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Our vision is to be a leader in innovation management that creates value for the University of Utah, its stakeholders and society.
- Originally published: Research Post
By Xoel Cardenas, Sr. Communications Specialist, Office of the Vice President of Research
University of Utah ranks second in the nation in universities with the highest likelihood of producing unicorn companies.
Utah is known for its innovative spirit. It's in the state's history, and at the University of Utah, we follow the lead of innovators past, creating new success stories in education, research, technology and more.
One area where the U of U has shone the brightest — both historically and currently — is its development of entrepreneurial and startup business success. Recently, the U was recognized and ranked among the best in the country for developing businesses that grow from a startup to the elusive "unicorn."
According to a recent study by Stanford Venture Capital Initiative, the University of Utah ranked second in the nation in universities with the highest likelihood of producing unicorn companies. A unicorn is a privately-owned startup business with a worth of more than $1 billion.
The purpose of the study — conducted by Ilya Strebulaev, founder of the Venture Capital Initiative and a professor of private equity and finance at Stanford University — was to see what the data says about unicorn founders, in particular, the myth of the brilliant college dropout and the reality of founder education patterns and backgrounds.
The study showed that while stories of college dropouts-turned-billionaires like Bill Gates or Steve Jobs capture the public's imagination, the data shows unicorn founders are significantly more educated than the general population.
"(Unicorn founders) are six times more likely to hold a doctoral degree, three times more likely to have a master's degree, and twice as likely to have completed undergraduate studies compared to the average U.S. person over 25 years old," according to the study.
While there are new paths to developing deep expertise nowadays, Strebulaev's study says formal education remains a strong predictor of unicorn success.
"The data suggests that building successful companies of the future often benefits from the knowledge, research mindset and specialized networks developed through formal education," the study states. "The dropout-to-billionaire path, while possible, remains a captivating outlier rather than a reliable template for entrepreneurial success."
The U continues to create startup and unicorn success
The University of Utah's stellar ranking is just one more example of how our university contributes to the state of Utah's continued success for startups. In 2022, a study by Strebulaev and the Stanford Venture Capital Initiative showed 1 of every 61 venture capital-backed companies in Utah becomes a unicorn.
Over 330 companies have launched based on technologies developed at the U, with 23 new technology licenses and four startups in FY2024 alone, according to the U of U's Technology Licensing Office (TLO).
Utah ranks No. 1 among U.S. states for innovation capacity and outcomes, according to the latest The Innovation Intelligence Index (II3). A recent report from the Kem C. Gardner Policy Institute and Economic Development Corporation of Utah says the Beehive State has strong "innovation ecosystems" thanks to its higher education institutions, well-trained workforce, collaborative atmosphere, and culture of innovation driven by the culture of this state.
"Utah is easily one of the best places in the nation for startup companies," said Troy D'Ambrosio, Vice President for Innovation and former executive director of the Lassonde Entrepreneur Institute. "The state is consistently ranked as one of the top locations to start a business, and there are many reasons for this. One explanation is how willing everyone is here to support entrepreneurs through mentorship, grants, and more. Another reason is the vast number of resources available to entrepreneurs here. Utah has many university programs for entrepreneurs, business resources centers, grants programs, co-workspaces, and a wide variety of other resources."
Established in 2001, the Lassonde Entrepreneur Institute is a nationally ranked hub for student entrepreneurship and innovation at the University of Utah and an interdisciplinary division of the David Eccles School of Business.
The institute provides opportunities for thousands of students to learn about entrepreneurship and innovation. U.S. News and Princeton Review have ranked the Lassonde Entrepreneur Institute among the top 10 best programs in the country for entrepreneurship.
Innovative U programs lead to entrepreneur success
What makes the University of Utah the best choice for anyone looking for the best route to launch their startup? D'Ambrosio says it's due to the many innovative programs the U provides to entrepreneurs and the success they have achieved.
"The Master of Business Creation is a great example of the programs at the U," he said. "It is a one-of-a-kind program where entrepreneurs grow their business while also earning a master's degree with help from one-on-one mentors, applied curriculum, marketing support, and access to business grants. No other university offers a program like it."
The journey is different for each startup to go from idea to launch. Times change and so has the way to launch a startup, so evolving with the times is important.
"What it means to be an entrepreneur is always changing," said D'Ambrosio. "The resources needed and the types of opportunities worth pursuing change frequently. A major change has been the amount of time it takes to start a company has been shortened dramatically. You can now launch a business idea and start selling something in a few hours. The Lassonde Entrepreneur Institute supports this changing landscape by always changing our programs and providing resources that are available all year long, whenever entrepreneurs need them."
D'Ambrosio says the Lassonde Entrepreneur Institute supports the University of Utah's goal of becoming an innovation leader by focusing on student ideas and entrepreneurial ambitions.
"We focus on students who are pursuing business or product ideas. We surround them with everything they need. Students get a life-changing experience, apply what they are learning, and sometimes also achieve great financial success," he said.
When asked what he would tell the public about the bright future of U of U's continued entrepreneurial success, D'Ambrosio said everyone is welcome to get involved.
"We are always looking for mentors, supporters, new students to join our programs, alumni to reconnect with, and startups who could benefit from our programs," he said. "We encourage you to learn more, sign up, and attend our many events throughout the year."
To learn more about Lassonde Entrepreneur Institute, click here.
University of Utah startups continue innovating and discovering solutions to today's unmet needs. Here's a roundup of some of the latest news out of these companies
Recursion Receives Recognition by Fast Company for AI Increases Drug Discovery and Rapid Growth
Recursion
recently received recognition from Fast Company as one of the top 10 BioTech companies for rapid growth and strong performance leveraging AI. Recursion is reimagining drug discovery by combining AI with automated experimentation and large-scale biological data.
From developing treatments matched to patient needs to supporting biodiversity research, the company is pushing the boundaries of what's possible at the intersection of biology and technology continues its rapid growth and expanding influence.
This year, Recursion unveiled two major innovations that showcase its unique approach to accelerating drug discovery:
- LOWE (LLM-Orchestrated Workflow Engine) is the "brain" of the operation—a natural language interface that allows scientists to design complex experiments using plain English. LOWE then converts those inputs into real-time actions within Recursion's automated wet labs, streamlining and scaling the experimental process.
- BioHive-2 is the "muscle"—a cutting-edge supercomputer developed in collaboration with NVIDIA. Installed on-site, BioHive-2 ranks #35 in the world and is believed to be the fastest computer in the biopharmaceutical industry. It enables Recursion to rapidly analyze massive datasets and train advanced AI models to uncover novel drug candidates and biological insights.
Beyond their tech infrastructure, recursion recently advanced two of its lead drug candidates into clinical trials.
- REC-3964 entered a Phase 2 trial, which treats recurrent Clostridioides difficile infections. What makes this drug especially noteworthy is that it's non-an antibiotic, offering a new approach to rising antibiotic resistance.
- REC-1245 began a Phase 1/2 trial targeting solid tumors and lymphomas. This first-in-class therapy uses a novel protein-degradation strategy to eliminate RBM39, a protein that helps cancer cells process genetic instructions. By marking this protein for destruction, REC-1245 takes a completely new approach to disrupting cancer cell survival.
Recursion also acquired Exscientia, a fellow AI-driven drug discovery company. This acquisition not only brings additional expertise and platforms under Recursion's umbrella but also boosts the company's drug development pipeline to 10 in-house programs, spanning preclinical to clinical stages.
Oblate Optics Selected for Prestigious Luminate NY Accelerator
Oblate Optics
uses AI-optimized meta-lenses to transform laser optics technology. The company designs and manufactures ultralight, low-cost, high-performance optical surfaces that offer game-changing improvements across several industries. They work on replacing bulky, traditional lens systems with lightweight, precision-engineered meta-lenses.
Oblate Optics gained national recognition for its breakthrough work and was selected for Round 8 of the Luminate NY Accelerator Program. One of the world's most competitive programs for startups focused on optics, photonics, and imaging (OPI) innovation. Chosen from over 197 applications across 38 countries, they secured a place in the cohort, receiving an initial $100,000 investment and a chance to compete for up to $2 million in additional funding upon completion of the seven-month program.
The program is widely known for advancing startups that are developing industry-first solutions. By participating in the Luminate NY Accelerator program, Oblate Optics will be able to sharpen its investor readiness, strengthen its commercialization strategies, and connect with a global network of experts and resources based in New York's Finger Lakes region.
Chronic pain, depression, and addiction don't discriminate—they affect people in every walk of life.
What they often have in common is frustration: with medications that stop working, procedures that carry risks, and options that feel out of reach. That's what drove Jan Kubanek to act. "We understand these conditions at a neurological level," he said. "Now we need tools that meet that knowledge with real practical interventions."
That realization set Kubanek on a path that combines academic discovery and clinical innovation—and ultimately to the launch of Spire Therapeutics, a startup based on technology developed at the University of Utah and now moving into clinical trials with the goal of obtaining FDA approval.
At the center of Spire's work is Diadem, a first-of-its-kind device that uses controlled levels of low-intensity focused ultrasound—not drugs, surgery, or implants—to modulate deep brain circuits involved in some of today's most difficult conditions, including depression, chronic pain, opioid addiction, and other disorders. It's a bold shift from traditional neuromodulation tools and one that could transform how care is delivered.
To make this technology possible, several important long-standing barriers had to be overcome using novel engineering designs and approaches. Spire holds exclusive rights to a growing portfolio of patent applications covering the core technology behind Diadem, ensuring strong protection of intellectual property as the company advances toward FDA approval. The technology is the subject of pending patent applications in jurisdictions around the world, underscoring Spire's commitment to securing rights to the foundational innovations behind Diadem. This ensures that the venture will remain a driving force of innovation in this new field.
"This approach provides a treatment option to those who do not respond to existing treatments," Kubanek said. "And doing it in a controlled way that precisely targets the involved brain circuits."
From Idea to Impact
The seed of the technology was planted years earlier, during Kubanek's postdoctoral training at Stanford. While there, he began exploring how focused ultrasound could interact with neurons—not just for imaging, but to actively reset how malfunctioning circuits behave.
What he discovered is now the foundation of Diadem: when sound waves pass through brain tissue, they cause tiny mechanical vibrations that can activate ion channels in neurons. This mechanical energy is converted into electrical activity, allowing clinicians to modulate the brain's electrical patterns—without surgery, implants, or medication.
"The sound waves reset hyperactive brain circuits, like those seen in chronic pain and depression," Kubanek explained. "It's noninvasive, and at the same time focus into the specific hyperactive brain circuits."
At the University of Utah, he built a research program around this idea. With support from university seed funding, preclinical testing, and regulatory mentorship—his team demonstrated both the safety and precision of the approach.
"The U gave us what any inventor needs: the room to explore and a path to go further," he said.
Translating Research into Relief
In 2022, Kubanek cofounded Spire Therapeutics to eventually bring the technology into clinical use. The company quickly gained momentum within Utah's innovation ecosystem, joining Altitude Lab and earning recognition across the campus and beyond.
In 2024, Kubanek was named Founder of the Year at the University of Utah's Innovation Awards, where his work was celebrated for its potential to impact millions of lives.
Now, Spire is launching its first clinical trials in partnership with the University of Utah's Data Coordinating Center (DCC), one of the largest academic research organizations in the country. That collaboration ensures the study meets the highest standards in trial design, execution, and regulatory compliance.
"Spire represents the kind of bold, patient-centered innovation that research universities are uniquely positioned to support," said Dr. Jim Hotaling, Associate Vice President for Research Innovation and Translation at the University of Utah. "This is more than a promising technology—it's a case study in how discovery, infrastructure, and mission-driven leadership can come together to solve real human problems."
