bipartisan support for tech transfer's role in U.S. competitiveness, momentum for intellectual property reform legislation is slowing in Congress. Bills such as the PARA and PREVAIL Acts, aimed at reforming patent eligibility and PTAB practices, face an uncertain future. An analyst advised that a localized advocacy strategy is most effective for universities and startups seeking to influence policy.
- The PREVAIL Act (Promoting and Respecting Economically Vital American Innovation Leadership Act) aims to reform the Patent Trial and Appeal Board (PTAB) by requiring challengers to have been sued or threatened with a lawsuit before filing a petition. It also seeks to align PTAB standards with federal courts by adopting a "clear and convincing evidence" burden of proof for invalidating patents. - The Patent Eligibility Restoration Act (PERA) is designed to clarify what is patent-eligible by replacing judicially created exceptions with a specific list of exclusions. This is a response to Supreme Court decisions like *Alice* and *Mayo*, which supporters argue have created uncertainty for inventions in fields like AI, medical diagnostics, and software. - The authority for the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs expired on September 30, 2025. As of early 2026, Congress has not passed a reauthorization, leaving the programs in limbo and preventing federal agencies from issuing new solicitations or awards. - The Department of Defense's 2023 Data, Analytics, and Artificial Intelligence Adoption Strategy, developed by the Chief Digital and AI Office, focuses on accelerating AI adoption to maintain a decision-making advantage. The strategy outlines key goals such as investing in interoperable infrastructure, expanding digital talent, and improving foundational data management. - An early example of the DoD leveraging large language models is the GAMECHANGER program, which was developed in 2018 to create a policy reconciliation tool and improve access to the vast amount of government directives and policies. - As part of a "Revolutionary FAR Overhaul," the Federal Acquisition Regulation (FAR) Council released a significant update to FAR Part 19, which governs small business programs, on September 26, 2025. The update aims to streamline regulations and has reorganized the content around the acquisition lifecycle: Presolicitation, Evaluation and Award, and Post-award. - A key change in the FAR Part 19 rewrite is the elimination of the requirement for small businesses to re-represent their size status when bidding on individual orders under multiple-award contracts, reducing an administrative burden. However, some analyses suggest the broader overhaul could reduce predictable small business access to federal spending. - Critics of the PREVAIL Act, such as the Electronic Frontier Foundation (EFF), argue it would make it harder for the public and small businesses to challenge weak patents by raising the burden of proof and forcing challengers to choose between the PTAB and court, but not both.