We are seeing a revolution in the way that R&D affects the strategic plans of businesses and governments. Business and government leaders are acutely aware that the future belongs to those who can capture the benefits of rapidly advancing technology. Yet for many companies, the cost of developing and commercializing advanced technology is becoming prohibitive. While the complexity and risk of developing advanced technology are escalating, the time cycle for successful market introduction is shrinking. To manage corporate costs, more private organizations are downsizing their R&D functions. Concurrently, there is an increasing need for technological contributions to current business problems and new business opportunities. These marketplace forces have spurred the growth of collaborative research among corporations, including the establishment of consortium research organizations. This paper addresses some of the most important issues associated with consortium research. Why is collaborative research so attractive today to business and government leaders? What are the downsides? What should one expect from successful consortium research?