As public funding for tertiary institutions continues to decline amid government cost-cutting measures, the traditional response of industrial actions, which often leads to prolonged disruptions in academic activities, has proven largely ineffective. The transformation of Nigerian universities into entrepreneurial institutions hinges on their ability to move beyond traditional educational structures and embrace a more market-oriented and innovation-driven model. This article provides a template for understanding how university-industry (UI) synergies can serve as a strategic mechanism for repositioning Nigerian universities as active contributors to national development. It argues that while financial constraints have been a persistent challenge, the real issue lies in the structural rigidity of universities, which limits their ability to engage productively with industry. This paper thus contributes to the ongoing discourse on higher education reform by offering a strategic perspective on how Nigerian universities can reposition themselves as active participants in an increasingly knowledge-driven economy.