Venture capital takes center stage at World Congress on Industrial Biotechnology
Last week I took part in the World Congress on Industrial Biotechnology and Bioprocessing, a powerhouse event in Orlando, Florida, that brought together industry leaders, venture capitalists, and academics for an intensive discussion of current and future trends in industrial biotech.
Biofuels were of course the hot topic, and experts were enthusiastic about future developments in that area. Vinod Khosla of Khosla Ventures speculated that cellulosic biofuel could be cost-competitive with corn by 2009. Dr. Jens Riese of McKinsey & Co., who shared the podium with Khosla during a plenary lunch, said he expects we won’t see that until about 2012, depending on the cost and availability of feedstocks. Reise also observed that it’s farmland economics and fuel security that are the big biofuel drivers in US, whereas in Europe it’s the environment.
Among the many insights into biotech venture spending was Andrey Zarur of Kodiak Venture Partners, spelling out exactly what venture capitalists are currently looking for in biotech:
Small-scale wind power
Point production of energy (distribution costs of centralized energy are too high)
Energy storage
Insulation
Auxiliary systems that integrate any of these