The study was designed to describe and analyze the University-Industry (U-I) linkage in the case of AddisrnAbaba University College of Natural Science and Institute of technology which are located at Arada Subcity.rnThis research employs mixed methods to address the issue. Sample survey of 68 individuals wasrnconducted using the quantitative method. While the qualitative methods applied, were interviews withrnassociate deans for research university and Industry linkage, METEC research and development vicerndirector, university industry link and technology transfer unit director, ministry of science and technologyrnexpert. Document analysis was also used to analyze policy related to university industry linkage. Thernnational science and technology policy, intellectual property right policy and higher educationrnproclamation: university internal policy and industry research and development strategies have been thernConceptual Model of the study that underpins this study. This study investigate that there is no universityindustryrnlinkage in terms of academic research. This study also revealed the power of implementation ofrnpolicies in connection with university industry linkage is very poor in national and university level, thernleadership commitment to creating linkage with industry doesnâ€™t get priority attention by the universityrnand the industry owner as well. Moreover this study also shows that the university academic staffs arernnot competitive to conduct competitive academic research which can be sold to industries, the universityrncome up with financial constraint and limited allocation of annual fund for the university industry linkagernunit. Moreover the study findings indicate that lack of incentive mechanisms to motivate the academicrnstaff, low level supply of updated research infrastructure and facilities, low level commitment and poorrnmanagement system were the lion share for the low level status of university industry linkage in the casernof Addis Ababa University. Furthermore, the study find out that patents have a key role in creating arnfavorable condition for the networking of the different actors in the national system of innovation but thernnational IPR policy has low impact to create strong linkage. The results of the research analyzed thatrnfunding in research play a dominant role to have novel technology result but at national level, in thernuniversity and METEC it is really below average. The university and industry partnership in terms ofrnresearch is still on its minimal stage because of the two parties miss communication, low level industryrnowner awareness, university leadership commitment and competence to create the linkage is also belowrnaverage