People

In this month’s interview, Nanotech Briefs talks with Christopher C. Foster, deputy secretary of the Maryland Department of Business & Economic Development. Mr. Foster is responsible for the day-to-day operations of the state’s commerce department with a budget in excess of $100 million. He also serves as the state’s chief technology officer, and manages the Early Seed Stage Venture Fund.

Nanotech Briefs: Why is the study of nanotechnology important?

Foster: Nanotechnology is such a broad area of science that will have so many social, ethical, moral, and scientific issues, which is similar to the reasons that the bio and life sciences were and are so important. Nanotech clearly has the ability to blur the lines between science and nature, between human and artificial, and between imagination and reality. A lot of fluff, yes, but it provides the ability to create new molecules, and basically new atoms, and crosses over into issues that have long been debated on purely academic grounds. Now it’s reality, which makes it pretty important.

NB: How long until the full commercialization of nanotechnology?

Foster: Certainly, there are already many nanotechnologies in commercial use, mostly in apparel and consumer goods. Of course, some might say that nanotechnology has been around for decades – we just called it chemistry. The bottom line is that federal research through NIH, DoD, and DoE will most likely fund the truly earth-shattering work. The same reasons apply to nano that applied to bio and life sciences. These are areas of critical importance to the nation’s economy and national security; the federal government basically has no choice but to lead the way in nanotechnology. That is why the National Nanotechnology Initiative (NNI) has to happen. Biosensors, virtually impenetrable nano-armor, self-adaptive nanopaints that work like a chameleon, and many other DoD applications will continue to drive this. Renewable energy through fuel cells that do not require high heat via fossil fuels will drive this. The cures to myriad diseases will drive this.

Commercialization and licensing will occur as rapidly as these sciences become technology. One thing that most all of our federal labs and our universities have clearly learned is the importance of translational research in addition to basic research. As the federal government moves to fund more translational research, this very well may accelerate commercialization. I think you will see a tremendous amount of nanomaterials on the market within 5-6 years.

NB: What nanotech companies are located in Maryland?

Foster: One of the best examples is Reactive Nano. This is a company that has its roots at both Lawrence Livermore National Lab and Johns Hopkins, as its founder was a research scientist and professor at each institution, respectively. The State of Maryland was an early seed investor and the company has successfully commercialized (tech transfer) a nano technology – basically material science, but a great example of how the system should work.

This one was really appealing to the state as an investment because of the broad applicability of the concept. The Reactive nanotechnology has applications across many industries – a great scalable business model.

NB: Can you comment on why critics stress caution in relation to nanotechnology as an investment?

Foster: Some critics refer to nanotechnology as the next “bubble,” when in fact it has been around for a very long time, and the cycle time of product development is going to be much longer than most of the dot.com companies. A typical dot.com business plan on the back of a napkin for a great product developed by six guys with a case of Diet Coke, a 12-pack of Snickers bars, and a dog just doesn’t apply to molecular science. The product cycle time is going to be much longer, and quite a bit of the technology is going to be the application of breakthrough science. Fundamentally, this isn’t apples and oranges; it’s apples and coconuts.
However, I would caution people on what I just said. Investors need to research the fundamental science. I think IP protection is going to be extremely important and extremely tough. Also, I think you will see investors that are similar to the bio industry – patient capital.

NB: What else needs to be accomplished to further the goals of nanotechnology?

Foster: Bottom line, I think that we need to do a much better job of engaging serial entrepreneurs from other industry segments into the nano world – proven entrepreneurs with experience everywhere from the retail industry to biotech. To me, the people are going to be much more important than the science. Some real visionaries are going to see some of the emerging technology and dream of applications to the commercial world that the researchers would never have thought of. It isn’t so much the technology as it is the great leader behind it.

Christopher C. Foster can be contacted at cfoster@choosemaryland.org.