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Chapter2.

NEED AND SIGNIFICANCE OF

COMMERCIALISATION OF

NANOTECHNOLOGY

52

2.1. An Emerging Technology

Nanotechnology will have a tremendous impact on our future however a lot of

research and development should be still conducted by individuals, universities and

research institutes, governments and industries. During the research process many

factors have to be considered in order to benefit commercially from that research. The

major factors that need to be considered are the cooperation between universities and

industries, intellectual property, attracting investment and the regulation. This chapter

intends to provide the basic and most relevant elements that need to be taken into

account in process of nanotechnology commercialisation. After a short discussion on

nature of nanotechnology, the chapter will continue with an emphasis on

nanotechnology commercialisation.

The business model, technology modes, marketing strategies, investor resources,

business application, supporting organization and the barriers to commercialisation of

nanotechnology have composed other topics of this chapter.

2.1.1 What is nanotechnology?

Nanotechnology is the art of designing and manufacturing products from atoms,

molecules and nano scale particles. Nanotechnology is the application of nanoscience

particularly to industrial and commercial objectives. Today, without a doubt, this global

phenomenon is one of the hottest fields in scientific and business community. To non-

experts, nanotechnology simply mean any technology on a nanoscale (conventionally,

1-100 nanometre) which has application in the real world. A nanometre (abbreviated

1nm) is a billionth of a meter and something as small as an atom is entirely impossible

to be seen with a naked eye. Bulk materials around us possess continuous physical

characteristics. The same situation applies to micron-sized materials as well. But in the

nanoscale dimensions, the fundamentals of classic physics are no longer able to

describe their behaviour such as energy and movement and at these dimensions the

principles of quantum mechanics are applied. In recent years, researchers have been

able to disclose the immense potential of nanoscience and nanotechnologies on account

of a new set of analytical and fabrication tools and at the same time, new nanomaterials

have been purposely manufactured or discovered and modern nanotools have been

developed (Filipponi and Sutherland, 2012). Nanoscience is an interdisciplinary science

that encompasses all sciences and engineering disciplines. It goes beyond the

conventional boundaries between physics, chemistry, biology, mathematics,

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information technology, and engineering. Nanotechnology is not also bounded to one

industry or market. Rather, it is a set of technologies that cuts across all industry sectors

and scientific disciplines. Because of these potentials, Nanotechnology is now a global

interest and it is appropriating more public funding than any other area of technology.

In the last few years, Nanotechnology has progressed rapidly in terms of science and

technology development both in laboratories and in the commercialisation of numerous

products and this is the result of a vast investment at research level and in the industry.

Nanotechnology is considered as the next big business opportunity, not because it is a

new idea, but because its ability to nano engineer products and materials has now

gained a level of maturity that it can have a large effect on many sectors of the

economy and this is why nanotechnology is so attractive by so many. Nanotechnology

is expected to have a substantial effect on many sectors of the world’s economy. A

robust nanotechnology economy can lead to new products, new businesses and new

jobs or even new industries (Gasman, 2006).

2.2 A disruptive technology

Research studies have confirmed that there are two types of technology. I)

sustaining or evolutionary technologies and II) disruptive, radical or emergent

technologies (Walshetal , 2002). Sustaining technologies help an organization improve

the performance of an existing product based upon the organization capabilities and

proficiency or customers need. Sustaining technologies are developed from the existing

knowledge with respect to production capabilities and manufacturing. These

technologies can be originated inside or outside of an industry. Those that originate

inside an organization are based on their competencies which evolve into a stream of

continuous innovations which are passed to customers as a new improved product or a

well replaced product. Both of these two products are tendered based upon customers

need and required different marketing strategies. Sustaining technologies foster

improved products for existing markets and thus do not create new markets. The

replaced products are those that customer intentionally request to meet their demands.

This request may include the cost reduction, quality improvement or operation

improvement. Alternatively, new improved products are not produced based on

customers demand. Instead, companies have the opportunity to invent a new product

and to satisfy their customers (Tolfree and Jackson, 2008).

54

The origin of disruptive technologies comes from the new sciences have

developed and emerged in universities or research institutes. Disruptive technologies

are defined as scientific inventions which create products for new markets. Inventions

from disruptive technologies called revolutionary, radical or discontinuous innovations.

This type of innovations whether in products, services or processes provide an extra

value for customers and create new products and markets pattern. Inventions from

disruptive technologies require customers to change their behaviour and custom to be

able to use the products result from these inventions. Obviously, the commercialisation

of these inventions would be so difficult, since these new products should overcome

customers’ resistance in adopting of disruptive technologies. Discontinuous innovations

as Schumpeter (Schumpeter, 1934, 1942) described are so radical, as they destroy the

existing markets and prevailing companies that supply these markets, substituting with

completely new markets and companies.

Beside of these two types of technology models, there are two marketing

strategies classes. Demand pull or marketing pull, widely argued in economic studies

and by some definition it is when entrepreneurs seized and perceived available

opportunities in the markets to make the profit. Acting quickly and recognizing

customers and market demand, give a chance to entrepreneurs to earn profit. In the

other hand, the technology push marketing strategy has defined when entrepreneurs

intrinsic lead to innovation and finally result in the creation of new products or

services. As these new products are originated without a defined market, thus the

technology marketing strategy-in the contrary to demand pull marketing strategy-

emerges from technology itself (Kassicieh and Walsh, 2004). Apparently, for

sustaining technologies, core competencies are considered as the source of technology.

This type of technology is used to generate continuous innovations and eventually

exploited for replacement products or producing new improved products.

Understanding the market demands and targeting customers are fundamental of

sustaining technology. Selecting discontinuous innovation and merging with the proper

type of marketing strategy requires a precise attention. Marketing pull is chosen when

the inventions are attractive to the potential customers. Technology push for

discontinuous innovations is relatively more complex in comparison with continuous

innovations as it needs a behavioural changed from customers who are utterly difficult

and time consuming. Therefore, for those reasons, many start-up firms which are

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involved in discontinuous innovations are at a great financial risk or business failure

(Walsh et al., 2004).

2.3. Need of commercialisation of nanotechnology

Nanoscience is science and discipline which refers to the scale applied to unimaginably

small precision: nanoscale. This scale is also referred to as ‘atomic’ or ‘molecular’ scale

which is 100 nanometers or smaller. This capability also simultaneously gives us ability to

build devices or products on nanoscale. Because of the brevity in operation, smarter and

lighter products can be made from the molecules of the same matter with every atom in its

specified place through ‘positioned assembly’ or ‘self assembly’ .The matter exhibit

unimaginably different qualities when manipulated and structured at nanoscale. It produces

different products when assembled at that scale. This is what is the future unleashed by the

nano technology revolution.

The human society has witnessed several technology revolutions in the past:

industrial, agricultural, medical, and info tech in a course of two centuries. Each of these,

revolutionary technologies have been able to exploit only a small fraction of the total

possibilities. We have been still dealing with the matter at a bigger scale. The building

blocks, our engineering skills and products were bigger than the nano size and hence had

limitations in manipulation. It is this arrangement of atoms which defines the properties of

matter. Figure 2.1 shows generation wise development of nanotechnology and products and

its transition to next generation.

Figure 2.1: Timeline for beginning of industrial prototyping and nanotechnology

commercialisation: Four overlapping generations of products and processes37

Source: Renn and Roco (2006:154)

56

With its capacity to manipulate the smallest possible component of the matter, the nano

technology has the potential to bring that cycle of technological revolution to completion

dealing with the matter atom by atom, molecule by molecule. It is this capacity of

mankind to deal with matter at molecular level that will give the human society a

historical new ability to shape process and create things which have never been thought

of. The realisation of this nanotechnology product is possible through the idea converting

to product as illustrated in following figure 2.2

Figure 2.2: The process of taking an idea to a product

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Figure 2.3: Technology transfer process, Source: MIT, Inventor’s guide

58

The product worked out of idea developed and research carried out to take further for

commercialisation is a lengthy process as shown in above figure 2.3. This is a

technology transfer process which helps new start-ups and also growth of existing

business.

2.4. Public Perception Regarding Nanotechnology Based on

Opinion Polls

Perception of Risk and Findings

Various surveys were carried out by various research organisation and groups and their

outcome was outlined as under:

In 2003 Royal Academy of Engineering and The Royal Society made a survey of 1005

people over the age of 15 in Great Britain. Out of which 58% of respondents believed

Nanotechnology would improve life in the future. 13% believe that the consequences

would depend on low Nanotechnology was used. In subsequent workshops with 50

participants in urban areas, researchers further explored perceptions. Participants

perceived the benefits might include medical breakthroughs and other enhancements to

the quality of life, and hoped for unforeseen benefits, Concerns included social justice,

financial implications, long-term side effects, whether nanotechnologies and devices

would work as anticipated, and whether nanotechnologies could be controlled. 26% of

respondents had heard of Nanotechnology and 19% could define the term.

In 2004 Fuijita and Abe took a opinion poll with 1011 Japanese adults in the Tokyo

area Half of those surveyed believed that Nanotechnology would improve their lives in

the next 20 years. 88% though positively about Nanotechnology benefits to society, but

55% were concerned that the advancement of Nanotechnology could present risks of

safety, unexpected outcomes, or more issues. The level of trust in scientist in terms of

Nanotechnology related information is the highest (54%) among NGO, Industry

government, TV and other medial. And the government received the lowest trust

(22.5%) About 44% of those respondents had heard of Nanotechnology either

frequently or from time to time.

Then in 2004 Cobb and Macoubrie took a questionnaire with 1536 adults

randomly selected across U.S. 78% thought risks and benefits were equal or benefits

out weighted risks; those who knew more about Nanotechnology believed benefits

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would outweigh risks. Respondents did not trust business leaders to minimize

Nanotechnology risks to human health >80% knew litter or nothing about

Nanotechnology 2007

Next survey was carried out by Macoubrie in 2005 on 177 adults in U.S. focus

groups in Spokane, WA, :Dallas, TX,; Cleveland; OH Participants opinion were

surveyed. They were presented with information about Nanotechnology, and then

surveyed again, Perceptions that benefits would be greater than or equal to risks even

after being presented with information on Nanotechnology, participants held little trust

in government and industry to protect the public from the risks of Nanotechnology.

Focus group members also felt strongly that increased from 29.4 to 75.6%; that risks

would exceed benefits, from 5.1 to 15.3% (Responses “don’t know” decreased)the

public needed to be better informed and, the public should have a role in decisions

about investing government funds in research and in managing the risks of

Nanotechnology. 54% initially knew almost nothing about Nanotechnology

In 2006 Rice University Centre for Biological and Environmental Nanotechnology did

a opinion survey of 503 people across U.S. Consumers that they are willing to use

products containing nanomaterials when the potential benefits are high, even if there

are health and safety risks. Respondents perceived that Nanotechnology offered

benefits in the order of the benefits from food preservatives and chemical disinfectants,

albeit at lower risk. Not quantified in survey

1014 adults in U.S. Roughly half of the respondents were not sure whether the benefits

of Nanotechnology would outweigh the risks; those who had greater knowledge of

Nanotechnology believed more strongly in its benefits. This was outcome of survey in

2007 (Peter 2007). In general, the group of people with little or no knowledge about

Nanotechnology included women, older adults, adults with a high school degree or less,

and adults with lower incomes. Approximately 70% had heard just a little or nothing at

all about Nanotechnology

The poll on public awareness of nanotechnology in 2005 shows that almost

54% are not aware about nanotechnology while hardly 3% are confident about benefits

and risk and details about nanotechnology. Rest know more or less very little about

nanotechnology (Figure2.4). This situation has improved and the various new opinion

poll were conducted and latest poll carried out had created hope as well as clearly state

that huge work need to be done to create awareness among the public and as well as

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build trust among public regarding the innovative benefit of nanotechnology and

educate them about risk associated with it. Today almost 32% still are not aware of

nanotechnology. The people who know much more about nanotechnology are

increasing and this ratio has risen to 16%. Those who know little or some facts about

nanotechnology are 52%. It is important that this ratio should rise so it will serve as one

indicator that nanotechnology is moving from research phase to commercialisation

(figure2.5).

Figure 2.4: 2005 Poll on Public Awareness of Nanotechnology

Figure 2.5: 2015 Poll on Public Awareness of Nanotechnology

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2.5. Potential of the Nanotechnology in India

Indian population which is more than one billion , has a wide landscape and a

diverse socio-economic base, has tremendous possibilities for any technological

intervention including nanotechnology .India has been reluctant to adopt the technologies

and even slower to experiment them. This has happened primarily because the risk taking

ability of individuals, organizations and the Governments has been low. Moreover, because

of lack of communication to the rest of the world, the level of confidence in the innovations

has been low.

However, in the last decade, India has gained not only confidence to try out new

technologies but also to experiment and innovate. This is primarily because the

entrepreneurial base has increased. The number of millionaires in India, its richest people

and its companies are quite at the top in the global list of the rich. This is also happening

because the people’s purchasing power has increased. India is the fourth largest economy

in the world in terms of purchasing power parity. Another reason for this is that the Indian

consumer has started asking for the best that is available on the earth. This makes India a

huge market for quality goods. The spirit of innovation is also getting strengthened because

of the fact that India is a young country; with almost half of its population in the younger

age group. This age group is inclined to make forays in the unknown but exciting fields.

The new companies being formed look for exciting emerging technologies. India is ready

for Nanotechnology Thus, for the first time in its history, India is ready not only to adopt

what is working elsewhere, but also to innovate, experiment, adopt and adapt what is

entirely new. This includes what has not been tried at all but makes an economic, social or

environmental sense. Nanotechnology is a phenomenon in that range. It is new, it is

evolving, it is challenging. This is what India is now ready for. Thus, nanotechnology and

its applications have a bright future in India. Nanotechnology in India is expected to

unleash the full force of India’s creativity and its craving to satisfy all its basic needs, to

catch up with the world, rather to surpass the world.

The Nanotechnology is the most fast developing technology on the verge of

commercialisation .Nanotechnology is the emerging technology which has capacity to

affect the various industries. It has potential of $254 billion worth of product worldwide in

2009 and it is forecasted to grow to $2.5 trillion in 2015. Different research have been

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carried out and published to forecast the nanotechnology products market potential .These

help to understand the strength of nanotechnology and how it will impact world economy.

Table 2:Selection of global marketforecasts for nanotech-enabled products,billion

USD

The Nanotechnology is having its impact on every aspect of life as large numbers of

products in various industries are on verge of commercialisation. It is going to affect all

global economies across the world to more or less level depending upon the extent of

commercialisation. Below bar graph (figure 2.6) shows industries wise categorised number

of product being introduced. Other graph (figure 2.7) shows region wise investment being

done for nanotechnology commercialisation.

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If one superimposes onto the list of the largest Indian business sectors,

nanotechnology’s potential impact on India’s economy becomes apparent. Each of these

sectors is either already, or soon will be, impacted by nanotechnology. The greatest impact

was in the 2007 to 2014 period, with technologies that are currently at development stage

(proof-of-concept type work), making the transition to the introduction stage (with first

products entering the market) and then to commercial scale (with product revenues in the

tens and hundreds of millions). Equally important is the fact that a significant portion of all

innovation in these sectors is likely to be driven by nanotechnology.

The nanotechnology has impacted all the sectors of the economy to some or

other extent. The chemical industry was initially highly impacted and then semiconductors

due to innovations of nanomaterials. The following figure 2.8 shows the impact of

nanotechnology in 2007 on different sectors and it is observed that pharmaceutical and

electronics which are least impacted. The other sectors which are impacted during initial

research phase include food, aerospace, automotive, defence etc. Initial researches were

focus on chemical and semiconductor industry.

Figure2.8: Applications of nanotechnology, 20073

Source: Business Insights, 2007

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As nanotechnology shifted from basic research to applied

research the chemical industry lag behind electronics and pharmaceutical industry. The

advancement of semiconductor industry and development of nanomaterials and

nanotube increased the impact of electronics industry. The medical and healthcare

industry is also highly impacted due to applications of nanotechnology and innovation

of nanosensors and nanotools. Since the nanotechnology is interdisciplinary so

innovation in one field may impact the applications in several other fields. Following

figure 2.9 shows the percentage of impact industry wise in the initial phase of

commercialisation of nanotechnology during 2015.

Figure2.9: Applications of nanotechnology, 20153

Source: Business Insights, 2007

As the nanotechnology moves from applied research to commercialisation the different

type of nanotechnology market in the form of nanomaterial, nanotools and nanodevices

65

is increasing tremendously. There is huge potential of the nanotechnology market and

the capacity to impact the world economy. The nanomaterial is the basic of

nanotechnology and form a major share of this market. Nanotools are the tools used for

manufacturing nanodevices and product and their use increased during initial phase and

later on it will saturate while that of nanodevices has been increasing and it is expected

to take over the nanomaterial market during commercialisation phase. This is clearly

interpreted from the below table. It highlights the nanotechnology CAGR% of the

market type from 2009 to 2015.

NANOTECHNOLOGY

CAGR%

2009 2010 2015 2010

2015

Nanomaterials 9,027.2 9,887.9 19,621.7 14.7

Nanotools 2,613.1 5,797.2 6,812.5 3.3

Nanodevices 31.0 35.4 233.7 45.9

TOTAL 11,671.3 15,720.5 26,667.9 11.1

Table 3: Global Nanotechnology Market by Type, Through to 2015 (USD $

Million) 3

APPLICATION

CAGR%

2009 2010 2015 2010-

2015

Advanced optical

nanolithography tools

2,250.0 5,400 5,715.0 1.1

Nanomanipulators 135.0 162.0 403.1 20.0

Near-field optics 47.1 52.4 89.5 11.3

Nanomachining tools 16.0 17.8 29.9 10.9

TOTAL

COMMERCIAL

NANOTOOLS

2,448.1 5,632.2 6,237.5 2.1

Developmental

Nanotools

165.0 165.0 575.0 28.4

TOTAL NANOTOOLS 2,613.1 5,797.2 6,812.5

Table 4: Global Market for Commercial and Developmental Nanotool

Applications, Through to 2015 (USD $ Million) 3

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Above table shows global market for commercial review and CAGR%

(compounded annual growth rate) growth year on year in terms of nanotool

applications. These applications include advanced optical nanolithography tools,

nanomanipulator, near field optics and nanomachining tools. Certain nanotools are

under development stage and these will boost the economy and this increasing

CAGR% of nanotools indicates the commercialisation of nanotechnology is geared up.

Figure 2.10: Global Market for Products Incorporating Nanotechnologies,

Through to 2015, (USD $ Million3

Source: BCC Research, 2010

The nanotechnology products are those which utilises nanomaterial or

nanotools and nanodevices in manufacturing or are based on nanotechnology. This

technology as moves from R&D phases to initial commercialisation stage and then to

the full fledge commercialisation the global market goes on increasing. This is clearly

stated from above graph which shows that global market for nanotechnology which

was around 12000$milion is expected to rise close to 27000$million i.e. almost doubles

in last five years. This graph signifies the increasing impact of nanotechnology in the

global economy. The commercialisation of nanotechnology will improve the

contribution to the global economy.

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As nanotechnology moves towards commercialisation the production

increases and demand for nanomaterial also increases. The application of

nanotechnology are increasing as more products are coming up due to applied

researches been commercialised by the corporate and thus global nanomaterial demand

is forecasted to increase as shown in table.

Table 5: Global Nanomaterial Demand by Type (USD $ Million) 3

S

ource: Freedonia Group, 2010

This demand of nanomaterial for different applications like metal oxides,

chemical polymers, metals, nanotubes has increased and will continue to increase in

future as shown in table. The below graph show the percentage wise demands of

nanomaterials for different applications over year on year. These nanomaterials are the

basic of nanotechnology and the innovative nature of this nanomaterial give rise to new

researches and thus new applications. There is huge scope of research for nanomaterial

and thus nanotechnology. The huge potential of nanomaterial leads to nanotechnology

commercialisation. There need to be huge fund to be made available for research in the

field of nanomaterial and nanotools. The Government and private sector need to focus

and joint ventures need to be developed among corporate at national and international

levels. Considering these factors the forecast says the requirement for nanomaterial will

rise and will impact the global economy. It is expected that this demand for

nanomaterial will rise to 9035$million by 2018 and will move to 34300$million by

ITEM 2003 2008 2013 2018 2025

Metal Oxides 266 600 1,250 2,600 7,500

Chemicals &

Polymers

136 457 1,225 3,015 11,000

Metals 45 225 670 1,800 6,500

Nanotubes 20 105 385 1,430 8,000

Other 4 13 45 190 1,300

World

Nanomaterial

Demand

471 1400 3,575 9,035 34,300

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2025.The demand for nanotube increases and that of metal oxides goes on decreasing

keeping other sector rise almost similar in ratio to total rise as replicated in the graph.

Figure 2.11: Share of Nanomaterial Demand by Type, 2003-2025

Source: Freedonia Group, 20103

APPLICATION 2009 2010 2015 CAGR%

2010-2015

Nano-HPLC 28.0 30.5 47.0 9.0

Nanosensors 3.0 4.9 20.7 33.4

Drug production and

mixing systems

0.0 0.0 16.0 --

TOTAL COMMERCIAL 31.0 35.4 83.7 18.8

Developmental 0.0 0.0 150.0 --

TOTAL 31.0 35.4 233.7 45.9

Table 6: Global Nanodevice Sales (Including Commercial Nanodevices), Through

to 2015 (USD $ Million) 3

Source: BCC Research, 2010

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Above table shows the nanodevices sales which is increasing from 2009

and rises by leap and boynds and is expected to reach almost 233.7$million by 2015. It

include nanodevices as nanosensors, nano HPLC, Drug production and mixing system

etc.The new nanodevices are under development and they will impact the world

economy as shown in above table.

BUILDING

BLOCKS

COMPONENTS END-USE PRODUCTS

Metal/

Organometalli

cs

Catalysts Fuels, Chemicals

Metal Oxides Nanoparticle coatings, UV

Block Dispersions, Chemical

Mechanical Polishing (CMP)

slurry additives

Sunscreens, Cosmetics,

High performance

coating, CMP slurries

Silicon

Quantum dots

Films and encapsulation Solar cells, in vitro

diagnostics, Gene

expression assay,

Medical imaging

Nanowhiskers Fabric coating Moisture wicking apparel,

Stain resistant apparel

Carbon

Nanotubes

Scanning probe tip, Field

emitting devices, Polymer

additives, Carbon composite

fillers, Electrodes,

Transistors

Aerospace, Displays

(experimental), Sporting

goods, Electronics, Non-

volatile memory,

Automobiles, “Super”

capacitors, Atomic force

microscope

Inorganic

Nanostructure

Coated thin films Solar cells, Displays

Organic

Molecules

Self-assembling structures Molecular memory, Solar

cells

70

Table 7: Building Blocks of Nanotechnology Used, Components and Final End-

Use Products

Above table shows the nanotechnology building blocks used to build a

component which is further utilised in the end use products. This helps in to

understanding the potential of basic building block which help in to developing the

component which can serve as a instrumental to design a end use products like

sunscreen and fairness cream, solar cells, solar panel, chemicals etc.

Based on the Nations Ranking Grid in 2008 the US and Japan continued to hold

the leadership positions. China improved its technology development capability

through increases in its R&D workforce and number of earned science and engineering

degrees. Russia improved its nanotechnology with the introduction of Rusnanotech

($780 million nanotechnology funding programme).

India when mapped onto the Nations Ranking Grid. There are two key points to note

from an Indian perspective: 1) several countries will continue to significantly fund

nanotechnology and 2) very few small nations have mounted a serious threat to break

into the dominant tier, too small to really compete with larger nations on

nanotechnology activity metrics. These small nations are now looking to exploit

expertise in particular sectors; for example, electronics for Taiwan and life sciences for

Singapore. Based on the information above, it is expected that more small nations will

adopt this approach.

2.6. Nanomaterials manufacturing becomes the province of

large companies

During the next two years, nanomaterials manufacturing will increasingly shift from

start-ups to large corporations.

Gold core

oligonucleotid

es

Reagents Bio-defence, in vitro

diagnostics

Nanoscale

porous silicon

Medical implants Drug delivery, in vivo

diagnostics

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Electronic materials increase in importance

Two nanomaterial applications with the greatest corporate R&D interest are

New transparent conductors, based on carbon nanotubes (CNTs) or silver nanowires, to

replace indium tin oxide (ITO) in displays and 2) barrier films to keep oxygen and

water away from sensitive electronic components in uses like organic light emitting

diodes (OLED) displays and flexible solar cells. It is expected that through to 2012,

speculative actions will make this market space crowded.

Nanotechnology funding reaches its peak

As government-funded facilities and initiatives mature, government funding

specifically for nanotechnology is likely to level off. Also, given the range of other

emerging technologies diversified firms need to explore, nanotechnology will never

command more than a certain percentage of their R&D budgets, perhaps as high as 50

percent in the semiconductor industry, but rarely more than 10 to 20 percent otherwise.

As a result, corporate funding will hit a natural limit. Similarly, venture capital (VC)

funding cannot grow forever and will soon level off or drop. All told, sometime past

2015, total funding for nanotechnology R&D will reach its peak, staying flat or slightly

declining thereafter.

2.7 Nanoscience and technology: An Overview on India

The desire to harness cutting edge science and technology for enabling development

has prompted global interest in emerging technologies such as information technology,

biotechnology and of late nanotechnologies. Nanotechnology aims to harness the

unique properties of things at the nanometer scale (one billionth of a meter) that are not

displayed by their larger counterparts. Nanoscience generally deals with understanding

the “nano” phenomenon and includes the investigation of the properties of various

nanomaterials, control and manoeuvring of matter at the nano scale. On the other hand

nanotechnology involves using tools and methods for the synthesis, analysis,

manufacture and application of materials, products and systems that are at the

nanometre scale or incorporate facets of the same dimensions. However the term

“nanotechnology” is by and large used as a reference for both nanoscience and

nanotechnology especially in the public domain. Nanotechnology is based on the

convergence of several disciplines ranging from chemistry, material science, physics,

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biology and engineering. Cutting across several disciplines nanoscience and technology

lends itself quite naturally to being merged with other technologies facilitating

enhanced scientific and technological prospects and applications. For that reason inter

and transdisciplinary research is in most cases a characteristic feature of the R&D

undertaken in this field. In fact several experts have called for the use of the term

“nanotechnologies” instead of “nanotechnology” as the field does not pertain to a

single kind of technology intervention but encompasses several diverse applications.

The potential of the convergence of emerging technologies such as nanotechnology,

biotechnology and information technology has created a great deal of speculation and

even conviction about the advantages it could bestow on mankind.

2.7.1 Global context; reasons for developing country engagement

Nanotechnology promises to deliver novel products and processes or enhance the

performance of existing ones across sectors. They include interventions in a range of

domains like water, energy, health, agriculture and environment that could enable

solutions to several development related problems especially in developing countries.

Several industry related sectors like pharmaceuticals, electronics, automobiles, textile,

chemicals and manufacturing sector, information technology and communications as

well as biotechnology appear poised to gain from nanotechnology applications. Though

shrouded in a lot of hype, less sanguine forecasts also suggest that this technology

could drive innovations and transformations that are unlike any that the world has

witnessed in the context of technologies. Markets worth US$ 1 trillion have been

forecasted in 2015 though this could be subject to the development of clear markets,

reduced costs and large scale manufacturing for nano applications. Thus it appears that

nanotechnology could impact social development, economies and businesses the world

over. Consequently the lure of using nanotechnology as a tool to enhance industrial

competitiveness and national development in this globalised world has laid the

foundation for a race amongst several countries to acquire and develop capabilities to

harness this technology. Simultaneously a view that is fast becoming widespread in the

global community is that in context of research and technology development,

developing countries have the rare opportunity in nanotechnology to “leap frog” in

terms of scientific progress. Developing countries in general have been restricted in

their ability to build S&T capability and engage in R&D in the manner of developed

nations. Experts believe that albeit witness to some good even excellent research, India

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is to a large extent several years behind countries like the US, EU and even developing

countries like China and some other East Asian countries in the context of R&D and

S&T capability. Sometimes, areas of prime technological relevance have been entirely

bypassed (e.g. semiconductor revolution). Therefore in order to bolster the nation’s

science and technology resource the policy making establishment appears to want to

promote R&D in cutting edge science that in several areas including biotechnology,

advanced materials and nanotechnology. Since nanoscience and technology is still

emerging, it provides developing nations with opportunity to not only catch up with

their developed counterparts but also offers the possibility to develop an advantage in

core areas. Worldwide, public sector research and development in the nanotechnology

sphere is thriving in several developed and well as developing nations. A growing

number of private players are also either investing in core areas in this field or are

cautiously testing the rapidly changing “nanowaters” with a view to invest in the future.

There is an emerging market for nanoproducts and applications at the global platform;

however the majority of products in the market (close to 700) are largely tailored to

high end or luxury oriented consumer products such as textiles, sports goods, cosmetics

and home furnishings. Nonetheless, it is believed that nanotechnology applications can

also provide solutions that could help solve some of the world’s most pressing

problems especially those faced by developing countries such as access to clean water,

promotion of renewable energy, increasing agricultural production and efficiency of

food storage and finding solutions to several diseases plaguing developing country

populations. Consequently it has been proclaimed that nanotechnology might act as a

key potential tool in serving to attain the Millennium Developmental Goals and solving

several problems. Anticipating its potential as a tool to effect social and economic

development as well as the opportunity it brings with it to engage in the forefronts of

science and technology has led several developing countries to lay emphasis on

nanoscience and technology. Public investments and strategic nanotechnology

initiatives have been undertaken in countries like India, China, Brazil, South Africa and

Korea. Other African countries like Zambia, Ethiopia and some others also appear to

have initiated some level of engagement with this technology.

2.7.2 Predominant role of the public sector in nanotechnology in India

In India the nanoscience and technology undertaking has primarily been a government

led initiative. Promoting nanotechnology and capacity building initiatives including

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investments, establishment of infrastructure and facilitation of public private

partnerships are largely being directed by national policy making agencies. In most

countries around the world either developing or developed, the initial impetus for

nanotechnology has come from the national governments. It has been observed in the

context of emerging technologies that governments have usually lent a large helping

hand during their initial development because it is usually a while before prospects of

commercial feasibility become apparent and market forces can drive their growth. In

the case of a developing country like India, the trajectory of nanotechnology might be

largely dependent on government initiatives and support for several reasons. India

views building capacity in S&T including nanotechnology as a way to improve its

socioeconomic condition, industrial competitiveness and its position as a key player in

this globalized world. This would oblige the state to play a significant role in

developing and harnessing this technology. Alternatively, national scientific and

technological endeavours are challenging undertakings. Developing R&D capacity in

nanoscience and technology might however be a rather more complex enterprise due to

its complex scientific and technological dimensions, multidisciplinary nature, cost

intensiveness and an enabling characteristic that promises to facilitate ubiquitous

applications across sectors. These dimensions amongst others pose important junctures

at which government’s role will be crucial for building capability. For example

nanoscience and technology compels that large efforts are made at understanding the

fundamental aspects in the “nano” context that might bring forth new principles and

tenets. Understanding the science behind the technology is vital for successfully

advancing the realm of nanotechnology. This makes basic research a prerequisite for

indigenous technology and application development, unless a country decides to

depend on licensing technology from nations (usually developed countries) that are

engaging in basic research leading to subsequent technology development. In this

regard as frequently observed especially in developing countries, it is the government

that bears the responsibility for initiating, directing basic research in various fields.

Moreover since nanotechnology involves manipulation at extremely small scales,

sophisticated infrastructure and instrumentation capacities become an important

prerequisite to conduct R&D. Together with this, application development in

nanotechnology necessitates the training of human resource base in multidisciplinary

aspects of this technology as well as the creation of interdisciplinary environments for

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R&D. These actions require heavy investment and strategic planning at the national

level that is usually a function of the government since it has access to public money

and resources required to build capacity of this nature. Despite these measures nanotech

research in could entail long gestation periods, risk of technology failure and ensure

markets. Especially in developing countries these risks along with the high cost

research and infrastructure development prevented significant industry and venture

capital (VC) participation in nanotechnology R&D. The nanotechnology industry is in

its infancy in India although it appears to be emerging with companies like Dabur

active in nanodrug delivery, Mahindra and Mahindra looking at nanomaterials for

enhancing the performance of automobiles, Tata chemicals researching nanopesticide

delivery mechanisms and ICan nano developing paints and coatings incorporating

nanomaterials. However it is felt by the Indian S&T establishment in general that the

concept of “directed basic research” undertaken or initiated by industry (in partnership

or not with public entities) in developed nations is in its infancy in India. Since the

sustenance of private companies hinges on their ability to generate profits, SMEs

especially cannot be expected in a developing country scenario to engage in basic

research. The government on the other hand through its R&D governing agencies has

the capacity to undertake together with applied research its basic equivalent that

focuses on knowledge generation rather than application development and builds a

foundation upon which technologies can be built. Focus on as well as funding for high

risk yet cutting edge technology development (which in some sense might describe

R&D in nanotechnology) can also be scribed into national S&T agendas by

government agencies since they have the flexibility to further the cause of science apart

from emphasis on conventional technology development. The industry on the other

hand might be hesitant to invest large amounts in this direction. Moreover national

agencies with nanotechnology related mandates also have the capacity to be

instrumental in enabling public-private partnerships and encouraging industry

participation which is vital to the process of technology development in the nano arena.

Although this area has been under-capitalised to a large extent in the India context,

there exist institutional mechanisms to develop greater industry participation in public

funded R&D for technology development. In the global domain in nanotechnology, the

800 or so products on market shelves comprise largely of products such as cosmetics

and sunscreens, clothing, personal care products, sports goods, home and garden care

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products, electronics and kitchenware and appliances etc. Most of these products are

geared towards higher end markets and cater to the rich class. Applications that serve

sectors like water and health such as water filters and diagnostic kits for infectious

diseases are in insignificant numbers in this list. However it is well known that

nanotechnology poses vast opportunity and potential for catalyzing basic and

application oriented research in several spheres that could aid social development

(water, energy, health, agriculture, environment etc). In developing countries where it

is imperative that science and technology is used to address development concerns, it is

public agencies that will or could be encouraged to develop nanotechnology with a

view on national priorities. In such a scenario government initiatives and investments

into areas of research that are “noncommercial” are needed to ensure nanotechnology

harnessed to solve for socially relevant problems. On the other hand the private sector

might focus technology development in commercial and niche areas. In fact the

recently launched Nanoscience and technology mission specifies that one of its aims is

to develop applications that serve sectors like health, water and agriculture. Indeed

public funded projects have been instrumental in developing nanomaterial based water

filters (IIT Chennai, ARCI) as well as diagnostic kits for tuberculosis (CSIO) and

typhoid (DRDO and IISc). Moreover IIT Bombay that has been developed as a Centre

of Excellence in nanotechnology has developed the iSenseor biochip that can allow the

early detection of heart attack. The Agharkar institute is also developing a therapeutic

nano-silver product that has antimicrobial activity and for which clinical trials are being

considered. Also at the University of Delhi, the Department of Chemistry has focused

on developing nanoparticle encapsulation for steroidal drugs delivery for molecular

applications. This technology is being transferred to the industry for commercialisation.

For these significant reasons developing countries like India sees the national S&T

policy agencies assuming the prime responsibility of investing and strategizing the

development of nanoscience and technology. This has necessitated that ministerial

departments involved in shaping the S&T and related R&D capability of India -the

Department of Science and Technology and others such as the Department of

Biotechnology (both under the S&T ministry) and Department of information

Technology- catalyze and lead the nanotechnology R&D initiative. Such agencies have

therefore become the nucleus/hub for decision-making and implementation strategy for

nanotechnology development and management. Therefore it appears that the national

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S&T agencies and the approaches they take during the course of developing

nanotechnology will play an instrumental role in the emergence of this technology in

India and its trajectory.

2.8. Aspects governing R&D capacity building in nanoscience and

technology.

Building capacity in a novel, emerging and complex technology like nanotechnology is

a challenging task that the government and policymaking agencies take upon

themselves. India while performing exceedingly well in certain technology domains,

like space technology for example has also missed out on harnessing important areas of

R&D- semiconductor technology. Taking into account its enormous socio-economic

potential, the Indian S&T establishment aims to become a key global player in

nanoscience and nanotechnology. In the race amongst developed and developing

nations to garner nanotechnology’s benefits, it would mean getting “nanotechnology

right the first time” making the role of R&D policymaking agencies all the more

significant. Every country provides a unique backdrop for the evolution and

development of nanoscience and technology given its S&T history, local context and

priorities. Given that India since its independence has had to rely on a bottom up

approach to develop capabilities in various technologies, the national S&T agencies

and their policies have played an important role in shaping the present scenario in this

domain. Therefore the path that nanotechnology charts in India must be seen in the

backdrop of India’s the existing S&T environment not be visualised in isolation.

Developments and approaches that define nanotechnology’s trajectory in India will

draw from available S&T milieu. For example India has been considered as having a

stronger science rather than an engineering background. Therefore while basic research

is seen to thrive in India, application development is an area that has in general not

flourished. The Nehru era that saw the bolstering of Indian S&T also laid the strong

foundation for developing universities and S&T institutes that form the backbone of the

system that churns record numbers of science and engineering graduates. On the other

hand India has largely lacked the environment that creates active and efficient public-

private participation in R&D that facilitates speedy technology development and

commercialisation. Additionally it is also largely recognised that the era of tight fisted

R&D budgets is that of the past and the government has dramatically increased its S&T

spending. Yet several experts feel that the bureaucratic manner in which fund allocation

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has been controlled begs for a creation of a new body that directs the management and

disbursement of monies for basic research. Therefore several contradictions mark the

Indian S&T system that has largely been governed by national agencies designated to

oversee the building of R&D capacity in India. These scenarios that have been

determined by the measures and policies in national S&T framework will have

implications for any technological endeavour undertaken in the country. Thus the

nanotechnology initiative undertaken by the country must be viewed in the light of

existing frameworks as they will be defined and guided by developments therein. The

national nanotechnology program must certainly try to leverage core strengths of the

Indian scientific establishment towards building capacity in R&D in this field.

However contemplation of the gaps and impediments that the S&T system has

witnessed in the past as well as the challenges that nanotechnology poses to building

R&D capacity due to its complex nature might allow novel or previously under-

emphasized approaches to be assumed. In all of this the role of the national R&D

policy agencies and central and state governments are of prime importance. The R&D

policymaking arena of India is complex with many agencies contributing to the growth

of R&D and its development. The functions of the national agencies that govern R&D

capacity building in the science and technology usually assume the following

dimensions: investments, promotion of R&D, facilitating technology development and

industry participation establishing infrastructure, developing skilled human resources,

forging national and international collaborations. Moreover the Indian nanotechnology

landscape has characterised by several rapid developments from seemingly diverse

directions. While policy decisions lead to a gamut of developments, in general,

expansion and progress in the field of nanoscience and technology might also govern

policy decisions. Both these would in turn bear implications for the national

nanotechnology framework and trajectory.

2.8.1 Key players involved in Nanotechnology development

Nations try to harness the potential offered by modern science and technology to its

socio-economic needs. In order to realize this, a wide range of organizations and

practices are required. Science and technology organizations, such as universities,

research institutes and public research and development organizations constitute an

important component of the science and technology system of a nation. These are the

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sites where knowledge with potential for technological innovation is generated.

Further, industries constitute an important arena in which the knowledge is translated

into goods and services.

Figure 2.12 Mapping of stack holders in Nanotechnology in India37

Source: http://nanomission.gov.in

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They also tend to be the institutions whose products are used to fulfil social

needs. It goes without saying that organizations like government agencies and

departments, patent offices, and funding organizations (both public and private) are

equally important in this regard. The above mentioned organizations perform critical

functions like R&D, the provision of technical services, and the development of policy.

The emergence of nanotechnology in India has witnessed the engagement of a diverse

set of players, each with their own agenda and role. Together they shape the trajectory

of nanotechnology in the national context. In what follows, we provide an overview of

the key players involved in the emerging area of nanotechnology in India. Figure2.12

maps the key players engaged in nanotechnology in India. Nanotechnology in India is a

public driven initiative. Industry participation has very recently originated.

Nanotechnology R&D barring a few exceptions is largely being ensued at publically

funded universities as well as research institutes. Therefore policy agencies and R&D

organisations are the key players in the national context. Government agencies DST,

the nodal department for organising, coordinating and promoting S&T activities in

India is the chief agency engaged in the development of nanoscience and

nanotechnology. It is at the helm of the principal program, the Nanoscience and

Technology Mission (NSTM) established to develop India as a key player in

nanoscience and technology. While it will steer this initiative between the years 2007-

2012 it also hosted the flagship program, the Nanoscience and Technology Initiative

(NSTI) that was pioneered in 2001 until 2006. Aside DST, several other agencies with

diverse mandates is also actively engaged in supporting nanotechnology in the national

arena. This follows from nanotechnology’s ability to configure itself to several

disciplines as well as serve multiple sectors. DBT that is involved in developing and

supporting biotechnology in India is keenly supporting research at the junctures if

nanotechnology and the life sciences. CSIR, a network of 38 laboratories that engages

in scientific and industrial R&D for socio-economic benefit has also commissioned

R&D in nanotechnology in diverse areas. While these three agencies are under the

Ministry of Science and Technology, DIT under the Ministry of Information and

Communication Technology as well as ICMR under the Ministry of Family Health and

Welfare is also supporting the expansion of nanotechnology in the areas of electronics

and health respectively. The Ministry of New and Renewable Energy (MNRE) is also

supporting nanoscience and technology in India to utilize its potential in developing

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renewable energy sources like photovoltaic and fuel cells etc. Additionally DRDO, a

network of 50 laboratories under the Ministry of Defence as well as the Department of

Atomic Energy (DAE) that’s placed directly under the Government of India are also

contributing to the expansion of nanotechnology in India. While DST appears to be

playing the most significant role in developing the nations capacity in nanotechnology

the other aforementioned agencies are also instrumental in shaping its trajectory though

their roles might be smaller than the former’s. Aside these agencies, others like ICAR

under the Ministry of Agriculture as well as the Ministry of Commerce and Industry

have shown interest in engaging with nanotechnology in India, though they are not yet

actively involved. However both these agencies might have important roles to play in

nanotechnology domain in the near future. ICAR representatives have already been

involved in developing a strategy for initiating Report of the Task Force, Ministry of

Commerce and Industry, Department of Commerce, Government of India,

nanotechnology based R&D in the field of agriculture. On the other hand as industry

engagement with nanotechnology expands in India, an increased participation of

Ministry for Commerce and Industry might be observed.

2.8.2 Other policy agencies that might be interested in nanotechnology.

The development of nanotechnology based sector wise applications like nano-textiles

in India might also facilitate the involvement of other ministries such as the Ministry of

Textile. Further R&D in the areas like water and food processing is encouraged by

either DST or DBT. However other ministries like the ministry of Water Resources and

the Ministry of Food Processing Industries that hold these portfolios might also aid in

the development nanotechnology through the wealth of information and experience that

they possess in their niche areas as well as in creating networks. Additionally as the

potential for utilising nanotechnology to address developmental needs and help rural

masses is realised the Ministry of Rural development might aid in assessing the

feasibility of these technologies in rural setups as well as in their diffusion. However at

present the participation of these agencies for nanotechnology development appears

unlikely given the lack of coordination observed amongst policymakers across various

agencies. On the other hand the pervasiveness of nanotechnology and uncertainty about

its impacts necessitates that environmental health and safety issues of EHS are

addressed. In this context research that informs stakeholders on the toxicological and

risk implications of nanomaterials and applications is crucial. While a few such studies

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have been commissioned by DST and DBT, a much larger role in identifying research

gaps in this area as well as in regulating this technology as described in the report on

‘Regulatory challenges of nanotechnology in India’ might be undertaken by the

Ministry of Environments and forests. Incidentally the MOEF aids both policy research

as well as applied research in the areas of pollution control and clean technologies

while the Ministry of Health and Family Welfare does have a wing that looks into

issues of occupational health. Additionally in the task of building capacity in the human

resources department that the Ministry of Human Resource Development might support

DST through some initiatives. While DST focuses on developing human resources and

post graduate and doctorate levels, the former could evolve school curricula to

introduce nanotechnology at probably a higher secondary level as well as train teachers

in this sphere. In fact the Ministry of Human Resources appears to have financed some

nanoscience and nanotechnology related projects at IIT, Mumbai in the years between

1999 and 2003.

2.8.3 Public sector R&D institutions

Public sector R&D institutions play a predominant role in nanotechnology R&D.

Research in nanoscience and nanotechnology is being carried out in various academic

and scientific institutions. Foremost are the, ‘Centres of Excellence (CoE) for

Nanoscience and Technology’ established under the NSTI by DST. The CoEs consist

of eleven “Units of nanoscience” that were created to pursue basic research in several

broad areas of nanoscience/ nanoscale systems and technology (Figure 2.13). Whereas

seven “Centres for nanotechnology” were also initiated that could focus on R&D in

niche areas or in specific dimensions such as nanoelectronics (IIT Bombay) or

nanoscale phenomena in biological systems and materials (Tata Institute of

Fundamental Research-TIFR). The “Centres” seeks to undertake R&D to develop

specific applications in a fixed period of time. Another “Centre for Computational

Materials Science” has also been established. On the whole the 19 CoE have been

spread across 14 distinct institutions. Discussion with policy makers has led to the

understanding that these centres of excellence have been set up primarily at those

institutes that either have been engaging in nanotechnology based R&D prior to their

establishment or have developed the resources to do so. The S.N. Bose National Centre

for Basic Sciences (SN Bose NCBS), Association for the Cultivation of Science

(IACS), the Indian Institute of Science (IISc), Jawaharlal Nehru Centre for Advanced

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Scientific Research ((JNCASR) and IIT Kanpur, ach host a Unit of Nanoscience as

well as Centre for Nanotechnology. These CoEs as well as the others at IIT Mumbai,

Chennai and Delhi are considered amongst the leading institutes for nanoscience and

technology research. Altogether the CoEs comprise of autonomous institutes,

universities (central, state, deemed and private) as well as a CSIR institute. However

autonomous institutes (the IITs, IACS, SN Bose NCBS and SINP) are the largest

represented group in the CoEs followed by deemed universities (IISc and JNCASR).

Amongst the other universities the University of Pune and Banaras Hindu University

host two CoEs while NCL, the CSIR laboratory hosts one. Incidentally it has been

observed that in India that while the bulk of the R&D is undertaken in and developed at

autonomous research institutes, only 3% of R&D activity is assumed in the university

system of India. Autonomous institutes have been observed to possess the requisite

infrastructure; human resources as well as well funding and international collaboration

mechanisms that enables them to engage in cutting edge research. However some

scientists do feel that R&D in nanoscience and technology must be promoted at central

and state universities since that allows an opportunity for students undertaking

bachelors and masters programs to engage with this emerging technology. With this in

mind DST has on the other hand been aiding the establishment of other centres for

nanoscience and technology related R&D. In fact 3 institutes of nanocience and

technology (INST), one each at Bangalore, Kolkata and Mohali are being considered

and in 2008-2009 funds for the latter have been provided (Nanomission website). The

institute at Bangalore has been established in joint partnership with JNCASR and IISC

while the other two are to be created in partnership with Indian Institute of Science and

Technology (NIIS&T) (to be developed by the human resources development (HRD)

ministry) and the National institute of Technology. Together the CoEs and the INSTs

are being developed as specialised centres to address the complexities of engaging in

diverse R&D in the nanoscience and technology domain. Therefore the aim is to

develop a conglomeration of “50-60 science and technology units including IITs and

NITs to facilitate the creation of “nano clusters across the country”. Therefore in order

to expand the R&D base for nanoscience and technology DST has provided support

and financial assistance for setting up in house centres at various research organizations

and universities.

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Source: http://nanomission.gov.in

Figure 2.13 Centre of Excellence established in India in Nanoscience and

Nanotechnolog37

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Aside from DST, the DIT has also supported the establishment of a Centre of

nanoelectronics at IISc Bangalore and IIT Mumbai. An amount of Rs.99.80 crore will

be invested in this centre for duration of 5 years. Another DIT supported project-

Generic Development of Nanometrology for Nanotechnology was undertaken at NPL,

New Delhi was also developed that will focus on developing calibration and other

techniques. An amount of Rs.11.308 crore has been allocated for this purpose for 4

years. It is intended that facilities at these centres would be available to other

researchers and industry as well. DBT also appears to be interested in developing

centres of excellence in nano biotechnology. Aside these institutes, others involved in

nanoscience and technology include CSIR labs like CCMB, NIPER (Chandigarh) as

well as universities like the University of Delhi. Since the CoEs as well as the others

centres are being created in locations across India, it might contribute a de-centralised

approach to capacity building in nanotechnology in India. Both Bangalore and Kolkata

that host 5 CoEs and a proposed INST each appear to be developing in hubs for

nanoscience and technology. Since Bangalore is already a known centre for IT and BT,

its focussed involvement in nanotechnology might enable a confluence amongst these

emerging technologies which in turn might spark innovation and multidisciplinary

R&D. On the other hand aside Bangalore the other cities in southern India- Chennai,

Madurai and Cochin – all of which are witnessing increasing involvement this

technology might enable a larger hub for nanotechnology development, especially as

they are geographically close to one another. Incidentally, states like Tamilnadu,

Maharashtra, Karnataka and Kerala are amongst the top five states that churn out the

majority of engineering graduates and also individually harbour the most number of

engineering institutes in the country. This would augur well for the development of

applications and devices in the nanotechnology domain.

2.8.4 Industry

Besides public sector R&D institutions, there are a handful of companies in India that

are engaged in research and product development on nanotechnology such as, Cranes

Software International Limited, Monad Nanotech, Velbionanotech, Innovations Unified

Technologies, Qtech Nanosystems and Naga Nanotech India. Also, leading companies

like Reliance, Tata Group and Mahindra and Mahindra are making investments in this

emerging area. Cranes Software International Limited has research set up for MEMS

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and Nanotechnology at India's leading institutions like the IISc, Bangalore.

Velbionanotech, ranked ASIA's Top 100 Bionanotechnology companies by Red

Herring in 2005, is designing drugs for various diseases such as heart disease, kidney

stones, AIDS, cancer, cosmetic generic products. These drugs are assembled in

nanochips and as nanoparticles for delivering in human body. Monad Nanotech is

another company producing carbon nanomaterials (CNM) commercially using low cost

production technology developed at IIT Mumbai. Besides its involvement in the

synthesis of carbon nanomaterial, the company is also working on their futuristic

applications. Monad Nanotech has been supplying many nano materials to the research

organizations in India. Besides doing research and development and producing nano

materials, Monad Nanotech has taken up the agency of Shenzhen Nanotech Port Co.

Ltd., (NTP) China for sales rights in India and Canada. Similarly Monad has taken the

agency of Meijo Nano Carbon, Nagoya, Japan for world marketing rights for its

products excluding Japan. Innovations Unified Technologies conceptualized by a group

of IIT Bombay alumnus, having specialization in nanotechnology, working on to

supply small and bulk quantities of MWNT/SWNT produced by its pilot plant in three

different grades. Qtech Nanosystems is a "technology incubation enterprise" focused on

making products based on nanotechnology. It is engaged in product development and

commercialisation for Nanopositioning stages for nanotechnology and other varied

precision applications.

2.8.4 Non-government organizations

There are non-government organizations working to act as bridge between academia

and industry in nanotechnology. The Nanotechnology Research and Innovation

Foundation (IndiaNano) is one such non-profit organization supported by academic and

industry experts aimed at developing a platform for real-time strategic collaboration

between diverse groups in order to harness the benefits of progress in advanced

technologies, including nanotechnology. This initiative is seed funded by India Co, a

private equity investment holding company that invests in hi-tech companies that can

access global markets and supported by National Chemical Laboratory, Girvan Institute

of Technology and The Centre for Materials for Electronics Technology. The

IndiaNano has "Innovation Acceleration Network (IAN) designed to bridge the gap

between invention and commercial reality, by providing pragmatic support for

technology entrepreneurs in the areas of Operations, Intellectual Property Management,

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Business development and Technology Transfer so as to create ventures that could

compete in global markets. In January 2006 the Nanotechnology Research and

Innovation Foundation and the Regional Research Laboratory, Trivandrum RRL-T)

have forged a strategic partnership that will allow the pooling of their respective

expertise and thereby facilitate the commercialisation of technologies within RRL to

the industries in India and across the globe. The Nano Science and Technology

Consortium is another organization that works to create a platform conducive for the

growth, promotion and partnering in the field of Nano Science and Technology taking

together industries, academics and government through consultative, advisory and

educative processes which will provide growth platform for organizations, academics

and governments for harnessing the nano potential at global level. It is a non-

governmental, industry-managed and promoted organization with a role of facilitator

for nano developmental processes.

2.9 Key government programmes

2.9.1 Department of Science and Technology

While developing capacity in nanotechnology is largely a recent national undertaking,

support for R&D in the nano realm is not entirely new. As far back in the 6th Five Year

plan (1980-1985) DST launched their program “Intensification of Research in High

Priority Areas” (IRHPAS). This program (which over the years is said to have had a

tremendous impact on the national scientific establishment in terms of the quality and

quantity of work) appears to have also included support for work in nanomaterials. One

of the earliest nanotechnology initiatives in the policy-making arena was in 1997, when

DST created a committee under Prof. D Nagchoudhary that looked into the prospects of

this emerging technology and fund research for 3 years. In fact SERC under the DST

had during this period initiated a program on Nanocrystalline materials (focusing on the

synthesis and properties of nanomaterials), which once again supported projects on

nanoscience such as those. This period was characterized by the initiation of such

relatively small nano specific programs that oversaw and supported nanoscience

research. This apart other general programs that did not have nanoscience as their

prime focus also continued to support this kind of research as long as it fitted into its

scope. For instance the National Programme on Smart Materials (NPSM), a 5 year

programme funded for US$ 15 million was launched jointly by five Govt Departments-

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DRDO, CSIR, DOS, DST and MIT in the year 2000 focused on aerospace and

biomedical spheres. Few of the forty projects dealing with smart materials, sensors etc

in these spheres included research on nano dimensions. It has been observed that the

NPSM acted as “a catalyst and model for several independent initiatives in micro- and

nano- technology areas”. Program on Nanomaterials: Science & Devices Around the

same time (2000-2001) DST set-up an Expert Group on "Nanomaterials: Science &

Devices" and reached the following conclusions:

_A good scientific base exists in the country in physics and chemistry of nanomaterials;

_To sustain the progress of research activities in the area of nanomaterials, there is a

need for nano-scale structural characterization facilities to be set up in the country;

_While open-ended basic research in nanomaterials is very important (and which has

been and is being pursued with the help of existing mechanisms), it is equally important

to intensify efforts to generate, formulate and support end-to-end goal-oriented projects

by utilising the expertise and facilities already available in the country;

_Considering the existing expertise and the need for application potential, the chemical

route and other cost effective routes for preparation of nanomaterials need to be

focused upon. In particular, the following application oriented areas should be chosen

for intensifying promotional efforts - (a) nano sized ceramics; (b) nanomaterials in drug

delivery systems; and (c) nanotechnology for water purification system.

These recommendations paved the way for the “Nanomaterials: Science and Devices”

program that sought to generate and support some end-to-end projects leading to

tangible processes, products and technologies in the sphere of nanotechnology. Special

emphasis is being laid on projects aimed at solving important national problems like

pure drinking water, alternative energy sources, energy conservation, etc. and value

addition of materials. One of the first projects evolved under this program is on targeted

gene delivery using inorganic nanoparticles as nonviral vectors. This program was to

run in parallel with DST's

support to basic research in nanomaterials. Nanoscience and Technology Initiative

(NSTI)

Initiated in 2001, the NSTI has served as the primary vehicle for India engagement with

nanoscience and technology. Though modestly funded, this program spearheaded

capacity building in this arena at the national level. The NSTI took root when the

Government of India identified the need to initiate a program that focused on

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nanoscience and technology in the 10th Five Year Plan. In this context it was felt that

there was a need to evolve a framework for a “National Initiative on Nanomaterial

Science & Technology”. Thus DST set up a National Expert Committee and a strategy

paper was evolved for supporting on a long-term basis both basic research and

application oriented programs in nanomaterials. A panel on nanotechnology was

established under the guidance of Prof. C.N.R. Rao, and these helped crystallize the

Nanoscience and Technology Initiative (NSTI) (table 8).

The focus areas of the NSTI were to

_ Support R&D projects in nanoscience and technology

_ Establish Centres of Excellence and strengthen characterization facilities

_ Develop human resources

_ Investigate and encourage international collaborative programs

_ Initiate joint Institution Industry Linked projects and

Public Private Partnership activities

Table 8: Thrust of the Nanoscience and Technology Initiative (NSTI):

Research Areas Focus

Research Areas - Synthesis &

Assembly

Ceramic nanoparticles, Nanotubes,

Nanowire, Nanoporous solids, DNA chip,

Nanostructured alloys, etc. Main focus on

chemical methods / routes to synthesize

these materials.

Characterization Facilities -

Routine & Advanced

measurements

Less expensive pieces of equipment for

routine characterization for individual

research workers (e.g. ordinary

STM/AFM, Light scattering etc.)

Facilities / equipments for advanced

measurements

Few centres to be established with major

facilities (eg. Combined AFM-STM-SEM

Instrument, Near Field Microscopy,

Optical Tweezer)

Applications Nanolithography & Nanoelectronics

Drugs / Gene targeting, DNA Chips

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Nanotubes

Nanostructured high strength materials

Quantum structures

Education To Train Manpower Advanced Schools

International / National symposium

Postdoctoral Fellowships in Nanoscience

& Technology

Industry - Linkages with

Industry

Interaction with Industry

Nanopowder /Nanoparticle production

Nanoelectronics

Surface processing

Drug Delivery

Source: http:/nanomission.gov.in

Since the commencement of the NSTI, the S&T landscape witnessed a slew of

developments that have served to build foundation for the country in the nanoscience

and technology domain. The NSTI was characterised by tremendous support for

nanoscience and technology related research in terms of financing projects, developing

laboratory infrastructure and international collaborations. Of prime importance was the

decision to develop and establish “Centres of Excellence” in nanoscience and

nanotechnology. To take forward the latter initiatives like public-private partnerships

and joint institute industry linked projects were materialized. Several projects of the

kind have been initiated with countries in the EU and Asian region apart from others

like USA and are being pursued. During the NSTI reign meetings and brain storming

sessions such as the one on nano- technology initiatives chaired by Dr Chidambaram,

PSA to Govt of India, 2003 and the National Brainstorming Workshop on Nano

Technology Initiatives by the Ministry of Commerce and Industry, Establishment of

Nanotechnology at the National Institute for Pharmacology Research, 2006 were

conducted. In fact during this period, Dr Kalam, the nations then president and

renowned space scientist assumed the role of promoting nanotechnology at several

national academic and other forums. His pro nanotechnology oratory and stance

coupled with vision for establishing India as a “nanotechnology hub” has influenced

policy makers and academia to strenuously emphasize on this emerging science and

technology.

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2.9.2 Nanoscience and Technology Mission (NSTM)

While NSTI was in progress there was an emergence of the need of a “mission mode”

initiative that would build on NSTI’s foundation and propel the nation towards

strengthening its nanoscience and technology capability. In fact a meeting between

organized by Dr Kalam with experts in 2004, a proposal to conceive a national mission

on nanoscience and technology with a larger sum of investment million was discussed.

Though clear objectives were not specified an outcome of the meeting was a

recommendation for the creation of five contemporary national facilities and mini

centres for nanoscience and technology. These discussions and meetings sowed the

seeds of the conception of a national nano mission along with the encouraging progress

observed during the NSTI period facilitated the conception of the Nanoscience and

Technology Mission around 2006. The NSTM commenced in 2007 and is planned until

2012. The Nano Mission Council that is presently chaired by Prof. C.N.R. Rao

(National Research Professor and Honorary President & Linus Pauling Research

Professor, Jawaharlal Nehru Centre for Advanced Research, Bangalore) guides the

NSTM. DST was assigned as the nodal agency for its implementation. The mission

seeks to strengthen national capacity, leverage the progress made during the tenure of

the NSTI and forge ahead in making India a globally strong player in this emerging

field. The aim is to expand the national support base in terms of research and

technology development, infrastructure, human resource development, collaborations

and public-private partnerships. The mission together with setting its sights on building

capability in nanotechnology has also articulated the aim of harnessing this

technology’s potential for national development. It is believed that the NSTM (table 5)

will handle the activities previously undertaken by the NSTI, will take forward its

initiatives and instigate new developments to enhance the national nanoscience and

technology endeavour. The focus area and objectives of the NSTM are as follows.

_ Basic Research Promotion

_ Infrastructure development for nanoscience and technology research

_ Nano applications and technology development programs

_ Human resource development

_ International collaborations

Table 9 Thrust of National Nanoscience and Technology Mission (NSTM)

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Research Areas Focus

Research and

application

Research programs

Basic and applied research in development

sectors such as water, health care,

agriculture, industrial products, textiles

Leveraging of multidisciplinary approach

for innovation in nanoscience and

technology

Infrastructure Centres for nanoscience and technology

and nano-clusters Sophisticated

instrumentation facilities

Technology

development

Promote programs and projects for tech

development- products, devices

Strengthening public-private partnerships,

institute and industry linked projects

Promoting nano-entrepreneurship -

founding business incubators and

developing a research and industry

collaboration hub (RICH)

Human resource

development

Training researchers for interdisciplinary

research in nanoscale science, engineering

and technology

Courses for science and engineering

graduates to pursue post-graduate

education in nanoscience and

nanotechnology

National and international postdoc

fellowships, chairs in universities

Collaborations Exploratory visits, Joint projects,

workshops and conferences Access to

sophisticated research facilities abroad

Establish joint centres of excellence

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International level industry academia

partnerships

Source: http:/nanomission.gov.in

The NSTI and NSTM are believed to be the primary source through which DST has

supported nanoscience and technology projects.

2.9.3 Department of Information Technology

At the Department of Information Technology, the Nanotechnology Initiative Division

was constituted under their Electronics R&D focus area. This division hosted the

launch of the Nanotechnology Development Program in 2004. The areas of concern

under this program were primarily (i) infrastructure development in the spheres of in

nanoelectronics and nanometrology and (ii) support for small and medium R&D

projects under the areas of nanomaterials, nanodevices, carbonnano tubes (CNT),

nanosystems, nanometrology.

2.9.4 Others

The other agencies like DBT, DRDO, DAE, CSIR, ICMR and MNRE do not appear to

have developed a specific program for nanotechnology. Yet these agencies have been

encouraging and providing financial assistance to projects in nanoscience and

technology through their general funding mechanisms. DBT for example since 2006

has supported such research through various nanotechnology specific and non specific

calls for proposals. CSIR has also taken up nano based research since 2003 across its

various laboratories via its network and non-network project initiatives as well as its

NMITLI scheme. Similarly ICMR (since 2005), DRDO and DAE, have also funded

research in this area amongst the laboratories or institutes that are placed under them.

MNRE has also sustained R&D in this area through pre existing mechanisms for aiding

S&T research. The year of initiation of R&D in the area of nanoscience and technology

is unclear for DRDO, DAE and MNRE.

2.10 Investments in nanoscience and technology

The Nano Science and Technology Initiative (NSTI) that functioned from 2001-2006

led by the DST was the largest initiative on nanotechnology in terms of funding and

implementation. It was launched with an initial budget of Rs.100 crores (approximately

US$ 15-20 million). The government in 2006-2007 approved the launch of the

Nanoscience and Technology Mission with a budget of Rs.1000 crore (approximately

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US$ 254 million) for a 5-year duration (2007-2012). Aside from funding R&D a large

parts of the nanotechnology budget during the NSTI appears have been spent on

developing the various centres of excellence (CoEs) and establishing laboratory

infrastructure. During the NSTM tenure it appears that copious amounts are being

invested in developing human resources in this domain. DIT on the other hand has

spent Rs 40 crores in the years 2004- 2005 and 2005-2006 and Rs.32.37 crores in 2006-

2007 on its annual Report, 2006-07 and 2007-08, Department of Biotechnology DRDO

typhoid kit in market by mid-year. Microelectronics and Nanotechnology Development

program respectively. While it had estimated expenditure of about Rs.29 crore in the

year 2007-2008, the actual expenditure on the program was reported as Rs.25.6 crore. It

has estimated a budget of Rs.35 crore for the year 2008-2009. A joint centre for

nanoecelectronics at IISc Bangalore and IIT Mumbai was sanctioned 99.8 crores for 5

years while the development of nanometrology at NPL was sanctioned around Rs 11

crore. On the other hand it has also undertaken some nano based research in some of its

other schemes, which have additional funding. CSIR is also considered to have

invested approximately Rs 40 crore in this area. With regard to the other agencies like

DBT, CSIR, ICMR, DAE, DRDO and MNRE while overall financial outlays for these

organisations were available, information on specific budgets for nanoscience and

technology could not be sought. Therefore the amounts invested in the nanoscience and

technology domain by are unclear. Most probably their investments would be lesser

than DST that implements the flagship program of nanotechnology in the country.

However a clear picture on the comprehensive investment in nanotechnology is still

awaited. Interestingly prior to the mission funding it had been articulated by

government spokespersons the government alone might be unable to allocate vast sums

of investments in nanoscience and technology due to issues of “resource crunch” and

the need to concentrate (and distribute funds across) other priority areas. In fact the

need for public-private partnerships had been espoused as an approach to facilitate

pouring of funds into nano related research and in order to harness it. Nevertheless a

tenfold increase between the amounts dedicated for nanoscience and nanotechnology

research in the NSTI (Rs.100 crore) and NSTM (Rs.1000 crore) has been observed.

Since nanotechnology covers a breadth of disciplines and also is a cost intensive

technology in terms of materials and infrastructure needed to support research, large

initial investments will be necessitated to build capacity in this arena. The substantial

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boost in funding from the NSTI to the NSTM might be primarily attributed to several

reasons the juxtaposition of which has resulted in this policy decision augment the

nanotechnology budget. India has in the last few years has increasing its S&T budgets.

Mr Chidambaram, the then Finance Minister of India, has stated that in 2007-2008 the

S&T budget in India has seen a 21% increase since the previous year. Moreover given

the political and economic implications NT, the global patterns of funding in other

countries has been considered by Indian policymakers. Since India desires to be on par

with developed nations in nanotechnology to the extent possible the large investments

in the global arena has resulted in a spill over effect in India. Simultaneously the

upsurge in the Indian scientific community’s interest in conducting nano R&D as well

as their vocal emphasis on the need to augment budgets culminated with policy makers

rethinking the earlier funding frameworks. These reasons apart, the S&T establishment

was also witness to the lost opportunity in the domain of semiconductor manufacture,

which India might have profited from if timely funding was positioned amongst other

aspects to encourage and nurture its progress. Citing this reason several policymakers

have asked for an increase in nanotechnology budget so as not to lose this opportunity

to harness this technology. However though the present investment has ensured that

nanoscience and technology R&D has begun and is being pursued in several institutes

in India there is still a clamour for increasing investment especially in the areas of R&D

support and infrastructure development. In general India’s S&T budget is lower than

that of several other countries. It has been pointed out that some companies like those

involved in pharmaceutical related R&D allocate more to their R&D budgets. Scientists

and experts in general have called for more intensive funding in basic research and

strengthening laboratory facilities as well as for applied research and technology

development. It is perceived that early investment could translate to cutting edge

science, international publications, technological innovations, patents and product and

process development with far reaching implications for society. The popular view is

that it would be wise to invest sufficiently in nanotechnology at this early stage even

though a majority of these applications may be a few decades or so in the future, to lay

a foundation upon which nanotechnology related advances might be shaped.

Nevertheless it has been argued by funding agencies that the funds allocated to

nanoscience and technology are more than sufficient to undertake the breadth and depth

of research as desired by scientists. It is interesting to note that in the proposed 2007,

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Sustainable chemistry and biotechnology activities in India, , SusChem 5th Stakeholder

meeting, Brussels budgetary outlay for DST under 11th five year plan the fund

allocation for NSTM amongst the schemes already introduced in the 10th five year plan

is second only after the ‘Drugs and Pharmaceutical research’ (Rs.1400 crore).

Therefore here it accounted for approximately 36% of the budget allocated for the

schemes introduced in the 10th plan and proposed to be continued in the 11th five year

plan. In the same budget outlay when the continued funding for the schemes in the 10th

plan and funding for new schemes in the 11th five plan are taken together, the NSTM is

placed third, the new addition in between being the ‘National Campaign for Talent

Fostering and Innovation Building’ (Rs. 1300 crore). Then the NSTM accounts for

around 19% of the combined budget allocated for schemes in the 10th plan together

with new ones to be introduced in the 11th plan. It therefore appears that the

nanoscience and technology domain does hold prominent funding amongst the areas

that the DST would like to pursue strengthening R&D. Amongst other agencies like

DBT, CSIR, DAE, DRDO, MNRE the lack of a formal scheme for the nanoscience and

technology area (unlike DST and DIT) as well as the support of nano based projects

under diverse heads in these agencies has probably prevented separate budgetary

allocations for this area in these organisation at least on paper. It is possible that

nanoscience or technology projects are being funded on a one to one basis or an adhoc

manner based on the credibility of the project under other R&D areas. On the other

hand it is possible that internal or informal budgets have been conceived for this area in

these individual agencies but are not reflected in the formal documents for budget

outlays due the aforementioned reason. The investments by agencies other than DST

might not be in as large in magnitude as funding contributed by DST in the NSTM;

nonetheless they are also driving significant developments on the ground in terms of

developing abilities in nanotechnology in their niche areas.

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2.11 Potential Collaboration Opportunities Abound

India has a high international profile. Although India does have some international

research collaborations, further collaboration (both inter academia and industry-

academia) should be used as an important means of sourcing ideas, resources and

opportunities. This also would have the added advantage of improving India’s visibility

in the international nanotechnology community.

Table10. Some of the nano technology-based products commercialized by

Indian SMEs/Institutions

Sr.

No.

Name of

Product/Technology

Company Source of

Technology

1 Nano-silver suspensions for

antibacterial textiles

Resil Chemicals,

Bangalore

ARCI, Hyderabad

2 Nano silver loading on

ceramic water filter candles

for disinfection of drinking

water

SBP

Technologies,

Hyderabad

ARCI, Hyderabad

3 Nano-bioceramic for

dental, orthopedic and

bone graft applications

Eucare

Pharmaceuticals,

Chennai

NML,

Jamshedpur

4 A process for the

manufacture of hydrogel

wound dressing

ABS Medicare Pvt.

Ltd., Vadodara

BARC, Mumbai

5 A new process for the

preparation of carbon

nano tube-based thrust

pads useful for carbon

thrust bearings

Omkar

Engineers,

Rajkot

NPL, New Delhi

6 Nano silver-based

water filter for the

removal of dissolved

pesticides in water

Eureka Forbes Ltd.,

Mumbai

IIT-Madras

98

7 Nano sensor-based typhoid

detection kit

M/s Cadila

Pharma,

Ahmadabad

IISc, Bangalore &

DRDE, Gwalior

8 Nano particles of

inorganic compounds

to form non-viral

carriers used in drug

delivery

American Bioscience

Inc., USA

University of

Delhi

9 CNTs-based liquid flow

sensors

Trident Metrologies,

USA

IISc, Bangalore

10 Liposomal-based

Amphotericin B formulation

Lifecare Innovations

Pvt. Ltd., Gurgaon

PGIMER-

Chandigarh

11 Nano-sized lithium

iron phosphate for

making electrode for

Li-ion batteries

United Nanotechnology

Products, Kolkata

International

Collaboration

(NEI Corporation.

USA)

12 Carbon Nano Tubes (CNTs) Monad Nanotech,

Mumbai

In-house

development

13 Metal nano gels and

palladium nano particles

Nano cutting Edge

Technologies, Mumbai

Agharkar

Research

Institute,

Pune

14 Bio-nano chip & DNA-based

drugs

Velbio nanotech,

Bangalore

In-house

15 Nano blaster to blast cancer

cells in the human brain

CARD, Bangalore In-house

16 Nano particle loaded drugs

for drug delivery

(estrogen therapy)

Bharat Biotech,

Hyderabad

International

collaboration

(Novvax, USA)

17 MEMS Crane Software,

Bangalore

In-house

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18 Nanocid SSB Technologies,

Mumbai

International

collaboration

(Tide Waters,

Iran)

19 Smart hydrogel

nanoparticles for drug

delivery systems

(ophthalmic)

Panacea

Biotech, New

Delhi

In-house

20 Nanotech-based drug

delivery systems

Lifecare Innovations

Pvt. Ltd., Gurgoan

University of

Delhi

21 Unstainable textiles Arrow, Mumbai IIT- Delhi

22 Nano silver and nano gold,

(powder and suspensions)

Auto Fiber

Craft,

Jamshedpur

In-house

23 Nano silicon, nano alumina

binders

Beechems, Kanpur In-house

24 Metal and oxide

nanoparticles, peptides

and other bio-chemicals

Nano

biochemicals,

Belgaum

In-house

25 Breast cancer nano drug —

Abraxane

BIOCON

26 Drug delivery systems for

cancer treatment

Dabur P

27 Anti-counterfeiting security

technologies for drugs

BILCARE

28 Nano silver-based water

purifier — Tata Swach

Tata Chemicals, Mumbai In-house

29 Nano-treated anti-microbial

textiles

Raymonds & Mohan

Clothing, Mumbai

Resil

Chemicals ,

Bangalore

(Based on

100

ARCI

technical

know-

how)

30 Nanotechnology into

hearing aids

Starkey India, Noida International

collaboration

(USA)

31 Nano filtration plant Thermax Ltd., Chennai International

collaboration

(Germany)

32 Nano silver coated activated

carbon

Purisys RO

Technology, New

Delhi

International

collaboration

(Republic of

Korea)

33 Metal oxide nano materials BHEL, Bangalore In-house

34 Nano paints ICAN Nano, Kolkata In-house

35 Multi-wall and single wall

carbon nano tubes

Innovations Unified

Technologies, Mumbai

In-house

36 Nano positioning systems Qtech

Nanosystems,

Bangalore

International

collaboration

(Singapore)

37 Multi-layered nano coating

for cutting tools

Nano CET, Mumbai In-house

38 Nano fluids Tata Steel, Jamshedpur In-house

39 Production of nano-sized

stabilized ZrO2 and nano

ceramics sized white

pigments

Raj Purohit Group

of Enterprises,

Beawar, Rajasthan

In-house

40 Magnetic nano particle for

bio-separation

IB Scientific, Mumbai In-house

41 Nano fibers and plasma El marco India, Mumbai International

101

assisted nano finishing collaboration

42 Biosynthesis of gold nano

triangles

Tata Chemicals, Mumbai In-house

43 Pt/CNT electro catalysts Micro materials,

Bangalore

In-house

44 Synthesis of photoactive

nano titania composition

KMML, Kerala In-house

45 Nano emulsions

(Injectables-NDDS)

Bharat Serums &

Vaccines, Mumbai

In-house

46 Nano particles/carbon nano

tubes

Nanoshel,

Panchkala,

Haryana

In-house

47 Nanotech-based generic

version of breast cancer

drug (Abraxane)

NATCO Pharma,

Hyderabad

In-house

48 Carbon nano

tubes/Graphene/nano

composites

Quantum Material

Pvt. Ltd., Bangalore

In-house

49 Carbon nano tubes/

Graphene / inorganic

nanomaterial

Redex Technologies

Pvt. Ltd., Noida

In-house

50 Nano powders/CNTs Sisco Research

Laboratories, Mumbai

In-house

51 Nano glass Saint-Gobain Glass India

Ltd., Chennai

In-house

52 Nano ferro electric materials

for microwave devices

Bharat Electronics

Ltd., Bangalore

IISC, Bangalore

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2.12. The aim and significance of this study

The emergence of nanotechnology as a general purpose technology has introduced new

dimensions to science and technology and has affected various technological domains.

Thus, it is not a homogeneous technology but rather a group of related technologies.

The inherent potential of nanotechnology and its economic benefit have persuaded

many countries to invest billions in research and development of nanotechnology.

United States, Europe, India and China each have an enormously large nanotechnology

program and generously invested in nanotechnology. At the same time number of

successful companies in nano-product market is increasing and this is the sign of high

demand for new products, systems and services. The evidence implies that nanoscience

has shifted from a theoretical to applied phase since basic research moves toward

engineering fields. However, delivering the result of research to the market and

entering into the commercialisation process requires proper infrastructure, experience

in manufacturing process, knowledge of marketing strategies and indeed an investment

as engine of any business.

Figure 2.14.The Nanotechnology Value Chain

Source: Lux Research

Universities have a prominent role in any discussion of diffusion, transfer, deployment

and production of knowledge, technology and innovation. Although, universities have

served industries for a long time as a pure source of knowledge and technology, the

collaboration between universities and industries has intensified in recent years.

103

Development of new technologies, growing scientific content in almost all industries,

the need for new sources of funding for academic research and the government effort

and commitment in stimulating university technology transfer, are all part of the reason

that university-industry collaboration has flourished in recent years. The interaction

between university and industry in especially considered for a disruptive technology as

nanotechnology.

There are many literatures focused on the impact of nanotechnology on

scientific fields, industries and economic development. Simultaneously with the rest of

the world, nanotechnology has increased the expectations in the Asian countries and a

large private and public funding is growing in this field. Indian universities also have a

solid background in nanotechnology and their innovation systems and unique

infrastructures strengthened the position of the India as one of the major

nanotechnology hubs in Asia. The interaction between scientific activities in the form

of publication and industrial activities in the form of patent causes nanotechnology to

be an interesting field for studying in this region.

This study tries to study nanotechnology achievements which can be commercialise

and develop the business. It also investigates university-industry interaction, the

process of knowledge creation, technology transfer and commercialisation in terms of

nanotechnology. On this basis, it seems necessary to explore;

(i) How active are researchers and faculty members in the commercialisation of

nanotechnology?

(iii) What type of technology transfer mechanisms has a dominant role in the process

of nanotechnology commercialisation?

2.13. Barriers to nanotechnology commercialisation

Similar to other new technologies, the origin of nanotechnology based products come

primarily from universities and research institutes. As nanotechnology is in the

development stage, most patents are influenced and should be licensed for companies

to have the freedom to work. This situation brings a considerable burden especially for

start-up firms that should negotiate for licenses to ensure freedom to work and

production. Definitely, It would be onerous for start-up firms to predict what

intellectual property may need for their product, when it has not yet designed. This is

when a start-up firm has to license intellectual property from more than one source

104

(Tolfree, 2008). As most research in nanotechnology is funded by governments, it

would not unexpected to have many funded programs emphasized in similar areas

either at diverse universities or countries. The analysis of intellectual property must be

conducted extensively and accurately in the specific field as nanotechnology, to

determine the prospect of the intellectual property. By design completion, the

intellectual property prospect must be permanently reconsidered to ensure the taken

paths permit the freedom of operation (Hoyle and Tolfree, 2008).

As the design begins, challenges arise. One of the major challenges in nanotechnology

domain is human resources, educated people who think and design at nano-scale. It

should be pointed that university researchers and scientists have a negligible share in

product development. The product design should be carried out by engineers who have

capability to commercialize a product. Thus, successful companies in design of nano-

products prefer to employ new graduate engineers who are very bright, creative and

excellent at visualization. The lack of standards and simulation and design tools are

other challenges for design engineers in nanotechnology fields (Rashba and Gamota,

2004). The designer engineers for nano-products should work closely with other

engineers such as process, manufacturing or assembly to design and optimize the

products and to fill the lack of standards, measuring equipments, software or packing

process.

(McNeil et al., 2007)

2.13.1. Barriers to nanotechnology commercialisation

1 The long time between research and commercialisation. Venture capitalists and other

sources of funding find this time factor to be a detriment.

2 Lack of proper infrastructure such as; labs, equipment, measuring devices, and

software. The infrastructure needed is very expensive. Furthermore, equipment

becomes quickly outdated due to the major advances in technology.

3 Small businesses do not have the capacity to produce products on a large scale.

4 There is a lack of a coherent policy on tech transfer from universities to start-up

businesses.

5 The lack of trained scientists, engineers, technicians and researchers.

6 The long time to get respond from the patent office for registered applications.

7 Patent Office do not have enough qualified staff to assess nanotechnology products.

105

8 The public perception that nanotechnology products are unsafe must be challenged to

insure the public fully understands it’s potential.

9 The so-called “Valley of Death” is the often fatal interlude between scientific results

of the researcher and initial funding for prototyping and commercialisation. The

scientists may publish results and not be interested in commercialisation.

10 The development of nano tools must increase and be more available to universities

and start up businesses.

11 Lack of standards and measurements are hindering advancements in

nanotechnology.

12 The reduction of research and development funding has been hindering

advancement in research.

13 Lack of usage of university laboratories and equipment hurts small businesses that

can’t afford this infrastructure.

14 Applied research needs to be encouraged more in universities.

2.13.2. Challenges

In a multidisciplinary field as nanotechnology which is relatively new, there are so

many applications and opportunities. But the problem is that the companies who might

recognize such opportunities, realize that vision and enthusiasm is not enough. In the

meantime, researchers, manufacturers are uncertain if the pathway in nanotechnology

commercialisation is the same well-trodden taken in macro-product commercialisation.

Definitely, it could not be a linear path because of disruptive nature of nanotechnology

but besides developing and researching in laboratories, entrepreneurs, policy makers,

investors, all are focused on the commercialisation of the products of nanotechnology.

In spite of a relative growth in the nano-tech business in the Asian countries, there are

still many challenges that should be considered as an obstacle on the way of nano-

commercialisation. As evidence, the long time between research and commercialisation

is the greatest challenges in the nano-commercialisation process.

It is confirmed that the estimated cycle time in the process of nano-commercialisation,

from science results in a laboratory to a commercial product is uncertain. This would be

decisive for start-ups companies where cash flow dominates profitability and continuity

of business. The high cost of obtaining and keeping a nano-patent is another major

106

challenge. The development of nano instruments in the universities and start-ups also a

major hurdle.

2.13.3 Motivations

Despite how attractive nanotechnology could be in its nature, there are different

motivators to encourage scientist for entry into the field of nanotechnology.

Researchers initially were attracted by the nanotechnology based on their own interest.

The second motivator which may absorb scientists into the field is the availability of

public funding followed by new research facility/ instrument which is third priority for

the researchers. Although, availability of public funding was the second motivator for

the scientist to get involved in the nano - field, it was chosen as the best strategy for

governments to improve the research cooperation between major actors. Researchers

were more inclined to receive direct grants from the government. This would be

controversial, since governments are trimming their contribution to university budgets

and compelling them to complement their earnings from outcome their research

through knowledge transfer, spin-offs or equity stakes in start-ups. Support of new

firms at the start-up phase is considered as the second best strategy that governments

could pursue to stimulate research cooperation between universities and firms. This can

be done by providing credits or through government purchase contracts. In an emerging

and interdisciplinary field as nanotechnology, small firms mostly rely on university-

based researchers. The support of government is specially required for these firms that

moved to moderate their own basic research and emphasize on their own efforts.

2.14. Importance of Study

It is estimated that by the year 2015, almost half of all the products introduced in the

chemicals, electronics, pharmaceuticals and other sectors will be enabled by nanoscale

science and engineering (NSF, 2003). Early indications show that academic research in

nanotechnology has found its way into the marketplace through the creation of start-up

companies and build up existing business. It is estimated that Nanotechnology market

worth USD trillions: 1.1 by 2010-2015. Following figure2.15 shows industry wise

percentage sharing of global nanotechnology market.

107

Figure 2.15 Global Nanotechnology Market

Source: National Science Foundation www.nsf.gov

In 2000, Richard Smalley, Professor at Rice University and winner of the Nobel Prize

in chemistry for the discovery of fullerenes or buckyballs, co-founded Carbon

Nanotechnologies which produces single wall carbon nanotubes. In 2001, researchers

at the University of Massachusetts founded Konarka, which makes power plastic from

polymers and nanoengineered materials that convert light to energy. In 2003, professors

at MIT and the University of California at Santa Barbara co-founded Cambrios, which

uses molecular biology for the synthesis and assembly of new materials and

nanostructures made of custom materials. There are many other examples of such

university based start-up activity in nanotechnology and a common thread appears to be

that the founders of these companies are generally well acknowledged leaders in their

research area merging their professorial and entrepreneurial roles.

Academic technology transfer has been studied from several disciplinary lenses and at

different units of analysis, from the environmental to the social-psychological level.

This study advances the discourse by examining the linkages between the academic

knowledge creation and the technology transfer process and focusing specifically on

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nanotechnology. The organization of nanotechnology research and the creation of the

National Nanotechnology Initiative is considered by many as the most organized

federal science initiative since the space race. The policies are aimed at enabling

nanoscale science and technology and bringing the results to the marketplace. Research

monies, infrastructure and collaborations are being fostered by Government, and local

initiatives. This creates a dynamic environment in which the intertwining of public and

private science and the resultant organizational change at research universities can be

studied.

The organization of nanotechnology is important to understand because of its

interdisciplinary nature. Nanotechnology is not housed in one discipline but

fundamental discoveries will arise from the intersection of these disciplines including

material science, engineering, medicine, environment, physics, and chemistry. For

institutions as well as for funding agencies this will be a challenge because rewards are

generally aimed at meeting standards within disciplinary structures.

Additionally, focusing on nanotechnology enables a comparison with the case of

biotechnology where ties between industry and academic researchers enabled the

growth of the enterprise. Science and technology are closely intertwined in

nanotechnology, as in biotechnology, and university science can be expected to play an

important role. Nanotechnology appears to share several of the same key characteristics

noted in biotechnology. The nature of the science requires large research teams and

heavy capital investments and lends itself to readily commercial applications.

A research university has many diverse objectives; although the chief objective is the

advancement of knowledge and creation of human resources, a stated objective,

especially at land-grant universities has been that of translating knowledge into

economic gain for the region and country. The objective of this study is to examine the

linkages between academic science, technology transfer and commercialisation in the

area of nanotechnology at research universities. Specifically, it deals with how

academic science gets expressed and translated into private science in terms of patents

and spin-offs. The study focuses on the knowledge creation process, the organizing

conditions of knowledge, creation of knowledge stocks like papers and patents and

organizational barriers and facilitators. It is the recognition and nurturing of these

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linkages which will enable the fruition of the dollars poured into basic funding of

research. Another reason to study these factors is the increasing status perceived by

universities who commercialize their results. The increasing intertwining of the public

and commercial science realms with their disparate objectives creates conflicts in the

academy and necessitates the realignment of organizational policies to manage both

spheres. This study has important implications for policy and practice in higher

education. As connections between public science and private science are being

fostered by funding agencies in emerging interdisciplinary areas such as

nanotechnology, how do universities and individual faculty members make the

transition between the two realms seamless, organize such work, and facilitate it

through culture, strategies and policies.

“Nanotechnology is the sixth truly revolutionary technology introduced in the

modern world…” --D. Allan Bromley

Former Assistant to the President of the United States for Science and Technology

(1989-1993)