Due to some unforeseen personal issues, I have to end my tenure as editor of Xconomy Detroit far sooner than I would like. But in my relatively short time here, I’ve discovered no shortage of interesting and compelling stories in Michigan. Here are my top six takeaways from my six months in the Wolverine State. … Continue reading “My Farewell Present: Six Observations About Michigan’s Innovation Economy”
Author: Thomas Lee
Thomas Lee came to Xconomy from Internet news startup MedCityNews.com, where he launched its Minnesota Bureau. He previously spent six years as a business reporter with the Star Tribune in Minneapolis. Lee has also written for the St. Louis Post-Dispatch, Seattle Times, and China Daily USA. He has been recognized several times for his work, including the National Press Foundation Fellowship on Alzheimer's disease, the East West Center's Jefferson Fellowship, and the MIT Knight Center Kavli Science Journalism Fellowship on Nanotechnology. Lee is also a former Minnesota chapter president for the Asian American Journalists Association and a former board member with Mu Performing Arts in Minneapolis.
Facing An Early Death, Michigan’s Angel Credit Program Finds Few Takers So Far
If Michigan’s angel investor tax credit died an early death and no one was around to notice, did the program ever exist? Come December 31, we’ll find out. The would-be three-year, $27 million program designed to stimulate early stage funding of startups, will end at the end of this year, the victim of Gov. Rick … Continue reading “Facing An Early Death, Michigan’s Angel Credit Program Finds Few Takers So Far”
Michigan Informatics Startup Intervention Insights Raises $7M+ Series B Round
Intervention Insights of Grand Rapids, MI has raised $7.2 million in venture capital to help commercialize software that helps doctors identify the proper drugs to treat a patient’s specific cancer. Beringea, the private equity/venture capital firm based in Farmington Hills, and Chrysalis Ventures in Louisville, KY, led the startup’s Series B round, which also includes … Continue reading “Michigan Informatics Startup Intervention Insights Raises $7M+ Series B Round”
Energy Secretary Chu Promotes New Detroit-based R&D Partnership With Military
Nothing like a semi-serious Steven Chu joke to start your morning. Speaking at an energy conference in Detroit today, the U.S. Energy Secretary and Nobel Prize winner recalled as a boy in the 1950s the Soviet Union launching Sputnik into space. “It was very disconcerting. The German rocket scientists living in the Soviet Union were … Continue reading “Energy Secretary Chu Promotes New Detroit-based R&D Partnership With Military”
Institutes Of Medicine Pain Report May Aid Medical Device Makers
When the Institute of Medicine (IOM) released its report on chronic pain late last month, medical device makers cheered. “A landmark report,” a Boston Scientific press release gushed. “Chronic pain is a major public health issue, and we applaud Congress [and] the IOM…for their thoughtful recommendations,” Medtronic senior vice president Tom Tefft said in a … Continue reading “Institutes Of Medicine Pain Report May Aid Medical Device Makers”
Will Detroit Get Shut Out Of China’s Electric Vehicle Market?
China has been a Godsend to Detroit. Even as Ford Motor, General Motors, and Chrysler have stumbled in recent years, the country has provided a nice boost to sales of American cars equipped with traditional internal combustible engines. But when it comes to electric vehicles…well, China has its own plans. The country is spending billions … Continue reading “Will Detroit Get Shut Out Of China’s Electric Vehicle Market?”
Medtronic to buy Salient for $500M+
Medical device giant Medtronic said it will acquire Salient Surgical Technologies in Portsmouth, NH for $525 million. Established in 1999 and formerly known as Tissuelink Medical, Salient makes devices that stop bleeding and seal wounds by allowing surgeons to apply focused radio-frequency energy and saline solution to collagen fibers in the body. Given Medtronic’s previous … Continue reading “Medtronic to buy Salient for $500M+”
3D Biomatrix Hopes To Break Into Drug Discovery Market With 3D Testing Devices
High-octane action movies and sci-fi thrillers are not the only images best viewed in 3D. Just ask Laura Schrader, a onetime medical device consultant who recently joined 3D Biomatrix as its new CEO. The Ann Arbor, MI-based startup, which spun off last year from the University of Michigan, is developing ways for drug researchers to … Continue reading “3D Biomatrix Hopes To Break Into Drug Discovery Market With 3D Testing Devices”
The Answer Was Floating In The Wind; Danotek Finds Its Calling In Wind Power
During my brief time here in Michigan, I’ve heard a familiar prediction: The state is poised to become a cleantech powerhouse because of its expertise in manufacturing and automobile engineering. So far, that’s mostly been talk. Danotek Motion Technologies, however, is walking the walk. The Canton, MI-based startup has unique technology and Silicon Valley investors, … Continue reading “The Answer Was Floating In The Wind; Danotek Finds Its Calling In Wind Power”
NextCAT Continues To Push Forward With The Help of Uncle Sam
The biofuels industry is still a difficult business to crack, but fortunately for startups like Detroit-based NextCAT, the government continues to believe in the technology. NextCAT Founder Charles Salley tells Xconomy that the company will likely win a $500,000 National Science Foundation (NSF) grant this month. The Wayne State University spinout, based at the TechTown … Continue reading “NextCAT Continues To Push Forward With The Help of Uncle Sam”
Mobile Apps Are Not Just for Smart Phones; Ford Courts App Developers
A few weeks ago, I wrote about how cars have become enormous smart phones on wheels. At the time, though, I didn’t know just how much Ford Motor agreed with me. I certainly do now. The company (NYSE: [[ticker:F]]), based in Dearborn, MI, is aggressively recruiting software developers to write mobile apps specifically for its … Continue reading “Mobile Apps Are Not Just for Smart Phones; Ford Courts App Developers”
Something New, Something Used, Something Sterile: Stryker Embraces Recycled Medical Devices
Stryker has not been shy about shopping for acquisitions of late. Last year, the Kalamazoo, MI-based company bought Boston Scientific’s neurovascular unit for a cool $1.5 billion, its most high profile (and expensive) deal in recent memory. But I’d argue Stryker’s most significant purchase of late occurred in 2009 when the medical device maker bought … Continue reading “Something New, Something Used, Something Sterile: Stryker Embraces Recycled Medical Devices”
Lost In Translation: Ford Teams With Nuance Communications To Master Human Language
“Call John Smith.” “I wanna call John Smith.” At first glance, these sentences look pretty similar. But try telling that to the voice recognition technology behind Ford Motor’s SYNC system. You might as well be speaking Greek. Voices recognition software has come a long way in recent years. Google’s Android platform, for example, allows users … Continue reading “Lost In Translation: Ford Teams With Nuance Communications To Master Human Language”
Wind Turbine Supplier Danotek Closes In on $20M Series B Financing
Danotek Motion Technologies is finalizing a deal to secure $20 million in new financing, company officials told Xconomy. The startup, based in Canton Township, MI, will use the money to scale up production of its permanent magnet generators for wind turbines. The company’s existing investors, which include Khosla Ventures, CMEA Capital, GE Energy Financial Services, … Continue reading “Wind Turbine Supplier Danotek Closes In on $20M Series B Financing”
Link Between Cardiovascular And Metabolic Diseases? That’s What Esperion Therapeutics Founder Has Been Trying To Tell You
Last month, I wrote about Roger Newton, the former Pfizer executive who co-discovered the blockbuster cholesterol-lowering drug atorvastatin (Lipitor). Newton, now the CEO at a reborn version of his original company, Esperion Therapeutics in Plymouth, MI, said in the interview he thought doctors overprescribe statins like Lipitor to treat heart disease at the expense of … Continue reading “Link Between Cardiovascular And Metabolic Diseases? That’s What Esperion Therapeutics Founder Has Been Trying To Tell You”
Who’s That (Virtual) Girl? Ford Uses Motion Capture Technology to Design Worker-Friendly Factories
Play too many video games and you might get repetitive strain injuries (RSI). But Ford Motor is adopting video game technology so its workers don’t get RSI. The company, based in Dearborn, MI, is using Hollywood-style motion capture technology (the kind that makes Green Bay Packers quarterback Aaron Rodgers so lifelike on Madden 2011) to … Continue reading “Who’s That (Virtual) Girl? Ford Uses Motion Capture Technology to Design Worker-Friendly Factories”
InPore Switches Gears; Michigan State University Startup Now Targets Flame Retardants Instead of Wind Turbines
Plan B it is. When Xconomy first profiled InPore Technologies last year, the Michigan State University spinout was trying to woo wind turbine makers with a new nanomaterial they could use to build light-weight, scratch resistant blades. But faced with deteriorating turbine sales, the company, based in East Lansing, MI, has reversed course and is … Continue reading “InPore Switches Gears; Michigan State University Startup Now Targets Flame Retardants Instead of Wind Turbines”
TechShop Detroit Facility (Finally) Will Debut In October
It took longer than expected but TechShop will finally open…uh, shop in Detroit this fall. The Menlo Park, CA-based company, a self-described “membership-based, do-it-yourself workshop and fabrication studio” will open a 12,000 square foot facility at Ford Motor facility in 800 Republic, Allen Park, MI in October, TechShop CEO Mark Hatch tells Xconomy in an … Continue reading “TechShop Detroit Facility (Finally) Will Debut In October”
Converting Gas Guzzlers To Hybrids; ALTe Targets Government And Commercial Fleets With Conversion Kits
ALTe Powertrain Technologies has a lot of room to grow. Both literally and figuratively. Inside the company’s mammoth 150,000 square foot headquarters in Auburn Hills, MI, pieces of white paper arranged on the floor neatly mark the location of soon-to-be assembled parts of its product: A powertrain kit that will convert ordinary gas-powered vehicles into … Continue reading “Converting Gas Guzzlers To Hybrids; ALTe Targets Government And Commercial Fleets With Conversion Kits”
Despite Early “Victories,” Medical Device Industry Continues To Face Uphill Slog in Washington DC
From a $20 billion industry tax to pay for healthcare reform to the Food and Drug Administration’s plans to toughen the 510(k) approval program, the medical device industry hasn’t had much to cheer about of late. However, things were starting to look up this year. After a slow start, the industry began to mobilize its … Continue reading “Despite Early “Victories,” Medical Device Industry Continues To Face Uphill Slog in Washington DC”
Delphi Automotive Owes Its Current Success To….Medical Devices?
Somewhere lost in the Groupon/tech IPO bubble, er…I mean, resurgence, was Delphi Automotive Systems’ recent announcement that it is seeking to raise $100 million through its own IPO. A successful return to Wall Street would cap an impressive turnaround for the Troy, MI-based maker of auto parts, whose reliance on General Motors drove its previous … Continue reading “Delphi Automotive Owes Its Current Success To….Medical Devices?”
From Lab To Incubator To Research Complex, We Have The Makings Of An Innovation Factory In Michigan
Lycera is coming home. The company recently said it will move from Plymouth, MI to the University of Michigan’s North Campus Research Complex (NCRC) in Ann Arbor. But this move is not merely just a physical relocation. In 2008, Pfizer decided to pull out of Michigan, a move the state largely greeted with dismay and … Continue reading “From Lab To Incubator To Research Complex, We Have The Makings Of An Innovation Factory In Michigan”
At The Great Lakes Stem Cell (Innovation) Center, Researchers Anxiously Wait For Technology To Take Off
On the fourth floor of the TechTown science and research park in Detroit, the words “Great Lakes Stem Cell Commercialization Center” practically startle a vistor with their large, dark green lettering sprawled across a white wall. “Yeah, we’re changing the name,” James Eliason, the center’s director, tells me. “Really?” I ask. “Why?” “Well, for one … Continue reading “At The Great Lakes Stem Cell (Innovation) Center, Researchers Anxiously Wait For Technology To Take Off”
Baird Venture Partners Pushes Ahead With Molecular Imaging Research Reboot
There’s luck. And then there’s pure serendipity. About a year ago, Baird Venture Partners (BVP) in Chicago had an idea. With Big Pharma increasingly parceling out drug development work to outside firms, the time seemed right for a startup that would offer specialized imaging services to companies who needed to test their therapies on small … Continue reading “Baird Venture Partners Pushes Ahead With Molecular Imaging Research Reboot”
Beyond Sakti3: Researchers in Boston, London Explore Electric-Car Battery Technologies
Sakti3 is one of Michigan’s most high-profile startups, whose solid state, lithium ion batteries have won funding from General Motors and Khosla Ventures and plaudits by MIT’s Technology Review. Such technology could revolutionize electric cars by packing more energy into a battery that occupies much less space under the hood than existing batteries. With less … Continue reading “Beyond Sakti3: Researchers in Boston, London Explore Electric-Car Battery Technologies”
Accelerate Michigan Open For Business
Accelerate Michigan Innovation, the state’s top competition for high tech entrepreneurs, is now accepting applications. The contest will award $1 million in cash prizes plus business services to winners in November. Deadline for applications is August 10, for students September 21. To apply, click here.
Beringea Finds Exit For Steak Group
Beringea, a venture capital/private equity firm in Farmington Hills, said it has sold Steak Group to Dentsu for an undisclosed amount. Steak, a digital medial firm, employs 94 people in New York, London, and Melbourne, Australia.
Dinner Is On Eric Lefkofsky: Groupon Co-Founder and U-M Alum Pockets $300M+ From Stock Sales, More to Come From IPO
Word of advice to anyone who dines with Eric Lefkofsky: make sure he picks up the bill. Trust me folks, he can afford it. We always assumed the Groupon co-founder and University of Michigan alumnus would make a lot of money from the startup’s inevitable IPO. Sure enough, the online coupon site said Thursday that … Continue reading “Dinner Is On Eric Lefkofsky: Groupon Co-Founder and U-M Alum Pockets $300M+ From Stock Sales, More to Come From IPO”
So Close They Can Taste It; NanoBio, Investors Eye Potential IPO
Is NanoBio heading towards an IPO? Probably way too early to make that call. But the Ann Arbor, MI-based drug startup and its investors are not exactly discouraging such talk. “I think the company has the potential to be a public company,” says George Arida, a managing director of Venture Investors. “It absolutely has the … Continue reading “So Close They Can Taste It; NanoBio, Investors Eye Potential IPO”
LED Lighting And Video Game Pioneer Peter Hochstein Dies At Age 65
Relume Technologies founder Peter Hochstein, a pioneer in LED outdoor lighting and multi-player video game technology, unexpectedly died of natural causes over Memorial Day weekend. He was 65 years old. Hochstein, who served as Relume’s president, board director, and chief technology officer, passed away at his home in Troy, MI, Relume said in a statement. … Continue reading “LED Lighting And Video Game Pioneer Peter Hochstein Dies At Age 65”
Cleantech Startup Vestaron Raises $445,000 in Series B Financing
Vestaron has raised about $445,000 from the sale of equity, according to SEC documents. Overall, the startup, based in Kalamazoo, MI, is seeking $8 million, the filing says. So far, Vestaron has raised $9 million from investors including Open Prairie Ventures, the Southwest Michigan Life Science Venture Fund, and the Michigan Strategic Fund. These investors … Continue reading “Cleantech Startup Vestaron Raises $445,000 in Series B Financing”
Forget The iPhone. Your Car Is The Ultimate Mobile Device—But How Far Should That Go?
When a car today can parallel park on its own, find the best Mexican restaurant in a 10-block radius, and access e-mail on voice command, I suppose checking your blood sugar would just seem like icing on the cake. (Pun intended) “We are trying to create a car that cares,” says Gary Strumolo, manager of … Continue reading “Forget The iPhone. Your Car Is The Ultimate Mobile Device—But How Far Should That Go?”
Ann Arbor Spark Pats Its Back
Ann Arbor SPARK says it has attracted 13 new companies to the region and helped 29 businesses to expand in the region last year. The business accelerator also said it helped secure $151 million in new investment commitments and create over 1,400 new jobs.
Staebler To Oversee TechTown
Wayne State University named Ned Staebler as its vice president of economic development. Staebler, a former official with the Michigan Economic Development Corp., will oversee the TechTown research park in Detroit.
Stage 2 Innovations CEO Offers Details On New $100 Million Fund
Simon Boag sounds downright sheepish. “We’re spoiled,” Boag, the new CEO of the $100 million Stage 2 Innovations Fund, told Xconomy. “We realize that. We’re extremely lucky to be in this position.” The fund, announced earlier this week, is targeting growth/expansion startups on the brink of commercializing their technology. An anonymous billionaire is putting up … Continue reading “Stage 2 Innovations CEO Offers Details On New $100 Million Fund”
With Esperion Reboot, Lipitor Co-Discoverer Roger Newton Pushes For Therapy Beyond Drugs
A few years ago, I went to see my doctor for a routine check-up. Blood tests showed I had a high count of low density lipoids (LDL), the so-called “bad cholesterol” that clogs arteries and causes heart attacks. “I’m prescribing you a statin,” the doctor said. I hesitated. “Uh….shouldn’t I try diet and exercise first?” … Continue reading “With Esperion Reboot, Lipitor Co-Discoverer Roger Newton Pushes For Therapy Beyond Drugs”
Show Me The Money! Ex-Chrysler CEO Co-founds New $100 Million Fund For Growth/Expansion Startups
Wow. Now that’s what I’m talking about. Automation Alley, a business accelerator based in Troy, MI that helps nurture local startups, today announced the creation of a $100 million fund to back local companies looking to take their fledgling businesses to a higher level. Chrysler CEO Tom LaSorda co-founded the fund, called Stage 2 Innovations … Continue reading “Show Me The Money! Ex-Chrysler CEO Co-founds New $100 Million Fund For Growth/Expansion Startups”
Ann Arbor Spark Names Board
Ann Arbor SPARK named the following community leaders to its board: Ric DeVore, regional president of PNC;Marty Kahn,CEO of ProQuest; Mike Miller, head of Google’s local office;Conan Smith, Washtenaw County commissioner and executive director of Michigan Suburbs Alliance;Thomas Zurbuchen, director of University of Michigan’s Center for Entrepreneurship, and Dr. Susan Martin, president of Eastern Michigan … Continue reading “Ann Arbor Spark Names Board”
Get Your Hack On: Detroit Geeks Make Finals of National Hacker Contest in New York
A few weeks ago, I asked tech entrepreneur Dug Song, co-founder of Arbor Networks, what Michigan needs in order to build its own Silicon Valley. He did not hesitate. “Hackers,” Song replied. No, not the kind that breaks into the Pentagon or Federal Reserve and initiates Doomsday. Rather, tech geeks who fiddle with stuff in … Continue reading “Get Your Hack On: Detroit Geeks Make Finals of National Hacker Contest in New York”
Ostial Solutions, Targeted Catheter System Maker, Raises $137K
Ostial Solutions has raised $137,530 from the sale of equity, according to SEC documents. The medical device startup, based in Kalamazoo, MI, is seeking about $350,000, the filing says. Founded in 2003, Ostial’s guided catheter technology helps surgeons to precisely position a stent, a device that props open clogged arteries, in patients suffering blockages occurring … Continue reading “Ostial Solutions, Targeted Catheter System Maker, Raises $137K”
Medtronic’s Hawkins and BSX’s Elliott Exit Stage Right As Medical Device Industry Shifts
It’s pretty tough to be a CEO at a major medical device company these days. Just ask Bill Hawkins, who was reportedly pushed out at Medtronic and Ray Elliott, who abruptly left Boston Scientific. I’m not sure if the two men ever knew each other but their departures have a weird type of symmetry. Both … Continue reading “Medtronic’s Hawkins and BSX’s Elliott Exit Stage Right As Medical Device Industry Shifts”
GM Recieves $10M Credit For IT Center
The Michigan Economic Development Corp. awarded a $10 million to General Motors for the possible redevelopment and expansion of the company’s Cadillac Building in Warren, MI. Under the plan, GM would spend $130 million to house its information technology laboratory and operations and consolidated data centers in the facility.
German Wind Turbine Maker Kenersys To Establish Hemisphere Headquarters In Michigan
Kenersys, a German manufacturer of wind turbines, will base its North and South America operations in Michigan, a potential big boost for the state’s nascent cleantech industry. The company will spend $10.2 million to establish its headquarters in Troy, MI and build a manufacturing facility at a yet-to-be-determined site, according to the Michigan Economic Development … Continue reading “German Wind Turbine Maker Kenersys To Establish Hemisphere Headquarters In Michigan”
The Man With The Golden Touch: Jeff Williams Eyes Triple Crown Of Sorts With Life Magnetics
If Jeff Williams has brewed some sort of secret concoction to converting local startups into big pay days, he’s not letting on. “You just make sure you develop good companies that people want to have,” the low key Williams tells Xconomy. “We were fortunate to have some nice exits.” That may be the understatement of … Continue reading “The Man With The Golden Touch: Jeff Williams Eyes Triple Crown Of Sorts With Life Magnetics”
Medical Device Startup TransCorp Raises $700k+, Seeks $4M
TransCorp has raised $755,958 from the sale of equity, according to SEC documents. Overall, the medical device startup, based in Byron Center,MI, is seeking $4 million, the documents say. EDF Ventures in Ann Arbor, MI, Grand Angels in Holland, MI, and Hopen Life Science Ventures in Grand Rapids, MI, are backing the company. Founded by … Continue reading “Medical Device Startup TransCorp Raises $700k+, Seeks $4M”
MoMelan Technologies Closes $3.5M in Series A Financing
MoMelan Technologies, the developer of a device to treat skin disorders by expanding the surface area of skin grafts, has raised $3.5 million, according to the company’s top executive. MoMelan, based in Cambridge, MA, added KLP Enterprises and Life Science Angels to its existing list of investors, which includes LaunchCapital and Mass Medical Angels. The … Continue reading “MoMelan Technologies Closes $3.5M in Series A Financing”
What Ever Happened To Michigan High Tech IPOs?
Inside the rather stuffy conference rooms at the Marriott Eagle Crest hotel in Ypsilanti, MI, entrepreneur after entrepreneur took to the microphone in 15 minute increments, hoping to win over at least one potential investor. The technologies and strategies they offered varied but their business plans ended the same way: an acquisition by a large … Continue reading “What Ever Happened To Michigan High Tech IPOs?”
IntelePeer IPO Could Provide Windfall to EDF Ventures and U-M Wolverine Fund
EDF Ventures and the University of Michigan Wolverine Fund could be looking at a nice pay day. The two funds, based in Ann Arbor, MI, are both investors in IntelePeer, which recently filed for an initial public offering that could fetch up to $100 million, according to documents filed with the SEC. IntelePeer, based in … Continue reading “IntelePeer IPO Could Provide Windfall to EDF Ventures and U-M Wolverine Fund”
Fallen Angel: Michigan’s Angel Investment Tax Credit Likely to Die
Oh angel investment tax credit! We barely knew ye! Michigan’s new and improved three year, $27 million angel tax credit, signed into law just last fall by then Gov. Jennifer Granholm, will likely not survive contentious budget negotiations, according to sources close to the state legislature. Last week, the Michigan House passed a budget that … Continue reading “Fallen Angel: Michigan’s Angel Investment Tax Credit Likely to Die”
Molecular Imaging Research Finds New Life in Ann Arbor Thanks To $7M Investment From Baird Venture Partners and Arcus Ventures
Michganders are sensitive about jobs and by jobs I mean there are not nearly enough of them. Mention Pfizer shutting down its research and development center in Ann Arbor, MI or Becton, Dickinson pulling HandyLab’s operations out of Michigan after acquiring the local startup, and people get downright grumpy. What good is an exit if … Continue reading “Molecular Imaging Research Finds New Life in Ann Arbor Thanks To $7M Investment From Baird Venture Partners and Arcus Ventures”