[knzhou]

Your typical research doesn't lead to billions in licensing fees. 99% of research produces nothing of direct monetary value at all, and research that does is generally done in startups or pharma/biotech companies, where the rules are far more stringent than in university-affiliated labs. Still, of course you are right that this is all a gray area.

[mattkrause]

While the vast majority of academic labs aren’t producing finished products like drugs, it’s not uncommon for researchers to obtain patents on certain promising leads.

Most universities have a “tech transfer” office that helps with this (the university usually gets a share) and tries to find licensees.