INOV came into existence to contribute to getting over the weaknesses identified in the Triennial 1995-97 INESC Executive Report (PEDIP II – SINFRAPEDIP - Action A), in which the high dispersion of activities in the areas of scientific and technological knowledge was indicated as a factor that inhibited an adequate capacity of the institute to intervene the market.

The guidelines set by the General Assembly of INESC on May 98 gave a final impulse for launching a broad process of strategic restructuration by establishing autonomous organisations with their own legal entity, specialising in different areas of activity.

During this process, INOV concentrated in its structure a significant share of the Electronics and Telecommunications Strategic Area of activity of INESC in Lisbon. In particular, it inherited two technology transfer centres with high potential and critical significance, the Centre for Systems and Signal Processing (CSPS) and the Centre for Personal and Mobile Communications (CCMP), both created under the sponsorship of the Portuguese Industry Development Program (PEDIP).

Incorporation of these two centres allowed optimising current activities and segmenting them in accordance to the business area, thus initiating the construction of adequate managing methods for the product portfolio and appropriate services.
Although being integrated into INESC, these centres already operated with some autonomy. Two units exclusively devoted to supporting their activity were created as early as 1996: DAET (Department for Supporting the Electronics and Telecommunications Areas), responsible for administrative activity, planning and monitoring of activities, and CDN (Coordination and Business Development), responsible for activities such as identification and planning of the strategic advances, development of business opportunities, definition and implementation of marketing strategies. These two units, also created with the support of PEDIP, were eventually integrated into INOV.

During the INOV formation, the above mentioned units incorporated some R&D groups of INESC in Lisbon operated in the areas of Electronics and Telecommunications. In June 2001, at the creation of INESC Microsystems and Nanotechnologies, INOV acted as one of its Founder Members. These activities resulted in creating a cohesive group of critical significance from viewpoint of technology and material/technical support.

In conclusion, it is worth to notice that concentration of efforts and specific resources in a more structured, consistent and professional form enabled INOV, as an autonomous technological infrastructure, on the one hand, to focus exclusively on their primary competencies and, on the other hand, to augment its external visibility and achieve wide recognition from the side of business community of its technological merits due to successful results in the technology transfer servicing for existing or emerging companies.