Author – Ethan Bochicchio
AO Tech, a startup born out of the University of Southern California’s (USC) research ecosystem, has achieved a major milestone by securing both a National Institutes of Health (NIH) STTR Phase I award of approximately $300,000 and an ARPA-H STTR Fast-Track Phase I/II award totaling roughly $3.7 million, about $1.5 million of which supports continued work at USC. Focused on advancing high-resolution imaging of the ear to improve the diagnosis and treatment of hearing loss and vertigo, AO Tech’s success reflects the strength of its technology and the critical role played by the USC Office of Research and Innovation (OORI) in guiding the company from early-stage research toward competitive federal funding.
Following its transition out of early translational support, AO Tech received hands-on, strategic guidance from OORI, which played a central role in shaping the company’s path forward. OORI worked closely with the team to refine its commercialization strategy, clarify its formation, and develop a focused SBIR/STTR funding plan aligned with federal priorities. AO Tech was supported through an OORI-funded SBIR/STTR Planning Award, which provided targeted early funding as well as the structure and support needed to prepare a highly competitive proposal. The result, as evidenced by AO Tech’s recent federal funding success, clearly demonstrates that intentional institutional backing, paired with early-stage resources, can unlock substantial non-dilutive federal capital and accelerate the translation of university research into real-world impact.
AO Tech’s trajectory is rooted in the strength of USC’s broader innovation ecosystem. The underlying technology was developed through NIH R01-supported research and further advanced with backing from the USC NEMO Prize, helping bridge the gap between discovery and application. Intellectual property development and protection were guided by the USC Stevens Center for Innovation, ensuring a clear pathway from lab to market. Together, these layers of support underscore USC’s capacity to drive translational research with real clinical impact and to foster startup formation around high-potential scientific breakthroughs.
AO Tech’s progress points to meaningful real-world impact. Its advanced ear imaging technology has the potential to significantly improve how clinicians diagnose and treat hearing loss and vertigo, while pushing the boundaries of medical imaging more broadly. It exemplifies a full-cycle innovation pathway in which academic discovery evolves into a startup, secures competitive federal support, and ultimately translates into tools that can improve patient care. In this way, AO Tech’s success highlights how targeted support from OORI and the broader USC ecosystem can turn federally funded research into tangible clinical solutions.
Co-founders of AO Tech, Drs. Brian Applegate and John Oghalai have highlighted the importance of OORI: “OORI leadership and staff have been incredibly supportive throughout this process, and they continue to function as trusted advisors to us… Frankly, without a push from OORI to move forward with commercialization, I’m not sure we would have done it yet. They not only supported and guided us, but they also inspired us.” Regarding their approach to securing federal funding, they noted, “In the lab, this new imaging technology has enabled us to better understand how the inner ear works and has now become a standard technique among auditory researchers worldwide. However, our dream is that this technology ultimately proves meaningful to our patients by helping to cure hearing loss and tinnitus.”
AO Tech’s success reflects how OORI enables end-to-end innovation, from early discovery through faculty-led commercialization to competitive federal funding outcomes. By aligning strategic guidance, targeted resources, and institutional expertise, OORI helps USC researchers translate promising ideas into impactful ventures. As this model continues to prove effective, USC is well-positioned to support a growing pipeline of teams pursuing SBIR/STTR opportunities and advancing technologies with the potential to make a real difference beyond the lab.