ISI was founded by Keith Uncapher, who headed the computer research group at RAND Corporation in the 1960s and early 1970s. Uncapher decided to leave RAND after his group's funding was cut in 1971. He approached the University of California at Los Angeles about creating an off-campus technology institute, but was told that a decision would take 15 months. He then presented the concept to USC, which approved the proposal in five days. ISI was launched with three employees in 1972. Its first proposal was funded by the Defense Advanced Research Projects Agency (DARPA) in 30 days for $6 million.