This chapter analyzes the public research system and policies implemented in South Africa to promote innovation and economic development. In addition to public research organizations and state-owned enterprises, the government research and innovation infrastructure is supplemented with private sector research, regulatory bodies, industry associations, and the South African Patent Office in South Africa. The chapter describes South African policies that have been introduced to support the supply of public research, consisting of the outputs of public research organizations, policies to support the innovative capabilities of firms, and policies to support linkages and knowledge transfer between public research and firms. Four case studies based on desk research and interviews show that the main channels for knowledge transfer in South Africa are informal methods and research agreements. The chapter concludes that a number of factors have limited the flow of knowledge from public research to businesses in South Africa and action is required to improve the demand for university research and increase the domestic capability to absorb and learn how to use technologies associated with new investment and modernization.