XenoPort down 15% [May 20, 13] said it will stop developing its experimental multiple sclerosis treatment after data from a late-stage trial showed the drug did not improve patients' condition significantly compared with a placebo. [Reuters, May 20, 13]
First Solar up 10% [May 20, 13]
Synageva BioPharma (Lexington, MA; $800K SBIR) biopharmaceutical company developing therapies for rare diseases, said that the Food and Drug Administration has granted breakthrough therapy designation to its drug candidate for the treatment of the early onset form of LAL deficiency. Lysosomal acid lipase deficiency (or LAL deficiency) is a rare disorder caused by a marked decrease in LAL enzyme activity. [Boston Globe, May 20, 13]
Acadia Pharmaceuticals said it has raised $115 million in gross proceeds from its secondary public offering. [Bradley Fikes, utsandiego.com, May 20, 13]
genomic-analysis company NanoString Technologies (Seatle, WA; no SBIR) aims to sell up to $86 million in [IPO], the company said in a regulatory filing. .... founded in 2003, a “spinout” from the Institute for Systems Biology in Seattle, according to Xconomy.com. [Seattle Times, May 20, 13]
Nearly two years after it landed an $10 million round of funding, motion sensor maker Qualtre (Marlborough, MA; no SBIR) secured more funds, bringing the total amount raised to $26 million. [Patricia Resende, Boston Business Journal, May 20, 13]
In the first three months of 2013, nationwide venture funding fell 12 percent compared to the previous quarter, according to the MoneyTree report. The association and PricewaterhouseCoopers compile the data with Thomson Reuters [Peter Delevett, San Jose Mercury News, May 19]
ViaSat up 19% [May 17, 13]
Uni-Pixel down 26% [May 17, 13]
Tableau Software (Seattle, WA; no SBIR) data-visualization company burst onto the public markets Friday with a steller public offering, jumping 64 percent from its initial $31 price. [Brier Dudley, Seattle Times, May 19, 13]
Capitalism rules. The Obama administration cleared the way for broader natural-gas exports by approving a $10 billion facility in Texas, a milestone in the U.S. transition into a major supplier of energy for world markets. [Wall Street Journal, May 18] Natural resources are for selling - NOW. For all our preening about innovation, America got a large measure of its wealth by selling what nature provides: non-renewables like iron, oil, copper, silver, timber, and renewables like grain. As far as capitalism is concerned, the cost of a product is its extraction cost (with as many externalities as possible dumped on the public).
Intellectual-property claims against tech startups are rising. A 2012 study from PricewaterhouseCoopers found that the tech industry experienced significant increases in "identified" decisions in patent cases from 2006 through 2011. [Pui-Wing Tam, Wall Street Journal, May 17]
SBA will host a Google+ Hangout May 22, 3PM on how to use federal government to increase exports. Details
Understandably, government typically tries to the fund projects most likely to succeed, especially if a metric of success is whether the subsidy yielded a payoff. But in that case, government risks basing funding decisions on the same criteria the private sector would use. If that happens, the program as a whole may appear to be successful, but if government funding simply replaced private funding then the program was not effective at all. In part for that reason, direct government funding of commercializable industrial research has a mixed track record, at best. The first step in making those programs more successful would be designing them in such a way that they could be rigorously evaluated. Such evaluations would mean, at a minimum, tracking projects and firms that did not receive subsidies as well as those that did, and in the best case, introducing evaluation tools such as randomization. However, government has shown no interest in rigorous evaluation of corporate subsidies in the past, and no evidence suggests it will in the near future, either.[Scott Wallsten, Technology Policy Institute, Sep 2011] In other words, subsidies other than for basic research (how does nature work?) R&D are just about politics.
A new study from Accenture, “Why ‘Low Risk’ Innovation Is Costly,” found that fewer than one in five chief executives believes his strategic investments in innovation are paying off ... There may be a classic negative feedback loop at work here. If frustrated CEOs are not seeing their more risky R&D investments produce needle-moving results fast enough, they may turn to incremental improvements rather than big killer ideas. To wit, nearly two out of three of respondents said they were investing in product-line extensions. [Bernhard Warner, Bloomberg Business Week, May 16]
Classic pandering. The Supreme Court rules that states cannot do A, but a lot of people in the state want to do A. So the politicians pass a law for A which the governor vetoes as unconstitutional. The politicians override the veto with a super-majority. Weeks later the regional federal court strikes down the law as unconstitutional. The politicians give hue and cry as they collect more votes and contributions in the coming election cycle for the kind of politician who will serve the state's people. Latest example: Arkansas.
If government did not exist, we would have to invent it. And then we’d have to reinvent it, because it would be lousy and everyone would hate it. Since the founders chucked the Articles of Confederation, Americans have been reinventing government, reimagining structures and rules, tinkering to make their union just a little less imperfect. These projects get caught up in the political fights of their times, of course [Carlos Lazada, WaPo, May 20] As long as we have people, politics, and elections, government will always be imperfect, but probably the best attainable government.
Both sides cite polling — there’s enough polling these days for everyone to find something that suits them — that prove their point. [Chris Cillizza, Washington Post, May 20] We also have tons of data, especially economic data, enough to "prove" almost any assertion if carefully couched. The difference is that data are facts, and polls are mere opinion.
iRobot won contracts worth $7.2 million to provide unmanned ground vehicles to the government of Brazil as the company prepares for a visit from the Pope this summer, the FIFA World Cup soccer tournament next year, and the 2016 Olympics Summer Games. ... The 510 PackBot is a tactical mobile robot for missions including reconnaissance, route clearance, hazardous materials detection and bomb disposal. It is the same robot that was used to inspect the car allegedly hijacked by the Boston Marathon bombing suspects [Don Seiffert and Pat Resende, Mass High Tech, May 15, 13]
Kopin is expanding to the West Coast. [by] opening its first Wearable Tech Center in Silicon Valley.< [Patricia Resende, Boston Business Journal, May 15, 13]
Lighting developer Illumitex (Austin, TX; no SBIR) received $3.8 million of a planned $8 million financing from four investors. [Austin Business Journal, Apr 15, 13]
Optimer Pharma up 14% [May 15, 13]
Ambit Biosciences (San Diego, CA; no SBIR) which is expected to hold its [IPO] this week, cut its price but increased the number of shares it plans to sell ]for the same $65 million]. [Bradley Fikes, utsandiego.com, May 15, 13]
ViaSat is teaming up with a division of L-3 to develop an in-flight Internet service for airline-sized planes that are used by heads of state and other VIP customers. [Mike Freeman, utsandiego.com, May 15, 13]
Reality for science. The president of the Kansas Bioscience Authority said the agency is looking at a new way of conducting business in the state, The Lawrence Journal-World reports. President Duane Cantrell said the KBA is shifting away from feeling "entitled" to state funding and instead has learned that it needs to earn the state's support. Cantrell said the agency will now focus on reaping a return on its investments instead of looking more grants to be awarded, the report says. [Kansas City Business Journal, May 1] What a novel idea - sci/tech funding should show a return on investment.
Political science.Kansas Gov. Brownback proposed to divert more than $1.2 million from the state’s bioscience investments to instead fund the Midwest Stem Cell Therapy Center at the [UK] Medical Center. Brownback signed a bill earlier this month establishing the center at the urging of anti-abortion conservatives. It would focus on producing clinical-grade stem cells from adult tissue and cord blood, rather than embryos. [Brianne Pfannenstiel, Kansas City Business Journal, Apr 30] When the political goals override the science, top class scientists would seriously question any public commitment to the non-political pursuit of scientific truth. Kansas at least wants their public employees to feel safe on the job by passing a law allowing Kansas employees of public schools and colleges to carry concealed weapons, the Lawrence Journal-World reports. [Kansas City Business Journal, Apr 18] Kansas politicians cater to public idea that nobody gets abortion and everybody gets guns.
ChemoCentryx up 11% [May 14,13]
Optimer Pharmaceuticals has attracted multiple bidders for a potential sale, including such big names as AstraZeneca, Astellas and Cubist, according to Bloomberg News. [Bradley Fikes, utsandiego.com, May 14, 13]
Zebra Imaging (Austin, TX; $800K SBIR) has raised $2 million of a planned $3.5 million financing. ..... founded in 1996, develops technology producing 3-D images that can be seen without special glasses. The company employed 55 workers in 2009. [Christopher Calnan, Austin Business Journal, May 13, 13]
biopharmaceutical company Mirna Therapeutics (Austin, TX; $800K SBIR) has initiated Phase 1 of a clinical study of MRX34, a microRNA replacement therapy for cancer treatment [Chad Swiatecki, Austin Business Journal, May 13, 13]
Datafiniti (Houston, TX; no SBIR) is moving to Austin after having difficulty recruiting technology workers in Houston. [Christopher Calnan, Austin Business Journal, May 10, 13]
Superconductor Technologies agreed with institutional investors to complete a private placement of $2.1 million of common stock [Christopher Calnan, Austin Business Journal, Apr 25, 13]
Mati Therapeutics (Austin, TX; no SBIR) raised $1.3 million of a planned $10 million financing. ... founded in 2012, is developing a platform to provide sustained drug delivery to the surface of the eye. [Christopher Calnan, Austin Business Journal, Apr 15, 13]
venture capitalists here and around the country are bailing out of cleantech in droves, spooked by low returns and an uncertain political landscape. .... [NVCA says] Investments in alternative energy and related fields have dropped for five of the past six quarters. [Peter Delevett, San Jose Mercury News, May 13]
On the Top Ten Competitive States of 2012 list, Texas led with 414 points, followed by Indiana (411), Georgia (409.5), Tennessee (403.5) and North Carolina (385). Atlanta-based [magazine] Site Selection determines the list based on 10 factors, including new and expanded facilities, new jobs, state tax climate and career-readiness certificates per 1,000 residents, among others. ... highlighted Texas’ tax climate in particular, focusing on Gov. Rick Perry’s $1.6 billion tax-relief proposal. [Olivia Pulsinelli, Houston Business Journal, May 7] Low taxes are loved by politicians, but business needs a lot more out of a place.
[Texas Gov Perry] has requested a federal emergency declaration for McLennan County following the explosion at a fertilizer plant in West, the Texas Tribune reports.[Apr 19] "Cut taxes, and send us federal money" challenges basic government math. But math, like evolution science, is different in Texas.
Optimer Pharma up 14% [May 13, 13]
Tessera Tech($1.5M SBIR) declared a special dividend.
Dyax said it has priced a registered direct offering for gross proceeds of approximately $30 million. .... intends to use the net proceeds from this offering to fund research and development activities, including the development of DX-2930, a drug candidate for the treatment of hereditary angioedema, or HAE, and for general corporate purposes. [Boston Globe, May 13, 13]
Pain Thera down 50% [May 10, 13] Pfizer said it could not decide whether to pursue regulatory approval for Pain Therapeutics painkiller Remoxy, for which the [FDA] sought additional studies [Reuters, May 10, 13]
Homeland Security latest Phase I SBIR award list emphaiszes security of accomplishing the task by funding what sound like rather straightforward engineering and awards to companies with much, much SBIR experience, occasionally in many tens of millions of SBIR dollars "invested". In typical mission agency style, they buy what they need and with little risk of failure. If you have bleeding edge non-life-science technology with a great future, take it to DARPA.
National SBIR Spring 2013 Conference May 14-16 in Washington, DC .... co-located with two other events at the same venue, TechConnect World (TC), and National Innovation Summit and Showcase (NISS). See the SBIR.gov website
Universal Display down 18% [May 10, 13]
Emcore down 15% [May 10, 13]
Optimer Pharma down 14% [May 10, 13]
Omeros up 14% [May 10, 13]
Sequenom up 13% [May 10, 13]
Sunpower 10% [May 10, 13]
At ATX Hackerspace, members are engineers and mechanics, artists and musicians, solving technical problems, creating businesses and nurturing hobbies.“Hackerspaces are your local community workshops for mad scientists and tinkerers,” said Matthew Vaughn. ..... provide members access to tools that can be too expensive or unwieldy for private ownership. [Kelsey Jukam, Austin American Statesman, May 11, 13]
Intercity competition. Seattle Mayor [up for re-election] Mike McGinn is turning his attention toward Seattle’s tech community, which he’s going to promote by hiring a liaison to interact with tech startups and market the city as a technology hub. .... no shortage of advocates for tech startups in Seattle, which has dozens of public and private organizations that promote, mentor, consult and fund new ventures. Seattle also consistently ranks as one of the best places in the world for tech jobs, McGinn noted . .... He still needs City Council approval for the program’s $145,000 annual cost [Brier Dudley. Seattle Times, May 9, 13]
Cleveland, a city long eager to reinvent itself, may succeed at last with health care. It is home to good hospitals, including the famous Cleveland Clinic. Local groups such as BioEnterprise are trying to foster a new generation of health entrepreneurs, with some success. Last year 43 biomedical start-ups attracted $227m in venture-capital funding. [The Economist, May 11, 13]
XOMA up 22% [May 9, 13] after the company reported top-line Phase II data for its Behcet's Uveitis treatment, Gevokizumab, that the firm views as positive. [Yahoo Finance, May 9]
ViaSat up 12% [May 9, 13]
Solazyme up 10% [May 9, 13]
POTUS signed a new executive order requiring that future data generated by the federal government be made available in open, readable formats to the public. Details to be messy and controversial by the for-profit journals that have traditionally archived research results. [SSTI, May 8]
Good Start Genetics (Cambridge, MA; no SBIR) a molecular diagnostics company said that it has closed a non-dilutive loan facility for up to $28 million ... launched in 2010, specializes in carrier screenings for genetic mutations that can cause disease. [Chirs Reidy, Boston Globe, May 8, 13]
Receptos (LaJolla, CA; no SBIR) a biotech company developing therapies for immune and metabolic disorders, said it has priced its initial public offering of 5.2 million shares at $14 apiece. ....Receptos' lead drug, RPC1063, is a small molecule for autoimmune disorders, including relapsing multiple sclerosis and inflammatory bowel disease [Bradley Fikes, utsandiego.com, May 8, 13] Lumena Pharmaceuticals (San Diego, CA; no SBIR), a startup developer of drugs for rare liver diseases, said it has raised $23 million in venture funding. .... for testing the company’s lead drug for cholestatic liver diseases in adults and children, said [CEO] Mike Gray [Bradley Fikes, utsandiego.com, May 8, 13]
Alexza Pharma up 22% [May 8, 13]
Accuray (Sunnyvale, CA; $1.2M SBIR) up 11% [May 8, 13]
Isis Pharma down 10% [May 8, 13]
Animetrics (Conway, NH; no SBIR) a developer of advanced 3-D facial recognition and identification technology, has rolled out a new facial recognition system for law enforcement agencies. .... launched ID-Ready, a subscription-based online service that takes grainy, partial view 2-D images and corrects it making it read for any facial recognition system. [Patircia Resende, Boston Business Journal, May 8, 13]
Smaller return sooner.
A new biotech business model aimed at
earning faster returns
for investors will be facing its first test in the next 12
months.
biotech Kineta (Seattle, WA; $1.2M SBIR) is taking a nontraditional approach,
essentially hoping to make a profit more quickly by licensing its drug
discoveries without investing heavily in production.
[Valerie Bauman, Puget Sound Business Journal, Apr 30, 13]
Louisiana's Senate backed off on a proposed law that would open a door to creationism in science class rather than just in religion class which is not allowed in public schools. But the creationists will certainly not stop probing for openings. Those who "truly believe" see a moral duty to force-feed those beliefs in the public space.
Pain Thera up 15% [May 7, 13]
Arena Pharma up 11% [May 7, 13]
AMRI down 14% [May 7, 13]
Isis Pharmaceuticals said it plans to sell up to 10.35 million shares of stock. ..to bring about $225 million [Bradley Fikes, utsandiego.com, May 7, 13]
Federal regulators have granted fast-track review status of several uses for an experimental antibiotic drug developed by Cubist Pharmaceuticals [Robert Weisman, Boston Globe, May 7, 13]
Etegent Technologies (Cincinnati, OH; no previous SBIR, 30 employees) is getting [$750K SBIR] from USAF to find ways to cope with a boom in data. [Joe Cogliano, Dayton Business Journal, Apr 15, 13] Innovation will be in the eye of the beholder. The company says it has commercial clients as well.
BioGreenChoice (Centerville, OH, no SBIR) an environmentally-friendly food packaging products company plans to grow its Dayton-area operations through a $2.5 million private offering. [Joe Cogliano, Dayton Business Journal, Apr 12, 13]The Massachusetts Manufacturing Extension Partnership, a statewide business organization based in Worcester, has launched an initiative to help speed up the development of manufacturing start-ups, the group announced Tuesday.It has started a so-called “virtual incubator” in which it will offer advice and counseling to entrepreneurs and the newest manufacturing start-ups that are already located in Massachusetts or interested in opening here. [Michael Farrell, Boston Globe, May 7]
Arca Biopharma (Broomfield, CO; no SBIR) biotech drug research company, will have its experimental heart drug tested in clinical trials involving health care giant Medtronic .... will test its heart drug Gencaro as a preventative treatment for atrial fibrillation in about 200 patients whose heart rhythms will be measured by implants made by Medtronic. ... raised $5 million toward the atrial fibrillation trial in 2011 and has been looking a partner to help bring it to fruition. [Greg Avery, Denver Business Journal, Apr 22, 13]
NovoSource (Dayton, OH; no SBIR, ) received [FDA] clearance for a new knee replacement system. ... intended to be a more cost-effective alternative ...founded in 2012 with $1.12 million in support from the Dayton Development Coalition, [Tristan Navara, Dayton Business Journal, Apr 30, 13]
About a year ago Endolite (Miamisburg, OH; subsidiary of UK company) launched a new microprocessor controlled foot/ankle product called the Élan. The revolutionary device allows amputees more flexibility and greater control when they walk. Since then, the 65-employee prosthetic maker saw annual sales jump 65 percent to $24 million. [Joe Cogliano, Dayton Business Journal, Apr 26, 13] Other biotech firms doing decently in Dayton area without SBIR: AtriCure, NovoSource, X-spine Systems, Midmark.
Didn't get all the SBIR you asked for? Try to sue the government for breach of promise. SolarCity lawsuit that alleges [that] some of the taxpayer-funded grants it received weren't as big as originally promised. .... a federal grant program that has paid out about $4.1 billion to solar projects since the 2009 economic-stimulus law created it. .... The government is looking into whether SolarCity and other firms misrepresented the fair-market value of solar systems in order to boost the value of the grants they received. In its suit, SolarCity says two of the company's subsidiaries received smaller-than-expected grants. The company doesn't say exactly how much funding it applied for originally, but it says the final grants issued by the Treasury Department were $8 million less than was proper under the law. [Cassandra Sweet and Ryan Tracy, Wall Street Journal, May 7] Sounds like an old story: grantee or contractor asks for and receives funding for a project with boilerplate terms that allow the govetrnment to stop funding, although usually with a damage clause for a unilateral government decision not based on failure by the grantee. Taking government funding with a prospect of future continuation has always been an uncertain proposition.
Immersion up 13% [May 3, 13]
Sangamo Biotech down 10% [May 3, 13]Thoratech (Pleasanton, CA; two SBIRs 25 years time ago) down 10% [May 3, 13]
Natera (San Carlos, CA; $4M SBIR as Gene Security Network) announced that it has completed a $54.6 million financing round to support the expansion and continued global rollout of Natera’s non-invasive prenatal test, Panorama™ .... raised $20 million in funding in January 2012 [Business Wire press release, May 1, 13]Inx Medical (Grover, MO; no SBIR), a medical device startup, raised $700K capital, and today submitted its [FDA] application for a new device used to aid in the surgical removal of hemorrhoids. [Amir Kurtovic, St Louis Business Journal, May 3, 13]
Titan Pharmaceuticals (South San Francisco, CA; $500K SBIR) plunged the most in 17 years [of public listing] after the company failed to win U.S. regulatory approval for an implant to treat addiction to heroin and prescription painkillers. [Anna Edney, Bloomberg, May 1, 13]
Celator Pharmaceuticals (Princeton, NJ; no SBIR) raised $32.5 million in the final closing of a private placement of common stock ... for late state testing of Celator’s lead new drug candidate, CPX-351 Liposome Injection, an experimental therapy for patients with secondary acute myeloid leukemia. [John George, Philadelphia Business Journal, May 1, 13]
NxThera (Maple Grove, MN; no SBIR) developing technology to treat enlarged prostates, raised $3.5 million, according to a regulatory filing. [Katherine Grayson, Minneapolis / St Paul Business Journal, May 1, 13]
FBI agents who raided the home of a former suspect [since released and another suspect arrested] in the ricin-laced letter case brought along a mini throwable robot [with cameras] made by ReconRobotics (Edina, MN; no SBIR) ... Benjamin Wittes, a senior fellow at the Brookings Institution, identified the robot — seen resting on an agent’s knee in a photo [Katherine Grayson, Minneapolis / St Paul Business Journal, Apr 24, 13]
Med-tech firm BioMedix (St Paul, MN; no SBIR, founded 1997) has cut its staff by 90 percent over the past year and sold off a software division in an effort to stay afloat. [Mark Reilly, Minneapolis / St Paul Business Journal, Apr 22, 13] a leader in Health Information Technology designed to optimize practice and disease management while growing and supporting collaborative care networks ... Named One of the 100 Best Companies to Work For in 2012 [company website]
BioAmber (Plymouth,MN; no SBIR) that uses renewable bio-materials to create chemicals, has set terms for its IPO to raise $129M on the NYSE.[Katherine Grayson, Minneapolis / St Paul Business Journal, Apr 15, 13]
Brewer Science, (Rolla, MO; $6M SBIR from 1983 (first year of SBIR) to 2008) that produces advanced materials used in electronics, is set to break ground today on a new 25,000-square-foot manufacturing facility in Rolla. ... could be eligible for up to $1.1 million in incentives under the Quality Jobs program, which gives companies tax breaks for creating new high-paying jobs with benefits. [St Louis Business Journal, Apr 30, 13]
SADAR 3D, (St. Louis, MO; no SBIR) startup developing “X-Ray vision” technology, raised $250,000 in debt financing according to [SEC] documents .... proprietary transparent imaging technology that can “see through” surfaces and identify utility lines and other infrastructure through a combination of 3D modeling and geospatial location data, according to its website. [Amir Kurtovic, St Louis Business Journal, Apr 16, 13]
NIAID (NIH) awarded a $3.5 million grant to Inovio Pharmaceuticals (Blue Bell, PA; no SBIR, 53 employees, listed NYSE) ... to advance the development of its next generation DNA vaccine delivery device, which is capable of simultaneously administering multiple synthetic vaccines via skin surface electroporation. [John George, Philadelphia Business Journal, Apr 10, 13]
Proteus Digital Health (Redwood City, CA; no SBIR) pioneering the use of ingested sensors in health care, has raised a $62.5 million Series F round of capital ... The total Proteus has raised since 2003 is now more than $150 million, the company said. [Patrick Hoge, San Francisco Business Times, May 2, 13]
Solar module maker LDK Solar (China), which lost half a billion dollars in the fourth quarter, made a deal to issue 25 million new shares of its stock and sell them to Fulai Investments Ltd., raising $25.75 million. [Stephen EF Brown, San Francisco Business Times, Apr 22, 13] Suntech (China) also lost big, market cap of $13B in 2011 falling to $100K over two years [Steve Mufson, Washington Post, May 3, 13] China and the US competed to subsidize home companies, and created a world-wide over-capacity in a market with shrinking pricing. The result has been the production of cheaper renewable energy at the expense of taxes to pay for the bankrupt companies' debt. But the homne cooking governments will not be annmouncing with fanfare the failure of their "investments" in political opportunism.
the Missouri Innovation, Development and Entrepreneurship Advancement (IDEA) program, makes equity investments into Missouri startups. ... established with federal funding that was part of Small Business Jobs Act of 2010. ... had $21 million of funding and is now down to $3.4 million .... [vested interests] in the state pushing for $15 million in annual funding. [Amir Kurtovic, St Louis Business Journal, Apr 19, 13] Of 33 companies on the benficiary list, only one company had SBIR - Vasculox (St Louis, MO; $400K SBIR). SBA hyped the federal law as the most significant piece of small business legislation in over a decade. ... providing critical resources to help small businesses continue to drive economic recovery and create jobs with provision for $21B in SBA lending. In practice, the amounts and the loan structure are insufficient for technical validation of new technology with high economic potential it it works as envisaged. Instead, the money seems earmarked to kiss huge numbers of SBs and pretend to do something of notable value. Naturally, the Iron Triangle - law makers, administrators, and beneficiaries - will all see something of quite notable value, while Tea Party libertarians complain about government intrusion and growing debt creation.
Fluidigm up 12% [May 2, 13]
Baker, Bloom, and Davis have constructed an Index of Economic Policy Uncertainty. ... used a macro-econometric model to estimate that net of other factors, the rise in policy uncertainty since 2007 has reduced employment by more than 2 million jobs below the level it would otherwise have reached [William Galston, The New Republic, May 2] Uncertainty, exploited for fear, in policy is good for generating political activity but bad for investment.
Three months after bankrupt battery maker A123 Systems was cleared for sale to a Chinese firm, the Waltham-based company has announced a plan to use its remaining assets to help foster a new generation of energy-storage startups. Now a wholly owned subsidiary of Wanxiang America Corporation — the U.S. arm of Chinese auto parts maker Wanxiang — A123 said it has launched a new technology incubation division, dubbed A123 Venture Technologies. [Kyle Alspach, Boston Business Journal, May 1, 13]
Progenics Pharma down 14% [May 1, 13]
Virent (Madison, WI' two SBIRs) shipped 100 gallons of its renewable formula jet fuel to the U.S. Air Force Research Laboratory for testing from a new demonstration plant it has opened in Madison. ... under a $1.5 million federal grant from [FAA and DOT]. [Thomas Content, Milwaukee Journal Sentinel, May 1, 13]
The October 2012 issue of Nature Biotechnology offers several articles that “Focus on Commercializing Biomedical Innovations.” From the opening “Editorial”: “Investment in biomedical innovation is not what it once was. Millions of dollars have flfl ed the life sciences risk capital pool. . . . Never has there been a more pressing need to look beyond the existing pools of funding and talent to galvanize biomedical innovation.” [The Fernandez, Stein, and Lo paper , Journal of Economic Perspectives, Winter 2012] Of course, the biotechies have a solution - more government money.
The McKinsey Global Institute has published, Manufacturing the Future: The Next Era of Global Growth and Innovation November 2012. The sector contributes twice as much to productivity growth as its employment share, and it typically accounts for the largest share of an economy’s foreign trade; across major advanced and developing economies, manufacturing generates 70 percent of exports.” . [Journal of Economic Perspectives, Winter 2012]
Watering the dead plants. Corporate welfare for speculative business ventures is a dismal way to go about reviving the economic fortunes of [Arkansas]'s rural areas, however. But Arkansas legislature passed a law that will take $125 million from state taxpayers to subsidize the flagging steel industry. .. an industry with a world over-capacity ... It also is no time for state politicians to pose as venture capitalists when they could more productively be making the business environment hospitable for every industry. Arkansas ranks near the bottom in the nation—at 40th—for its lack of regulatory freedoms [Carrie Sheffield, Wall Street Journal, May 2] Politicians love the publicity stage of subsidy programs for favored constituents, including SBIR, and will invent whatever excuse necessary to continue them.
Austerity as default. Keynes’s anti-austerity ideas had their day of course—and a very successful day it was, lasting from the mid-’30s to the mid-’70s. But austerity ideas never went away because, as outlined above, they are rooted in an entire philosophy about the state and public debt that is not subject to disproof, especially among the conservative forces and big economic interests who embrace it. As a result, when Keynesian economics appeared to falter in the 1970s, austerity-based economics came roaring back and dominated economic thinking for decades. [Ruy Teixera, The New Republic, May 1] The present debate among taxes, growth, debt, default, unemployment makes for great theater with dozens of think factories cranking out demanded theories that favor the establishments paying for the thinking.And there are enough data to feed all theories simultaneously.
Pain Therapeutics (2 SBIRs) up 26% [Apr 30, 13] following Pfizer's conference call and what Gabelli's Kevin Kedra told Dow Jones are "positive" comments about Remoxy, a long-acting oxycodone capsule the pair have been developing. [Wall Street Journal, Apr 30]
According to [Economist Richard] Nelson, we are much surer today than we were in 1962 that technological advance is a fundamental source of long run productivity growth, and that the causes that give rise to technological advance are not purely serendipitous or random. [David Grover, JEL, Mar 2013]
TV commercials for Cree’s breakthrough $10 LED light bulbs – a price that is half that of some competitors’ LED bulbs – debuted April 20 during broadcasts of the NBA playoffs on ABC and ESPN. The bulbs are sold exclusively at Home Depot stores. [David Ranii, Raleigh News & Observer, Apr 29, 13]
Shapeways (NYC, NY; no SBIR). is aiming to transform manufacturing so anyone online can build a product from anywhere in the world. The company, which recently raised $30 million in funding, helps people design three-dimensional artworks or commercial products, and have them fabricated, shipped and sold online via its website. ... to set up new factory locations in the U.S. and Europe, its CEO said [Lora Kolodny, Venture Wire, Apr 29, 13]
Plans evolve. A reorganization of a division of Swiss pharmaceutical giant Roche has hit home in Branford [CT] with the layoffs of 60 people at the company's 454 Life Sciences subsidiary..... part of an elimination of the Roche's Applied Science Division in order to enhance the company's overall "responsiveness to scientific and market needs." .... 454 Life Sciences was established as part of fellow biotech Curagen (Branford, CT; $1.2M SBIR) in 2000. It was acquired by Roche in 2007 and a year later was in an expansion mode, hiring workers in Branford [Luther Turmelle, Hartford Courant, Apr 29]
San Diego-based investment firm Kapyon Ventures has raised $5.8 million for two of its agricultural biotechnology companies. The companies are developing microbial and plant technologies under the lean "virtual biotech" model that has become popular in the industry. Algenetix (no SBIR) , a company that's developing biofuels and other products from microbes, has raised $2 million. Investors include Two Oceans, a Sydney, Australia-based investment firm. ZeaKal (no SBIR) a developer of technologies to increase yields from soybeans and rice, has raised $3.8 million [Bradley Fikes, utsandiego.com, Apr 29, 13]
[post-merger internal reshuffling is] bad news for Life Technologies’ autonomous Ion Torrent Systems unit, the No. 2 player in the high-speed DNA sequencing industry. And bad news for Ion Torrent is good news for Illumina the unrivaled No. 1 in this fast-emerging and important market. [Luke Timmerman, xconomy.com, Apr 29, 13]
Businessman and philanthropist Len Blavatnik has donated $50 million to Harvard University to help spur the creation of new, innovative drugs. Harvard will form two related initiatives, hoping to turn university research into viable business projects that don’t stall because they run out of money. The first initiative is the Blavatnik Biomedical Accelerator, which will single out promising early stage technologies, help boost their value, and ultimately prepare them to be licensed or developed commercially by players in the life sciences industry. The second initiative is the Blavatnik Fellowship in Life Sciences Program at Harvard Business School, which will expose MBA students with life science experience to the projects supported by the Biomedical Accelerator..... Blavatnik, who earned an MBA from Harvard in 1989, is the founder and chairman of industrial conglomerate Access Industries. His foundation partly paid for Harvard’s original Biomedical Accelerator Fund, which has financed 37 projects since its debut in 2007. Half of those projects have turned into standalone companies or alliances with pharmaceutical partners. [Ben Fidler, xconomy.com, Apr 29] The project's biggest challenge will be getting tenured faculty and the university patent department to act like market-driven innovators instead of inventors.
Not your grandfather's marketplace.
From 1950 to today,US international trade has expanded from 9% to 31%
of GDP [data from Bureau of Economic Analysis offered by Mark
Wynne, Federal Reserve of Dallas, www.dallasfed.org] A T-shirt
starts as cotton in Texas, gets woven in Shanghai, shipped to and sold
in New York, winds up in a Washington Goodwill shop, and is shipped to
used-clothing store in Tanzania where it eventually dies. [NPR report
brandished by Janet Koech, Dallas Fed annual report]
A provocative new book* by Usha and George Haley, of West Virginia University and the University of New Haven respectively, points to another reason for [the coutnry's] industrial dominance: subsidies. ... Worse yet, the bosses of [the busineses] are not in business principally to make a profit: they are often encouraged by the government to pursue other goals, such as resource acquisition, foreign policies and technology transfer, regardless of cost. .... The unhappiest consequence of [the country's]subsidy policy may be that it has created beasts too powerful to rein in. [The Economist, Apr 27] What businesses in what country, do you think? Not an easy question since governments the world around seek competitive advantage for home cooking. Evne little subsidy programs like SBIR, which are more directed to internal constituent advantage, throw in international competuition in the justification. Free markets as idelized by political conservatives exist almost nowhere, even in America the conservatives angle and get substantial subsidies through tax breaks and market distortions like marketing orders. SBIR has contunied for three decades with no showing of any economic gain that wouldn't have occured anyway. Usha and Haley got the universal picture with their analysis of China's state-owned enterprises.
Can't keep spenders down. consumers spent 3.2 percent more on an annual basis in the January-March quarter than in the previous quarter — the biggest jump in two years. ... Consumers have shed debt. Gasoline has gotten cheaper. Rising home values and record stock prices have restored household wealth to its pre-recession high. And employers are steadily adding jobs, which means more people have money to spend.. [Christopher Rugaber, AP, Apr 29] Before austerity even got biting in the US, Europeans are rebelling against it. Good life now, payments in the future by people who don't yet vote. With no threat from an economic god, laissez les bon temps rouler. Don't worry, the politicians will not stand in the way of a consumer bandwagon.
techno-utopias that, at least since the middle of the 19th century, have periodically captured the collective imagination of the general public in the West -- and today litter bookstores with their rah-rah optimism. Too bad few remember Cicero's tart observation that he did not understand why, when two soothsayers met in the street, both did not burst out laughing. But if the history of utopian fantasies has taught us anything, it is that people find it hard to accept the fact of their unreality, preferring instead to hew to their hopes, whether profound, as with Marxism, or preposterous (and commercially self-interested), as with the vision of the carefully ordered futuristic cities famously laid out for a receptive public at the General Motors pavilion at the 1939 New York World's Fair -- just as Adolf Hitler was about to blitzkrieg Poland. [David Rieff, Foreign Policy, May 2013]
DOD is on the SBIR street again with a pre-solicitation in which you get to quiz the topic writers. Propoals by June 26. You can ask whatever you want and they will answer the reasonable questions that give you no advanatge over your many competitors. Remember that they do not see themselves as investing in you, only buying your knowledge for their pruposes, after which they own the technology for any government use.
Keeping the trains on time. The one and only time that Phase II proposals based on the 13.2 Phase I awards may be submitted by Phase I awardees from the 13.2 is during this 13.2 Phase II solicitation window. Advantage goes to well organized companies thoroughly familiar with government procedures. Disadvantage to new companies with new and exciting ideas and no government experience. Which agency, that sees itself as on the bleeding edge of military technology for a nearly impossible task of hitting a bullet with a bullet a thousand miles away, would have such a rigid policy? The one that wants to trains to run on time. Missile Defense Agency. Do you feel that the MDA is giving itself the best shot at capturing new technology breakthroughs with their SBIR program?
Rethink Robotics’ Baxter robot now has a new friend. ... has launched the Baxter Research Robot, a humanoid robot with two seven-axis arms, a 360-degree sonar and front camera for sensing applications, sensors and direct programming access. [Patricia Boston Journal, Apr 26, 13]
Dyax down 35% [Apr 26, 13]
33% of American employees have science or technology positions .. but only 16% of American graduates have beckgrounds in science and engineering. [whereas competing industrial societies have roughly double that fraction] [Darrell West, Invention and the Mobile Economy, Brookings, Mar 5]
universities focus too much on outputs as opposed to outcomes. Those indicators represent proxy measures of getting material to the market as opposed to whether particular research ideas actually are having an impact and being successful in the marketplace. If a patent is awarded, a license issued, or a startup business established, it does not guarantee that the product is used or generates revenue. In judging performance, most current university reporting approaches are inadequate for determining the efficiency and optimum use of research investments. There is no way through tabulations of patents and startups to measure money in versus money out on university research investments. [Darrell West, Invention and the Mobile Economy, Brookings, Mar 5] Patents are used as indicators because they are easy to measure, like Phase I success rates for SBIR projects.
An interesting statistic on patents provided by Prof Adam Mossoff, George Mason U: the litigation rates on patents today is about what it was in 1800 - 1.5%.
“There are no mistakes, only opportunities.” Although this is one of Tina Fey’s rules for improvisation, it can also apply to science. There are many inventions that we take for granted today that were born from “happy accidents.” [Susan Borowski, AAAS, Apr 26] Politicians who want proven relevance and guarantees of "success" (whatever they mean as success) don't want research, they just want confirmation of their constituents' beliefs. Science by its nature, though, will frequently unconfirm their beliefs as the truth of how nature works is revealed by science in action. Advocates for science cannot issue any guraantee except a growing knowledge of nature, but can point to the long history of advances coming from science over the centuries from Euclid and Pythagoras through penicilin to stem cells to who knows where.
Gov. Rick Perry’s $1.6 billion tax cut proposal for businesses had a shelf life of about three days. ... the House tax-writing committee [deleted it] because, at $1.6 billion, it would cost too much. [Austin American Statesman, Apr 29] Must be getting ready for the next Republican Presidential primary campaign.AMRI up 12% [Apr 25, 13]
Infinera up 23% [Apr 25, 13]
Alexion Pharma up 11% [Apr 25, 13]
TriQuint up 10% [Apr 25, 13]
Anacor Pharma down 12% [Apr 25, 13]
Radius Health (Cambridge, MA; no SBIR) biopharmaceutical company focused on developing new therapeutics for the treatment of osteoporosis and other women’s health conditions, said that it has completed a new equity financing of $43 million. [Boston Globe, Apr 25, 13]
news and views about government programs, politics, attitudes, ...1996-1997; 1998; 1999; Y2K; 2001 , 2002-2003 ; 2004-5; 2006; 2007 2008-2010 ; 2011-2013
BMDO/ MDA including sbir the doings of star wars
Miscellaneous Stories 1996-1997; 1998-1999; 2000-2001; 2002-2003 ; 2004-5 ; 2006; 2007 2008-2010 ; 2011-2013
IPO and Venture Markets 1996-1999 .... 1999-2005 ... 2006-present
Quotes steal them if you like
Note: inthese oldstories, many links are dead, obsolete, or missing
Stories about companies; 1-A .. B-C .. D-E .. F .. G-H .. I-J .. K-L .. M ... N-O ... P ... Q-R .. S .. T-U .... V-Z
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