Interestingly I was just wondering aloud on Twitter the other day why more VC's aren't getting into the open innovation game. Open innovation is definitely becoming more mainstream and it offers opportunities for investors to increase their success rates by backing technologies and entrepreneurs that have a more clear path to profitable exit... whether license, sale or other partnership with the leading companies that are searching externally for innovation to fuel growth.
“Verdant Ventures will enable Innovaro clients to have access to capital that we believe will help facilitate the transfer of technologies that have not yet attained a certain milestone or level of development maturity. The underlying goal of this relationship is to further increase our clients’ commercialization success rates as well as increase the frequency of technology licensing for the Company," states Doug Schaedler, CEO of Innovaro.
Full disclosure: I'm also an operating executive with Spencer Trask Collaborative Innovations, a unique firm that is building a comprehensive suite of collaborative innovation with some of the world's leaders in open innovation.
Both of these models demonstrate a natural and synergistic combination of venture capital and open/collaborative innovation and I'm sure we'll be seeing much more of this model... especially with how broken the traditional venture capital market is these days.