In-strongQstrong-Tel The Central Intelligence Agency as Venture.pdf

Northwestern Journal of International Law Business Volume 33 | Issue 3 Spring 2013 In-Q-Tel: The Central Intelligence Agency as Venture Capitalist J ohn T. Reinert Follow this and a itional works at : /njilb Recommended Citation J ohn T. Reinert, In-Q-Tel: The Central Intelligen ce Agency as Venture Capit alist, 33 Nw.J . Intl L. Bus. 677 (2013). /njilb/vol33/iss3/4 This Comment is brought to you for free and open access by Northwestern University School of Law Scholarly Commons. It has been accepted for inclusion in Northwestern Journal of International Law Business by an authorized administrator of Northwestern University School of Law Scholarly Commons. In-Q-Tel: The Central Intelligence Agency as Venture Capitalist By John T. Reinert* Abstract: The Central Intelligence Agency (CIA), the United States’ principal foreign intelligence and spy organization, chartered the first government- sponsored venture capital firm, dubbed In-Q-Tel, in February 1999. In-Q-Tel represents the twenty-first century fusion of U.S. spy efforts with the venture capital industry. Envisioned as a platform to expand the research and development (RD) efforts of the CIA into the private sector, In-Q-Tel uses CIA-supplied funds to make strategic investments in startup companies developing commercially focused technologies that are of interest to the CIA and greater intelligence community. This Comment contends that, although RD collaboration between the public and private sectors is vital and should be encouraged, such collaboration should not be in the form of a venture capital firm chartered and sponsored by the CIA. The CIA is not equipped to succeed in the notoriousl