This paper analyzed trends, challenges and prospects of academia-industry-government linkages in Tanzania. Using case study design, and documentary review to gather the required data, the study sought to answer three research questions: (1) what are the trends of academia-industry-government linkages in Tanzania?, (2) what are the challenges facing academia-industry-government linkages in Tanzania?, and (3) what are the prospects of academia-industry-government linkages in Tanzania? Results show that while weak linkages between academia, industry and government were a direct result of historic reasons, policy reform that ushered in the private sector, and current global trends, offered best opportunity to revitalize such linkages. The paper recommends that to speed up innovations, Tanzania should utilize bottom up innovation model (model II), approach which is market driven, participatory and problem solving in orientation, to guide its innovation endeavors.