In 1989 Philips introduced a new financing structure that required Natlab to secure two-thirds of its budget through contracts with Philips' product divisions. This marked a major change from its prior model, where funding came directly from the corporate board.
Anything that wasn't "commercially viable" according to the penny-polishers with MBAs was abandoned. The dumbest move ever. Fundamental research can't be outsourced, and never has immediate commercial value.