Poor investment returns have had a similar effect to cold water – the VC industry is shrinking. As a follow-up to comments I posted this past weekend, I wanted to look deeper into recent fundraising data and see what other implications one might draw. Since 1980 the VC industry has raised $495 billion across 4,333 … Continue reading “Shrinkage—Expanded Upon….”
Category: National
In Utah, Developing the Science of Entrepreneurship
Utah may be known for many things, but who would have thought that Utah, and particularly Brigham Young University (BYU), would be participating in the transformation of entrepreneurship? I spent last weekend in Utah at BYU as a guest of Professor Nathan Furr, (a former Ph.D. student of our MS&E department at Stanford,) where they … Continue reading “In Utah, Developing the Science of Entrepreneurship”
A Done Deal: Ligand Diversifies its Drug Revenue With CyDex Acquisition
Investors showed little response this morning after San Diego’s Ligand Pharmaceuticals (NASDAQ: [[ticker:LGND]]) said yesterday it had acquired CyDex Pharmaceuticals for more than $36 million in mostly borrowed cash. After gaining a few cents a share, Ligand’s stock reversed course, and was down 9 cents a share at mid-day, to $8.67 a share in normal … Continue reading “A Done Deal: Ligand Diversifies its Drug Revenue With CyDex Acquisition”
The Spirit of Entrepreneurship Lives in Silicon Valley—A Report from The MIT Sloan Tech Trek
The three asses of entrepreneurship—A smart-ass team with a kick-ass product in a big-ass market: Never before has entrepreneurship been so succinctly captured as in this line coined by Jeff Clavier of Softtech VC. I met Jeff during the Silicon Valley “tech trek” organized by the MIT Sloan School of Management earlier this month. As … Continue reading “The Spirit of Entrepreneurship Lives in Silicon Valley—A Report from The MIT Sloan Tech Trek”
Venture Café Finds Permanent Space Amid Comings and Goings in Kendall Square
‘Tis the season for moving in and moving out for the startup community in Kendall Square. This morning, we heard some news from Tim Rowe, the CEO and co-founder of the Cambridge Innovation Center (CIC), about a new permanent location for the Venture Café, a popular gathering place for the innovation community. Venture Café “alpha” … Continue reading “Venture Café Finds Permanent Space Amid Comings and Goings in Kendall Square”
Novartis Acquires Genoptix, Elcelyx Raises $6M, Pfenex Gets Subcontract to Work on Malaria Treatment, & More San Diego Life Sciences News
Much of the life sciences news out of San Diego over the past week concerned new technologies and treatments for diabetes and obesity. We’ve got it covered. —Switzerland’s Novartis AG agreed to pay $470 million to buy Genoptix (NASDAQ: [[ticker:GXDX]]), a Carlsbad, CA-based company that centralized the business of providing specialized diagnostic services for cancers … Continue reading “Novartis Acquires Genoptix, Elcelyx Raises $6M, Pfenex Gets Subcontract to Work on Malaria Treatment, & More San Diego Life Sciences News”
From the Caves of Michigan’s Sleeping Bears Comes Kalamazoo’s Aursos, and a Possible New Drug for Osteoporosis
Deep in the wild, frozen woodlands of Michigan’s Upper Peninsula, it seems that even the scientists are a different, heartier breed of human. A few years ago, Seth Donahue, an associate professor in biomedical engineering at Michigan Technological University in Houghton, MI, decided to gather a few of his bravest grad students and sneak into … Continue reading “From the Caves of Michigan’s Sleeping Bears Comes Kalamazoo’s Aursos, and a Possible New Drug for Osteoporosis”
See You Tonight at “San Diego’s Fight Against Diabesity”
If two-thirds of all Americans are too heavy, and millions more continue to get diabetes, how will we pay the trillions in medical bills over the next decade? Who will find ways to solve this public health problem, and build real businesses on prevention and treatment? How are some of San Diego’s biotech leaders adapting … Continue reading “See You Tonight at “San Diego’s Fight Against Diabesity””
PhysioSonics, a UW Ultrasound Spinoff, Raises Cash from Medtronic, Kirby Cramer
PhysioSonics, a University of Washington spinoff developing ultrasound imaging technology to monitor blood flow in the brain, has raised its second round of equity financing. The deal was led by medical device giant Medtronic (NYSE: [[ticker:MDT]]) and the prominent local investor Kirby Cramer, Xconomy has learned. Brad Harlow, the CEO of Bellevue, WA-based PhysioSonics, says … Continue reading “PhysioSonics, a UW Ultrasound Spinoff, Raises Cash from Medtronic, Kirby Cramer”
Okta: Helping Companies Maintain Visibility Despite Cloud Cover
If you’re an active Internet user, you probably have enough trouble keeping track of the usernames and passwords you use for a couple dozen Web-based services: Gmail, Facebook, Twitter, LinkedIn, Amazon, iTunes, Flickr, and the like. Now imagine that you’re an IT administrator at a big company with hundreds or thousands of employees, each of … Continue reading “Okta: Helping Companies Maintain Visibility Despite Cloud Cover”
Philanthropist John Flatley Starts Venture Group to Back New Cystic Fibrosis Treatments
John Flatley, a real estate developer and philanthropist, has founded an investment group called Flatley Venture Capital to back life sciences startups with potential treatments for the genetic disease cystic fibrosis. Flatley, who has a close family member with the disease, told me he launched the venture group within the last few months. Flatley Venture … Continue reading “Philanthropist John Flatley Starts Venture Group to Back New Cystic Fibrosis Treatments”
Seattle Genetics Manager Accused of Insider Trading, Bristol Stays in Seattle, Amgen Buys BioVex, & More Seattle-Area Life Sciences News
We had news galore this week on the Seattle biotech beat, with a mondo acquisition, an accusation of insider trading, and a prominent report pronouncing the U.S. medical device industry in a state of decline. Take a gander at the flurry of headlines here. —Amgen (NASDAQ: [[ticker:AMGN]]), which has significant immunology R&D operations in Seattle, … Continue reading “Seattle Genetics Manager Accused of Insider Trading, Bristol Stays in Seattle, Amgen Buys BioVex, & More Seattle-Area Life Sciences News”
Skyhook Motion For Preliminary Injunction Shot Down in Lawsuit Against Google; CEO Still Hopeful in Case
Boston-based mobile software maker Skyhook Wireless hasn’t been able to prevent Google from setting rules that Skyhook says shut its location-finding technology out of phones running the Android platform—not yet, anyway. Last September, the startup filed a lawsuit in Massachusetts’ Suffolk County Superior Court against Mountain View, CA-based Google, claiming that the company had interfered … Continue reading “Skyhook Motion For Preliminary Injunction Shot Down in Lawsuit Against Google; CEO Still Hopeful in Case”
Fabless Chip Designer Sheds Stealth Cloak, Changes Name to Enerv
Pervasive was keeping a low profile last year, when I reported the fabless semiconductor design startup had raised $6 million in a round led by two Bay Area venture firms, New Enterprise Associates and Walden International. But that’s not true any more. Reza Mirkhani, the company’s San Diego-based founder and CEO, tells me the company … Continue reading “Fabless Chip Designer Sheds Stealth Cloak, Changes Name to Enerv”
Beyond the Big Three: A Tough Love Search for Detroit’s Future
“Many people watching tonight can probably remember a time when finding a good job meant showing up at a nearby factory or a business downtown,” President Obama said during his State of the Union address last night. “You didn’t always need a degree, and your competition was pretty much limited to your neighbors.” “If you … Continue reading “Beyond the Big Three: A Tough Love Search for Detroit’s Future”
Stealthy Elcelyx Therapeutics, Focused on Diabetes, Raises $6M
Elcelyx Therapeutics, a stealthy biotech developing new therapeutics for treating diabetes and other metabolic diseases, is emerging in San Diego, adding its name to the deep roster of local companies with expertise in fighting these related threats to public health. Elcelyx has raised just over $6 million from investors in what appears to be the … Continue reading “Stealthy Elcelyx Therapeutics, Focused on Diabetes, Raises $6M”
EnerNOC Buys M2M for Its Wireless Tech and Utility Contracts in California, Midwest
[Updated 3:30 pm with financial terms. See below] EnerNOC, the Boston-based energy management firm (NASDAQ: [[ticker:ENOC]]), continues to look west for its acquisitions. The company announced today it has bought M2M Communications, a Boise, ID-based wireless technology company that has key contracts with energy utilities in California and the Midwest. Financial terms of the deal … Continue reading “EnerNOC Buys M2M for Its Wireless Tech and Utility Contracts in California, Midwest”
InLab Ventures, Based in San Diego and Orange County, Pursues Alternative VC Path
Some folks have been saying for at least a couple of years that the venture capital business model is broken. But is the venture capital industry really ready for a different business model? Orange County investor and entrepreneur Chip F. Parker founded InLab Ventures two years ago as an early stage venture firm with a … Continue reading “InLab Ventures, Based in San Diego and Orange County, Pursues Alternative VC Path”
Computing in the Age of the $1,000 Genome, Coming February 7
If scientists will soon be decoding entire human genomes in an afternoon, for $1,000 or less, how will that change the way we think about health and wellness? What are the business opportunities for companies that figure this out early? How will tech companies handle the gargantuan IT challenges of separating signal from the noise … Continue reading “Computing in the Age of the $1,000 Genome, Coming February 7”
IWalk Before You Run: MIT Prosthetics Startup Ramps Up Operations With New VC Money
If you’re lucky, you probably only worry about your feet when something goes wrong—if you break a toe or sprain your ankle, say. In daily life, most people don’t marvel at the natural machinery that lets them navigate icy sidewalks, step over obstacles, or go up and down stairs with nary a second thought. (I’ll … Continue reading “IWalk Before You Run: MIT Prosthetics Startup Ramps Up Operations With New VC Money”
Amgen’s R&D Chief, Roger Perlmutter, on Why BioVex’s Cancer-Fighting Virus Is Worth $1B
Roger Perlmutter, the guy who runs R&D at the largest biotech company in the world, is an immunologist by training. So it shouldn’t be any surprise that he’s fascinated by recent advances in which scientists have shown they can harness the immune system to fight tumors. Now he’s acting on that emerging knowledge of cancer … Continue reading “Amgen’s R&D Chief, Roger Perlmutter, on Why BioVex’s Cancer-Fighting Virus Is Worth $1B”
The New Normal for Biotech Startups
The structural changes roiling the pharmaceutical sector are driving innovation of biotech business models. With shrinking operating margins, patent expirations, a paucity of new product launches, significant reimbursement pressure, and an unpredictable regulatory environment—Big Pharma’s high risk bets on early stage biotechs of the past decade look cavalier through the lens of the current market … Continue reading “The New Normal for Biotech Startups”
Myriant Gets $60M, BioVex Bought By Amgen, Raindance Wraps Up $37.5M, & More Boston-Area Deals News
The past week has been all about reflecting on venture data from Q4 2010, but we also spotted some new financings, partnership deals, and acquisitions for New England’s tech and life sciences firms. —Well, we did write about the top 10 venture deals in the Boston area from last quarter, based on data the MoneyTree … Continue reading “Myriant Gets $60M, BioVex Bought By Amgen, Raindance Wraps Up $37.5M, & More Boston-Area Deals News”
How to Launch Your Startup at SXSW for $460
Originally, I wanted to call this article “How to Launch at SXSW on a Shoestring Budget,” but it wasn’t specific enough. “How to Launch @ SXSW for $460” has a tactical, granular sound that resonates with what my mentor (see his book cover picture here) taught me about promotion at a real world event. It’s … Continue reading “How to Launch Your Startup at SXSW for $460”
Bristol-Myers Squibb to Stay in Seattle, Keep ZymoGenetics Workers
Pharmaceutical giant Bristol-Myers Squibb scoped out the neighborhood for a couple months, and has decided to put down roots in Seattle. The New York-based pharmaceutical giant (NYSE: [[ticker:BMY]]), which spent $885 million to acquire ZymoGenetics in October, has decided to maintain its presence here, according to Chris Rivera, the president of the Washington Biotechnology & … Continue reading “Bristol-Myers Squibb to Stay in Seattle, Keep ZymoGenetics Workers”
Startup Suicide—Rewriting the Code
The benefits of customer and agile development and minimum features set are continuous customer feedback, rapid iteration and little wasted code. But over time if developers aren’t careful, code written to find early customers can become unwieldy, difficult to maintain and incapable of scaling. Ironically it becomes the antithesis of agile. And the magnitude of … Continue reading “Startup Suicide—Rewriting the Code”
Michigan Startups Reflect National Resurgence in Venture Capital Dollars
Michigan startups attracted $24.7 million in venture capital during the fourth quarter last year, according to the MoneyTree Report by PricewaterhouseCoopers and the National Venture Capital Association based on data from Thomson Reuters. Metabolic Solutions Development (MSDI), a drug maker based in Kalamazoo, MI, grabbed the largest share of the state’s take with nearly a … Continue reading “Michigan Startups Reflect National Resurgence in Venture Capital Dollars”
TiE Boston Announces Angel Investing Group
There’s a new angel investing group in town, and this one is tied to a global organization supporting entrepreneurship. TiE Boston, the local chapter of The Indus Entrepreneurs, announced today that it has launched TiE Angels to provide funding for early-stage startups in New England. The group says it will put up to $500,000 into … Continue reading “TiE Boston Announces Angel Investing Group”
Clinical Data’s Billionaire Chairman a Major Player in Firm’s Newly FDA-Approved Antidepressant
Randal “RJ” Kirk is building another biotech winner. The billionaire Virginian, who is chairman of Newton, MA-based pharmaceutical company Clinical Data (NASDAQ:[[ticker:CLDA]]), has been a catalyst for the firm’s new FDA approval of an antidepressant. Kirk, a major shareholder in Clinical Data for years and chairman since 2004, has advocated for the 39-year old firm’s … Continue reading “Clinical Data’s Billionaire Chairman a Major Player in Firm’s Newly FDA-Approved Antidepressant”
How ZymoGenetics Coulda Been a Contender: The Big Break That Came Too Late
ZymoGenetics, if it had stayed an independent company in Seattle, would be worth tens of millions of dollars more today than what it was in September when it agreed to be acquired by Bristol-Myers Squibb (NYSE: [[ticker:BMY]]). Bristol clearly scored a big break with its new ZymoGenetics assets on December 21, about two months after … Continue reading “How ZymoGenetics Coulda Been a Contender: The Big Break That Came Too Late”
The 20-Year Outlook for Bay Area Life Sciences, Coming March 16
Biotechnology was born in the San Francisco Bay Area about 35 years ago, and by most ways of keeping score, it remains the most vibrant cluster in the world for life sciences innovation. But will that still be true 20 years from now? These are the kinds of deep questions we love to ask at … Continue reading “The 20-Year Outlook for Bay Area Life Sciences, Coming March 16”
Axonia Seeks to Regenerate Nerves a New Way, Sidestepping Stem Cell Controversy
Biotech executives were on the prowl a couple weeks ago in San Francisco, many of them urgently seeking tens or hundreds of millions of dollars from Wall Street. But one of the fun, offbeat ideas I encountered during my trip was from a Kalamazoo, MI, entrepreneur seeking to nail down his first $5 million for … Continue reading “Axonia Seeks to Regenerate Nerves a New Way, Sidestepping Stem Cell Controversy”
Epocrates, Mobile App Developer Since Palm Days, Preps for IPO-And for Push Into Electronic Medical Records
If you’re a young software engineer today, you’ve got to be in mobile. That’s why San Francisco and Silicon Valley are crawling with twenty-something developers building games and other diversions for the iTunes App Store and the Android Marketplace. But there’s one local company that started building mobile apps before most of these people even … Continue reading “Epocrates, Mobile App Developer Since Palm Days, Preps for IPO-And for Push Into Electronic Medical Records”
Are Startup-Hungry MIT MBAs Sleepless in Seattle?
One of the most important decisions anyone makes is deciding where to live. Lucky for me, that decision has already been made. Since I’ll be graduating soon with an MBA from the MIT Sloan School of Management, I thought it would be great to head out West to where the software revolution began: the emerald … Continue reading “Are Startup-Hungry MIT MBAs Sleepless in Seattle?”
Sorenson Media, a ‘Swiss Army Knife’ for Video Encoding, Sets Course for Web-Based Service
A major upgrade to a well-established software product doesn’t usually move the needle much at Xconomy, where we prefer to focus on the really disruptive innovations and strategic innovations taking place throughout the tech sector. But this is a time of intensifying frothiness in the world of online video technology. So the improvements that Carlsbad, … Continue reading “Sorenson Media, a ‘Swiss Army Knife’ for Video Encoding, Sets Course for Web-Based Service”
Bay State Startups Bring in $192M in December, Industrial Companies Squeeze Healthcare Sector Out of the Top Fundraising Spot
[Corrected 1/25/11, 12:40 pm. See below.]Good news and bad news for the state’s startups when it comes to dollars raised last month. Tech and life sciences firms overall collected a bigger chunk of change than the month before, but the healthcare sector, which typically leads the pack, yielded the top spot to the industrial sector. … Continue reading “Bay State Startups Bring in $192M in December, Industrial Companies Squeeze Healthcare Sector Out of the Top Fundraising Spot”
Amgen to Acquire BioVex for Up To $1B, to Obtain Cancer-Killing Virus Therapy
Amgen is sticking its scientific neck out, and potentially $1 billion of its cash, to buy a company in Woburn, MA that hopes to deliver the first FDA-approved virus engineered to specifically kill cancer cells. Thousand Oaks, CA-based Amgen (NASDAQ: [[ticker:AMGN]]) said today it has agreed to pay $425 million upfront, plus another $575 million … Continue reading “Amgen to Acquire BioVex for Up To $1B, to Obtain Cancer-Killing Virus Therapy”
Introducing Tom Lee–He May Need a Nap, But He’s Never Too Tired To Talk About Innovation
Southeast Michigan, please be kind to Tom Lee. Thanks to some lame, opaque rues at an airline which shall remain nameless, the newest addition to the Xconomy team—who starts today as our Detroit editor and national med tech editor—endured a 10 hour drive this weekend instead of the two-hour flight he was expecting. But weary … Continue reading “Introducing Tom Lee–He May Need a Nap, But He’s Never Too Tired To Talk About Innovation”
Stepping Down in San Diego: Venture Funding and Our Top 10 List of Fourth Quarter VC Deals
Venture investing in San Diego declined substantially during the last three months of 2010, according to additional data coming in today from Dow Jones VentureSource, and from the MoneyTree Report. VentureSource found that venture firms invested $154.3 million in 21 San Diego startups during the fourth quarter of 2010. That was a 27 percent decline … Continue reading “Stepping Down in San Diego: Venture Funding and Our Top 10 List of Fourth Quarter VC Deals”
Behind the Scenes at Marvell, Cash for Tilera and vChatter, & More Bay Area Biztech News
The short business week last week after the Martin Luther King holiday left us with 20 percent less news than usual. Here’s what was left: —In a rare press interview, Marvell Technology Group CEO and co-founder Sehat Sutardja talked about his hands-on management style at Marvell and the founding of the company as one of … Continue reading “Behind the Scenes at Marvell, Cash for Tilera and vChatter, & More Bay Area Biztech News”
Top 10 List of Boston-Area VC Deals for Q4 2010: NinePoint, 1366, Rive, and More
The venture financing stats from the fourth quarter of 2010 continue to trickle in. Here are the 10 biggest equity financing deals of the quarter in the Boston area, according to the MoneyTree Report by PricewaterhouseCoopers and the National Venture Capital Association based on data from Thomson Reuters. (You can also check out today’s national … Continue reading “Top 10 List of Boston-Area VC Deals for Q4 2010: NinePoint, 1366, Rive, and More”
Genoptix Agrees to $470M Takeover by Novartis
Genoptix has found itself a buyer after spending more than a month on the auction block. The Carlsbad, CA-based company, which runs a centralized lab to test help doctors manage blood cancer patients, has agreed to be acquired by Switzerland-based pharmaceutical giant Novartis for $470 million. Carlsbad, CA-based Genoptix (NASDAQ: [[ticker:GXDX]]) said it has agreed … Continue reading “Genoptix Agrees to $470M Takeover by Novartis”
Clinical Data Stock Surging on FDA Approval of Anti-Depression Drug
Clinical Data’s stock price has been mounting this morning as news spreads that the Newton, MA-based drug developer’s treatment for depression has gained FDA approval. The company’s (NASDAQ:[[ticker:CLDA]]) shares were trading at $24.05 as of 9:42 am Eastern time today, a 60-percent jump from its closing price on Friday. This is a huge win for … Continue reading “Clinical Data Stock Surging on FDA Approval of Anti-Depression Drug”
MoneyTree Reports Drop in San Diego Venture Funding, Verve Wireless Hires New CEO, Fallbrook Aligns Transmission Deal, & More San Diego BizTech News
It was a short week for news with the Martin Luther King holiday, and it showed. Here’s a short and (we hope) sweet wrapup of San Diego’s tech sector. —Venture capital investing in San Diego startups plunged during the fourth quarter that ended December 31st, with $193.1 million invested in 26 companies, according to the … Continue reading “MoneyTree Reports Drop in San Diego Venture Funding, Verve Wireless Hires New CEO, Fallbrook Aligns Transmission Deal, & More San Diego BizTech News”
EcoMotors Founder Peter Hofbauer Says Company Is Inking Customer Deals, Eyeing Production Facility in Michigan for Its “Opoc” Engine
Peter Hofbauer spent nearly a decade in advanced propulsion system research and nearly another decade in power train development at Volkswagen. After creating and developing the automaker’s first diesel engine, he was ready to relax. “In 1997, I moved to Santa Barbara, CA, and my main idea was to retire—and that did not work,” says … Continue reading “EcoMotors Founder Peter Hofbauer Says Company Is Inking Customer Deals, Eyeing Production Facility in Michigan for Its “Opoc” Engine”
Calibra, Inspired by Inventor With Diabetes, Homes in on Cheap, Easy Way to Deliver Insulin
Clif Alferness has made a long and decorated career out of inventing medical devices. But until about five years ago, he never thought seriously about a practical invention for his own illness—Type 1 diabetes. Now, after years in stealth mode, the latest startup he helped launch is on the verge of creating a new category … Continue reading “Calibra, Inspired by Inventor With Diabetes, Homes in on Cheap, Easy Way to Deliver Insulin”
Coffee, Spam, and What the Web Is Doing to Our Minds, From Mimecast’s Nathaniel Borenstein
I learned at least three things over coffee last week with Nathaniel Borenstein, one of the fathers of modern e-mail systems. Sadly, none of them keep me from wanting to set fire to my inbox, which surpassed 30,000 unread messages this weekend. Borenstein is chief scientist at Mimecast, a U.K.-based e-mail management firm with a … Continue reading “Coffee, Spam, and What the Web Is Doing to Our Minds, From Mimecast’s Nathaniel Borenstein”
Nine Startup Scaling Secrets from Eventbrite
On anyone’s list of the fastest-growing and most interesting social-commerce startups in San Francisco/Silicon Valley, Eventbrite has to rank near the top. Since collecting $6.5 million in Series C financing from Sequoia Capital in late 2009, followed rapidly by another $20 million infusion from DAG, Tenaya, and Sequoia less than a year later, the online … Continue reading “Nine Startup Scaling Secrets from Eventbrite”
Fourth Quarter Venture Results—Shrinkage Comes in All Forms
The Q4 2010 VC funding data were released late last week—and the headline was quite upbeat. VCs invested $5 billion in 765 deals in this past quarter, which while essentially flat quarter-over-quarter, brought the full year totals to $21.8 billion invested in 3,277 companies. In 2009, VCs put $18.3 billion into 2,927 companies. It’s easy … Continue reading “Fourth Quarter Venture Results—Shrinkage Comes in All Forms”
New Dossia CEO Hunts for Cash to Expand Reach of Personal Digital Health Records
[Clarified. 2 pm Eastern time, 1/25/11. See below.] Dossia’s new chief executive, Michael Critelli, has plans to push personal electronic health records closer to mainstream use. He needs money, though. And that might mean tapping the capital markets. Cambridge, MA-based Dossia is best known as a nonprofit consortium—with founding members such as BP America, Intel, … Continue reading “New Dossia CEO Hunts for Cash to Expand Reach of Personal Digital Health Records”