1. 1st International Nanomanufacturing Symposium.
Cambridge, MA April 26, 2003
Session V: Entrepreneurship
How do you translate a nanomanufacturing
capability into a business opportunity?
Lori Pressman
Independent Business Consultant

2. What’s Nanotechnology? Very small pieces of
Au, TiO2, Barium Hexa-aluminate (BHA)
Behave differently from larger pieces of Au, TiO2, BHA.
Why? What can you do with this fact?
Nanotechnology definition (
Research and technology development at the atomic,
molecular or macromolecular levels, in the length scale of
approximately nanometer range, to provide a
fundamental understanding of phenomena and materials
at the nanoscale and to create and use structures, devices
and systems that have novel properties and functions
because of their small and/or intermediate size.
Make New Materials
You can also make machines
which make or measure
nanosized structures.

3. Is there a business opportunity in knowing how
to manufacture and measure these
new materials and structures?
Is there a start-up business opportunity in knowing how
to manufacture and measure these
new materials and structures?

4. Cabot knows how to make it. Degussa knows how to make it.
Carbon Black:
Cabot knows how to make it.
Degussa knows how to make it.
But it is a low margin commodity
<10% margin
profits fluctuate with the cost of raw materials
Is a better way to make carbon black a business
opportunity?
Probably, but not for a venture funded start-up.
(Cabot and Degussa have the complementary
assets, such as customer base, product support, etc…)

5. Multiwalled carbon nanotubes:
Hyperion Catalysis knows how to make them.
Is a new and different manufacturing technique for
MW Carbon nanotubes a (start-up) business
opportunity now?
SW?
Exclusively semiconducting, exclusively metallic?

6. A Device Made with Nanotubes:
Nantero’s Nonvolatile Random Access Memory
They do have manufacturing technology, but the value
proposition focused on the “nanotube enabled” product,
not on the nanomanufacturing technology alone.
Was this new and different manufacturing technique
for NRAM a start-up business opportunity?
Yes.

7. Suggested generalization for Venture Investors:
Need to find a company which has identified a product which could not be made if not for the nanomanufacturing capability.
Determine if there is a market for the product, and if it can be sold at a profit.
Possible that a BIG cost advantage alone would
open up new markets for existing products…

8. Hyperion Catalysis International
Private, in business since 1982 (must be making some $!)
Applications for their nanotubes in
Electronics and Automotive Industries.
Load plastic and coatings with Nanotubes
to make them more electrically conducting without
altering other properties, such as surface finish.
A material which
adds value to other products

9. Nantero’s nanoenabled product is a nanoelectromechanical switch.
Carbon Nanotube-Based Nonvolatile Random Access Memory for Molecular Computing 
Thomas Rueckes, Kyoungha Kim, Ernesto Joselevich, Greg Y. Tseng, Chin-Li Cheung, and Charles M. Lieber Science 2000 July 7; 289: 94-97

10. ….Nano-Tex, LLC: Novel, Patented Chemistry
Nano-Care™ Chinos from Eddie Bauer, could not have been made if not for…
….Nano-Tex, LLC: Novel, Patented Chemistry

11. Suggested Generalization on nanoenabled product business execution:
Think “Biotech”:
A material, manufacturing and technology platform which:
adds value to other products
Hyperion, Nano-Tex
2) Creates new products and
strategic partnership opportunities
Nano-tex, Nantero, Nanosys

12. Takes a page from biotech and signs
Marks Work Wearhouse • GAP VF/The Lee Company Eddie Bauer
Nano-tex:
Takes a page from biotech and signs
15 + license agreements with individual mills
For families of fabric treatments
Savane • Kathmandu Croft & Barrow • Levi Dockers Elbeco • Haggar
Savane • Bremen Trousers
Levi Dockers

13. Nanosys, Inc.
Takes a page from biotech and signs a strategic partnership agreement with Matsushita:
Nanosys and Matsushita Electric Works to Develop Nanotechnology Based Solar Cells for the Asian Building Materials Market
Hybrid Nanorod-Polymer Solar Cells 
Wendy U. Huynh, Janke J. Dittmer, and
A. Paul Alivisatos
 Science 2002 March 29; 295:

14. Lessons learned: Entrepreneurs:
Think Product (not just manufacturing capability)
Find strategic partners who need your capabilities.
Think “biotech” license when filing IP.
Have a platform, and move up the value chain.
Lessons learned: Investors:
Find companies which have done their marketing
homework by talking with customers

15. Are cordially invited to explore nanotechnology
Big ElectroCo
Big AutomoCo
Big TechCo
Big ChemCo
Are cordially invited to explore nanotechnology
Start-up and product synergies.

16. Is nanobusiness entrepreneurship different from other
entrepreneurship, and why?
You have to manufacture a product, -typically a product
which is rather challenging to manufacture.
(It’s not software).
It’s important not to lose sight of the product.