In this paper, we present an innovation case study that brings together both extrinsic and curricular factors (i.e., intrinsic within the academe). In the first half, we review government policies as extrinsic motivators and supporting factors for academe-industry collaboration. We map out general supporting policies, enumerate demand-creating policies for specific industries, and identify interventions and improvements for more productive policy crafting and implementation. In the second half, we analyze the capacity of the academe and industry to carry out collaborative innovation. We highlight the collaboration potential of Higher Education Institutions (HEIs) and industry, the current environment for collaboration, specific enabling policies, challenges encountered by the stakeholders, design pegs from other countries, and recommendations for manpower support to bolster innovation and academeindustry collaboration.