This paper investigates and effective mechanism of university-industry linkages (UILs) that can foster internationalization of R&D activity in the context of developing countries. A conceptual model of UILs in a manufacturing industry was developed from the literature review to illustrate key components and relationships among the components in the model. Academic institutes and Japan MNCs in Thailand were used as a unit of analysis. Key performers of academic programs in three related universities and Japanese manufacturing companies were identified to investigate the role and relationships among the actors in the system. In-depth interviews were conducted with technology directors and technical staff, heads and instructors of academic programs, and technical students. The results of the study reveal that UIL with a formal relationship between academic institutes and MNCs in oversea subsidiaries and head quarters is a necessary condition for long-term supports and development. The main objective of UIL is to establish a broker's role in the system to develop skilled workers to perform R&D activities. It is important for the students and technical staff working in the industry to understand MNCs' organization culture in a particular industry. Effective communication and on-the-job socialization can create trust and transfer of tacit knowledge from R&D centers.