THE FUTURE STARTS HERE The Cambridge Phenomenon 50th Anniversary Conference
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Contents CONFERENCE SCHEDULE.........................................................................................................................................................................................2 INTRODUCTION Charles Cotton..............................................................................................................................................................................................................13 SPEAKERS AND PANELLISTS.................................................................................................................................................................................17 WHY IT'S GOOD TO TALK BY AMY MOKADY ........................................................................................................................................................19 PRICE BAILEY Lawrence Bailey...........................................................................................................................................................................................................23 BEGINNINGS Rodney Dale..................................................................................................................................................................................................................25 ORIGIN OF THE TERM 'THE CAMBRIDGE PHENOMENON'................................................................................................................................31 RUNNING FOR MILES AND MILES David Gill........................................................................................................................................................................................................................32 CAMBRIDGE CONSULTANTS: THE EARLY YEARS David Southward...........................................................................................................................................................................................................41 ARM: THE DRIVE FOR A MORE ENERGY EFFICIENT EUROPE..........................................................................................................................45 CAMBRIDGE ENTERPRISE.......................................................................................................................................................................................46 A BRIEF HISTORY OF THE CAMBRIDGE PHENOMENON Kate Kirk and Charles Cotton......................................................................................................................................................................................50 SPONSORS .................................................................................................................................................................................................................56 THE CAMBRIDGE PHENOMENON AWARD ..........................................................................................................................................................70
Thanks The board of Cambridge Phenomenon Ltd (Chris Chapman, Charles Cotton, Theo Koutroukides, Joelle du Lac, Christopher Saunders, Jeff Solomon, Teri Willey) thank the following people and organisations for their contribution to the Future Starts Here: the Cambridge Phenomenon 50th Anniversary Conference.
Digital Creative Agency: James Cotton, Dave Rendle and David Hall (CottonRendle)
Sponsors: ARM, CNBC, Microsoft Research Cambridge, Price Bailey, Cambridge Judge Business School, East of England Development Agency (EEDA), HSBC, MedImmune, mybusinessFD. com, Qatalyst Partners, Ashcroft Anthony, BioPharmaMarket, Nash Matthews, Takeda Cambridge, univerCELLmarket
PR: Izzy Fox and Cordelia Meacher (If Communications)
Conference Manager: Jeanette Walker (lets cell it.com ltd) Researchers: Kate Kirk (Cambridge Phenomenon Book Editor), Vivian Taite (Researcher)
A/V and Video Production: Simon Greene (Simon Greene Associates)
Networks: Cambridge Network, One Nucleus, Cambridge Wireless Competition Judges (see page 68) CUTEC (Cambridge University Technology and Enterprise Club) Cambridge Enterprise The Wellcome Trust Conference Centre Staff Hauser Forum staff. 1
Schedule 0855-0935
WELCOME & OPENING REMARKS 0855-0900 Charles Cotton
Founder and Chairman of Cambridge Phenomenon Ltd and architect of the Conference will welcome VIP guests, speakers, delegates and introduce Julie Meyer.
INTRODUCTION 0900-0905
Julie Meyer (Conference MC) Star of Dragon’s Den online and Founder of Ariadne Capital will get the event underway.
OPENING KEYNOTE 0905-0930 Sir Leszek Borysiewicz
Vice Chancellor of the University of Cambridge will present the first keynote.
VIDEO: IT #1 0930-0935
Tony Illsley, Plastic Logic The first IT one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
0935-1050
SESSION ONE: IT 0935-1050
Chair: Hermann Hauser Cambridge’s best known venture capitalist and angel investor will chair the first session of the day.
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0855-1055 PRESENTATION 0935-0950 Andrew Herbert
Managing Director of Microsoft Research in Cambridge, a Microsoft distinguished engineer and an information technology pioneer.
PRESENTATION 0950-1005 Warren East
CEO of ARM Holdings the company that has shipped more than 20 billion processor cores including the one in your mobile phone.
PRESENTATION 1005-1020 Mike Lynch
Founder and CEO of Autonomy, Europe’s second largest software company with a $6 billion market cap.
PANEL DISCUSSION 1020-1050
Andrew Herbert, Warren East and Mike Lynch The panel will discuss exciting developments in IT including the convergence with Bioscience with audience participation and advice to IT entrepreneurs.
1050-1055
VIDEO: IT #2 1050-1055
Richard Green, Ubisense The second IT one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
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Schedule 1055-1130
MORNING BREAK 1055-1125 The cloisters
Stretch your legs, network with other delegates, enjoy some light refreshments, visit the exhibitors in the cloisters surrounding the auditorium.
VIDEO: BIOSCIENCE #1 1125-1130
Darren Disley, Horizon Discovery The first Bioscience one-minute pitche will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
1130-1245
SESSION TWO: BIOSCIENCE 1130-1245
Chair: Clive Dix, Crescendo Biologics One of he most respected Bio-Pharma Non-Executive Directors, Clive will chair the second session of the day.
PRESENTATION 1130-1145 Andy Richards
A self-confessed biotech addict, serial founder and investor in Cambridge life-science companies and an effusive enthusiast for UK Bioscience.
PRESENTATION 1145-1200 Chris Lowe
An academic-entrepreneur, running one of the leading departments at the University of Cambridge while spinning out a steady flow of successful biotech companies.
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1055-1415 PRESENTATION 1200-1215 John West
CEO of ViaCyte, the stem cell company, he was previously CEO of Solexa which became a $ billion company.
PANEL DISCUSSION 1215-1245
Andy Richards, Chris Lowe, John West and Richard Seabrook The panel will explore the potential of Bioscience, discuss its convergence with IT with audience participation and advice to Bioscience entrepreneurs.
1245-1250
VIDEO: BIOSCIENCE #2 1245-1250
Harren Jhoti, Astex Therapeutics The second Bioscience one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
1250-1315
KEYNOTE PRESENTATION 1250-1315
Will Hutton, The Work Foundation Executive vice chair of The Work Foundation, the most influential voice on work, employment and organisation issues in the UK. Author of ‘Them and Us: Changing Britain – Why We Need a Fair Society’.
1315-1415
LUNCH 1315-1415
The cloisters Enjoy a sumptuous buffet lunch, network, visit the exhibits and step outside for some fresh air.
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Schedule 1415-1420
VIDEO: IT #3 1415-1420
Billy Boyle, Owlstone Nanotech The third IT one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
1420-1535
SESSION THREE: FUNDING 1420-1535 Chair: Sherry Coutu, University of Cambridge
An experienced executive, former CEO and angel investor who loves working with great entrepreneurs to solve problems that matter.
PRESENTATION 1420-1430
Sir Christopher Evans Video interview with Britain’s most successful and controversial biotech entrepreneur and investor, he wants to see the UK in pole position on the global bioscience grid.
PRESENTATION 1430-1440 Deborah Cadman
Chief executive of EEDA with economic development, environment, corporate policy, social policy and urban regeneration among her specialisms.
PRESENTATION 1440-1450 Jean Tardy-Joubert
Joined Qatalyst Partners to set up their European operation, Jean is the most experienced tech investment banker in Europe.
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1415-1615 PRESENTATION 1450-1505 Dave Roux
Founded Silver Lake Partners and pioneered private equity investing in large scale technology companies, Dave has experience across the life cycle of tech investing.
PANEL DISCUSSION 1505-1535
Deborah Cadman, Jean Tardy-Joubert, Dave Roux, Anil Hansjee, Teri Willey The panel will debate the funding climate from early stage through to exit with audience participation and advice to entrepreneurs.
1535-1540
VIDEO: IT #4 1535-1540
Mark Gerhard, Jagex Games Studio The fourth IT one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
1540-1610
AFTERNOON BREAK 1540-1610 The cloisters
Time for tea and light refreshments, network and visit the exhibits.
1610-1615
VIDEO: BIOSCIENCE #3 1610-1615 Will West, CellCentric
The third Bioscience one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
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Schedule 1615-1800
SESSION FOUR: THE FUTURE 1615-1800 Chair: David Cleevely, University of Cambridge
An entrepreneur and business angel who has founded a series of companies, acted as a government advisor and can’t resist a challenge.
PRESENTATION 1615-1625 Alan Hughes
Margaret Thatcher Professor of Enterprise Studies at the Cambridge Judge Business School.
PRESENTATION 1625-1640 Rob Koepp
His first book ‘Clusters of Creativity’ looked at the Cambridge Phenomenon and its less well-appreciated spinoff, Silicon Valley.
PRESENTATION 1640-1655 Gareth Goodier
CEO of Cambridge University Hospitals NHS Foundation Trust and driving the far-sighted development at Addenbrooke’s.
PRESENTATION 1655-1710 Anthony Townsend
Anthony conducts research on the impact of new technology on cities and public institutions at the Institute for the Future and is author of ‘Future Knowledge Ecosystems’.
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1615-2100 PRESENTATION 1710-1725 Lord Alec Broers
Chairman of the Science and Technology Committee of the House of Lords with an insider’s understanding of the way Government views science and technology.
PANEL DISCUSSION 1725-1800
Alan Hughes, Rob Koepp, Gareth Goodier, Anthony Townsend and Lord Alec Broers Against the background of global competition, the panel will debate possible future scenarios for the Cambridge Phenomenon over the coming decades with audience participation.
1800-1805
VIDEO: BIOSCIENCE #4 1800-1805 Mark Treherne, Senexis
The fourth Bioscience one-minute pitch will be shown as part of the Cambridge Phenomenon Award competition. See the back of this handbook for more information.
1805-1840
SUMMARY, VOTING & THANKS 1805-1840 Julie Meyer and Charles Cotton
Julie Meyer will sum up the day. After a re-run of the eight video pitches, the audience will vote and the winners of the IT and Bioscience awards will be announced. Charles Cotton will close the formal proceedings.
1840-2100
CHAMPAGNE RECEPTION 1840-2100 The cloisters
A well-deserved opportunity to toast the Cambridge Phenomenon on its 50th Anniversary and enjoy a piece of celebration cake. Then on to wine, soft drinks, canapes and networking into the evening. 9
Nash Matthews 90 – 92 Regent Street Cambridge Cambridgeshire CB2 1DP T: +44 (0)1223 355477 F: +44 (0)1223 324353 E: mail@nashmatthews.co.uk www.nashmatthews.co.uk
Our combination of practical, clear advice with a personal service has proven successful since 1972, when we were established under the name Keith W. Nash & Co. as the first IP firm in Cambridge. We are proud to have worked since then with many of the companies forming part of the Cambridge Phenomenon. Whether you are an individual, an SME or a corporate entity interested in UK, European or global protection, we can help to secure your ideas and provide the advice you need.
Your Intellectual Property is precious We want to help you protect it www.nashmatthews.co.uk
Patents Trade Marks Copyright
Designs
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Chartered Patent Attorneys ° European Trade Mark Attorneys ° European Patent Attorneys ° European Design Attorneys
Cambridge company at the leading edge of 3D graphics At Nash Matthews patent and trade mark attorneys, we are proud to have assisted many Cambridge-originating businesses over the years in protecting their inventions and brands. We continue to work with exciting and innovative companies and one flourishing example is the computer graphics firm ArtVPS.
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rtVPS is a Cambridge company which has already established a track record of bringing photo-realistic 3D computer graphics to new markets. Founded in 2002 and born out of a Cambridge University research project, the company developed the AR250, the world’s first custom processor designed exclusively to accelerate the rendering of true to life images from 3D data. The AR250, and the subsequent AR350 and AR500 processors, intelligently combined with custom plug-in software, formed the basis of a series of products including the very successful RenderDrive® which offered the ability to take a computer model and generate imagery that was indistinguishable from a photograph. Unique patented ray-tracing techniques offered the highest quality rendering using features such as real-world lighting, accurate materials, and unique camera effects. ArtVPS hardware became the first choice for visualising 3D images in the automotive, architecture, product design and entertainment industries at a time when ray-tracing with conventional processors was time consuming and impractical. The financial benefits and time savings were also realised in photography and post-production where 3D visualisation was being increasingly used to generate marketing imagery. By building on the company’s existing IP and continuing its tradition of original research, ArtVPS is launching ray-tracing software this month that fully exploits the increased capabilities of today’s processor technology. That software is ArtVPS’s revolutionary flagship rendering technology, Shaderlight®.
In common with its hardware based predecessor, Shaderlight is a physically-based ray-tracer that enables designers engineers, architects and anyone interested in computer generated 3D to create photo-real images. But Shaderlight goes beyond conventional rendering software and puts the emphasis on creating high quality images with minimum fuss, pushing the boundaries of 3D visualization with interactive rendering techniques that allow users to see their image develop on screen as they continue to work. Shaderlight is available as a plug-in for professional class tools from Autodesk and now for Google’s popular and fun SketchUp 3D modelling tool . Shaderlight is set to not only transform the visualisation workflow of 3D artists and designers within conventional markets of product design, architecture, engineering, media and education, but it is also poised to grow out into consumer markets. The popularity of 3D tools continues to grow and is now attracting mainstream ‘hobby’ users through applications such as Google Earth, with millions of users worldwide. To ensure they are best placed to exploit this and future market opportunities, ArtVPS continue to develop Shaderlight through both feature set and architecture so that it continues to remain one step ahead of the competition. Images (clockwise from top left): AR500 custom raytracing processor; Subaru Impreza concept car, rendered from original engineering data with ArtVPS RenderDrive; Bedroom interior, rendered with Shaderlight; Shaderlight brings photo-realism to Google SketchUp 11
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Welcome to The Future Starts Here: the Cambridge Phenomenon 50th Anniversary Conference
Introduction BY CHARLES COTTON, FOUNDER, CAMBRIDGE PHENOMENON LTD
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n 1960, Tim Eiloart and David Southward founded Cambridge Consultants, and by popular consent, lit the fire of enterprise in Cambridge. While there is much to celebrate after half a century of endeavour, this Conference is not the occasion for self-congratulation or retrospection. ‘The Future Starts Here’ is your VIP ticket to join the discussion and participate in the future of the Cambridge Phenomenon. This fast-paced, high-octane day will be chaired by Julie Meyer, star of Dragon’s Den online and founder of Ariadne Capital. With more than twenty speakers known for their original thinking and outstanding track records, we are expecting a day of inspiring presentations and controversial debate. We are delighted that the new Vice Chancellor of the University of Cambridge, Sir Leszek Borysiewicz and Will Hutton, Vice Chair of the Work Foundation will deliver keynotes. In the morning, we will focus on future developments in the twin pillars of the cluster – IT and Bioscience – and the opportunities created by their increasing interaction. In the afternoon, and with our sights set firmly on the future, we will explore the challenges and opportunities of Funding at each stage in the evolution of a technology enterprise. In the last of the four themes, Cambridge will be under the spotlight from
the outside and illuminated from the inside to consider various scenarios for its Future. The day also includes a competition for private companies with a crystal glass obelisk for the top IT and top Bioscience company in Cambridge. Throughout the day there will be extensive audience participation to make this an event to remember, talk about and debate in the weeks and months to come. The entire proceedings will be filmed and will be available for downloading after the Conference. It would not have been possible to stage this Conference without the generous support of our speakers, panellists and sponsors and the many people who have helped plan, design, promote and deliver this event. Their contribution is very much appreciated. This is a special day to mark the fiftieth anniversary of a remarkable period of enterprise. It’s an opportunity to recognise and thank everyone who has played a part in a movement that has changed the character and prosperity of the Cambridge region. But we have a loftier ambition for the conference. We want you to be inspired and resolve to drive the Cambridge Phenomenon into an even more successful half century. The Future Starts Here. 13
Market focus powers Sagentia’s continued growth
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stablished in 1986, Sagentia is a defining example of the Cambridge Phenomenon. From the outset, we have been highly entrepreneurial and recognised the importance of building relations with academic and business communities based in the region. The company broke with traditional hierarchical approaches to industry, adopting an interdisciplinary approach to technology problem solving. Today, Sagentia is one of the world’s foremost product development and technology consultancies. We have close to 200 scientists, engineers, technologists and business analysts based in the UK, the USA and China, allowing us to meet the changing needs of an international client base. We have a culture that stimulates individuals, giving them the space to innovate whilst operating in a business focused context. Our depth of technical expertise allows us to provide a fully resourced end to end service – from the front end of innovation through product design to transfer to manufacture. We operate globally in three primary markets: medical devices, consumer and industrial.
A focus on medical devices Ten years ago, Sagentia’s revenue from medical was small. Today, the sector is the biggest of the three we serve and is set for continued growth. Despite a challenging economic climate, we work on over 100 medical projects each year and are actively recruiting medical technology specialists to consolidate our leading position. We are focused on four areas: drug delivery, diagnostics, surgical appliances and critical care equipment. In each of these we work with small, venturefunded start-ups through to large global organisations. The level of expertise calls for a thorough knowledge of product development in the medical regulatory environment. Here, our practical experience is backed by accreditation to the specialist medical standard ISO 13485, supported by ISO 9001. 14
As our involvement in the medical devices industry continues to grow, so too have client requests for our end to end service. Whereas ten years ago most of our work was on product design and prototyping, we now regularly conduct market assessment and voice of the customer research, both of which subsequently help direct and focus our development work. At the other end of the process, our clients increasingly use our transfer to manufacturing service. With offices in China and links to other manufacturers in developing economies, we are well placed to do this within a secure, low-risk environment. Going forward, the medical device industry offers a great many opportunities and challenges to Sagentia and our clients. Innovative technology lies at the very heart of the move towards minimally invasive surgical procedures and the increasing use of robotics. As with mobile communications, we see significant convergence of existing technologies – for example wireless, diagnostics and automated drug delivery – all of which are set to be incorporated into highly sophisticated single devices. Improved clinical effectiveness, pressure on healthcare budgets and environmental concerns will also drive technology innovation. Hospital authorities are looking to reduce in-patient stays and visits – which will directly influence the development of monitoring technologies. In the diagnostics area we are seeing a major shift away from laboratory-based analysis towards instant result, point of care equipment. And, amongst other opportunities, there is the move towards re-usable devices, away from the more established, single-use consumable.
Sagentia is focused on four areas within medical: drug delivery, diagnostics, surgical and critical care. In each of these we work with venturefunded start ups through to large global organisations.
Sagentia is well positioned to help our clients realise these business opportunities with market analysis, innovative technology and breakthrough products. Times may now be more uncertain, but the view prevails that the Cambridge region will fare better than most and the outlook for the technology development consulting market remains positive.
T. +44 1223 875200 info@sagentia.com www.sagentia.com
Sagentia works from front end needs analysis through to transfer to manufacture We have been developing breakthrough products for a global client base for more than 20 years With a deep understanding of innovation in technology and business, we help you grow and become more competitive
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Speakers & Panellists
JULIE MEYER
SIR LESZEK BORYSIEWICZ
LORD ALEC BROERS
DAVID CLEEVELY
Ariadne Capital
University of Cambridge
House of Lords
University of Cambridge
One of Europe’s leading champions of entrepreneurship, Julie Meyer is an entrepreneur, advisor, investor and industry commentator on a mission.
Vice-Chancellor of the University of Cambridge and former Chief Executive of the Medical Research Council, Sir Leszek Borysiewicz was knighted in 2001 for his research into developing vaccines.
A nanotechnology pioneer, Alec Broers is convinced that creative engineering is determining the future of the human race and is dedicated to helping people bring their ideas to the marketplace.
David Cleevely cannot resist a challenge. He has started and sold three businesses in telecoms and biotech and has three more on the go, including an awardwinning restaurant, but his biggest challenge is helping Cambridge University put science into government policy.
DEBORAH CADMAN
CHARLES COTTON
SHERRY COUTU
CLIVE DIX
East of England Development Agency
Cambridge Phenomenon
Director, CEO, Entrepreneur & Investor
Crescendo Biologics
Deborah Cadman is Chief Executive of EEDA. Previously, she enjoyed varied roles in local government, with economic development, environment, corporate policy, social policy and urban regeneration among her specialisms.
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An indefatigable entrepreneur, mentor and director with a well-worn passport, Charles is the Founder and Chairman of The Cambridge Phenomenon Limited. He was CEO of Virata, one of Cambridge’s billion dollar companies.
An experienced executive, former CEO and angel investor who now serves on the boards of companies, charities and universities. She loves working with great entrepreneurs to solve problems that matter and specialises in consumer internet, information services and clean energy.
To attract the attention of drug discovery and development expert Clive Dix, include the word ‘Powder’ in your company name and you might just do it. With successful track-records at both PowderMed Ltd and PowderJect, Clive is now one of the UK’s most respected Bio-Pharma Non-Executive Directors.
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WARREN EAST
SIR CHRISTOPHER EVANS
GARETH GOODIER
ANIL HANSJEE
ARM Holdings
Excalibur Group
Cambridge University Hospitals NHS Foundation Trust
Google EMEA
Warren East is the CEO of ARM Holdings, one of the most important semiconductor companies in the world. The company has now shipped three times more processor cores than there are people on the planet.
At the age of ten, Christopher was experimenting with explosives and feeding tadpoles with Lucozade in the dark. Nowadays, Britain’s most successful and controversial biotech entrepreneur and investor is still fighting hard to manoeuvre the UK into pole position on the global bioscience grid.
Gareth qualified as a medical practitioner in 1974 and practiced as a clinician in the UK, Australia and Saudi Arabia before moving into management. He has also worked as a management consultant for the World Bank and Arthur Andersen.
HERMANN HAUSER
ANDREW HERBERT
ALAN HUGHES
WILL HUTTON
Amadeus Capital Partners
Microsoft Research
Cambridge Judge Business School
The Work Foundation
Hermann is Cambridge’s best-known entrepreneurial venture capitalist. As well as founding Acorn Computers and countless other technology companies, he also co-founded Amadeus Capital Partners.
Managing director of Microsoft Research in Cambridge, Andrew has a long and successful career as an information technology pioneer. He was rewarded for his services to computer science with an OBE in the 2010 honours list.
Alan is an expert in financing and support mechanisms for technology based start ups, as well as innovation, corporate governance and corporate take-overs, so it’s not surprising that his title at the Judge Business School, is “Margaret Thatcher Professor of Enterprise Studies”
Anil, investment biker, cordon bleu chef, teaching professor and mentor of digital-age startups, also finds time for a bit of M&A - currently for Google in EMEA.
The Work Foundation is the most influential voice on work, employment and organisation issues in the UK. Regularly called on to advise senior political and business figures and comment in the national and international media, Will is today one of the pre-eminent economics commentators in the country. 17
Speakers & Panellists
ROB KOEPP
CHRIS LOWE
MIKE LYNCH
ANDY RICHARDS
Consultant, Financier and Author
University of Cambridge
Autonomy Corporation plc
Serial Biotech Entrepreneur and Business Angel
Rob consults, helps fund, and writes about highly creative organisations and the environments in which innovation and entrepreneurship thrive. His first book looked at the Cambridge Phenomenon and its less well-appreciated spinoff, Silicon Valley.
As an academic-entrepreneur, Chris achieves the perfect balance between running one of the leading departments at the University of Cambridge whilst spinning out a steady flow of successful biotech companies and delivering pragmatic solutions to the problems facing bioscience companies worldwide.
Mike is the founder and CEO of software company Autonomy. The worldwide company currently has a market cap of $6 billion, and is the second largest pure software company in Europe.
A self-confessed biotech addict, Andy Richards is a serial founder and investor in Cambridge life-science companies and an effusive enthusiast for UK Bioscience.
DAVE ROUX
RICHARD SEABROOK
JEAN TARDY-JOUBERT
ANTHONY TOWNSEND
SilverLake Partners
The Wellcome Trust
Qatalyst Partners
Institute for the Future
Dave pioneered private equity investing in large scale technology companies. He enjoys working with management teams to help them reach their full potential.
Richard Seabrook is a founding member of the Technology Transfer Division, Wellcome Trust, where he is Head of Business Development. He is also technology transfer advisor to the Wellcome Trust Sanger Institute and Genome Research Limited.
With an irrepressible spirit, Jean’s passion for technology plays out daily as it has for over 15 years covering the technology industry. Jean joined Qatalyst Partners, a technologyfocused independent investment bank with offices in San Francisco and London, in February 2009 to head its European operations.
Anthony directs the Institute for the Future’s strategic investments in collaborative forecasting platforms, futures media and visualization technologies, and web communications tools.
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K-W Full profiles on all speakers and panellists can be found on the conference website at www.cambridgephenomenon. com/conference JOHN WEST
TERI WILLEY
ViaCyte
Cambridge Enterprise
John is a builder of large, market-leading profitable businesses from state-of-theart scientific advances. He is now deploying his commercial skills at ViaCyte where he aims to bring stem-cell-derived therapeutics to the market.
Teri joined Cambridge Enterprise (CE) as Chief Executive in 2006. Prior to CE, Teri was a Managing Partner of ARCH Development Partners, a seed and early stage venture fund focused on university and corporate spin-outs.
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Why it’s still good to talk A common question for businesses involved with groundbreaking technologies is what are the key elements of implementing a go-to-market strategy? Amy Mokady, entrepreneur and i-Teams programme director says the answer is more straightforward than you might think.
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homas Edison was a man who knew a thing or two about taking products to market. He once said: “Anything that won’t sell, I don’t want to invent. Its sale is proof of utility, and utility is success.” This is pretty good advice. Who wants to pour time, money and effort into products that won’t sell? This, then naturally sparks the response, but how can you tell whether your new gizmo or widget is going to find a market? I’m going to let you into a secret – there’s no mystery formula, there’s no off-the-shelf solution it’s as simple as talking to your customers. It’s something that is at the core of the work we do at i-Teams. The programme is designed to analyse the commercial potential of an emerging, breakthrough technology. We can’t do this without talking to the likely end-users of this new know-how. Edison hit the nail on the head with his observation that if it won’t sell, people don’t want it. Despite the simplicity of the premise, it’s something that can often get overlooked. History is littered with examples of products that the consumer did not understand, need or want. The C5 Electric vehicle, Apple’s Newton - a PDA predecessor – and the Laser disc are just a few recent examples. Anyone reading this can come up with dozens more. I’m not going to talk about the process of generating a winning idea, of the trials and tribulations of the product creation process. Instead I am going to focus on how a company can connect with its customers, and to do this, I’m going to borrow some
more pearls of wisdom from Mr Edison. “Discontent is the first necessity of progress” Being dissatisfied with the way something works often suggests there is a problem that needs solving. James Dyson and his bagless vacuum cleaner, Trevor Bayliss and his ‘wind-up’ radio are two recent examples. Bayliss solved a problem of communicating to people with no access to conventional power; Dyson tackled the inefficiency of an existing technology and was able to demonstrate improvement. A product will be accepted more readily if it successfully
I’m going to let you into a secret – there’s no mystery formula, there’s no off-the-shelf solution it’s as simple as talking to your customers.
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tackles a perceived current problem. A good example is that of Abcam, a web-based business which manufactures and sources antibodies for the medical research community. Founder Dr Jonathan Milner was part of a team researching a newly discovered breast cancer protein. The work was progressing slowly due to difficulties in sourcing the antibody reagents needed for the research. Dr Milner developed a search engine designed to
find these antibodies to help facilitate his work, which was swiftly adopted by the wider research community. It was at this point he noticed that most searches were for a relatively small number of antibodies. Feedback from the search engine’s users eventually made it an obvious next step to start reselling those popular antibodies direct. The lesson was clear: discontent with a system led to the creation of a potential solution. Engagement with users led to the formation of a successful business. This wasn’t a radical new technology, this was a common sense approach to solving a real-world issue. “The most certain way to succeed is always to try just one more time” Another key element of success is remembering it’s about the actual product rather than the underlying technology. In other words, the best solution usually wins. Probably the best known example is that of the video tape format wars of the 1970s which pitched Sony’s Betamax against JVC’s VHS. Betamax was considered a technically superior product, especially for its sound and picture quality, yet it was VHS which dominated the domestic video market. VHS was a superior product. It had the features the consumer wanted, being inexpensive and able to record up to 4 hours of television.
i-Teams (www.iteamsonline.org) launched in 2006 and is based on a programme from MIT. It allows entrepreneurial post-graduate students to work with real inventions to determine the best route for their commercialisation. The i-Team assesses the commercial prospects for the technology, by discussing the technology with real target customers in relevant industries. It is supported by the Institute for Manufacturing, CUTEC and the Hauser Forum IdeaSpace. In 2010 i-Teams is also launching in London, focusing on creative industries. A more local example might be that of Cambridge-based CSR. The Cambridge Consultants spin-out was founded to develop Bluetooth chipsets, a new international standard for wireless communication between electronic devices. The technology was ground-breaking but the initial products were too resourceintensive for end users.
AMY MOKADY, I-TEAMS It was only when CSR began working with their customers that they realised that the initial product offering could be improved. It led to the development of complete Bluetooth modules which were much easier to integrate into a customers’ product design, both in terms of speed, and in terms of the level of technical expertise that the customer needed to learn to use the product. Like Abcam this is almost obvious in hindsight but was a revelation to the company at the time, and required them to develop a completely different business model and set of development and distribution partnerships. “The value of an idea lies in the using of it” Finally a good go to market strategy is the ability to recognise that an initial vision for your product might need to change. Edison may have been talking about the ability to transform ideas into tangible products, but I think it applies equally to deciding which market best suits your product. AlertMe was set up to use internet technologies as a way to revolutionise the home security market. The business made good progress, but through the process of supporting their first commercial customers and talking to relevant industry experts they identified a much bigger opportunity for their technology. This was for smart electricity monitoring, which is now the company’s primary product range, alongside products for home monitoring (security) and home heating. Obviously none of this is possible without having an excellent product in the first place. Even then, as we have seen it’s not always a guarantee of future success. The common thread I hope is clear. By engaging directly with their customers, businesses, innovators and entrepreneurs have a better chance of success. In the end the best summary of go-to-market strategies can be summed up, not by Edison, but by another towering 20th century figure – Bob Hoskins; “It’s good to talk” 21
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Price Bailey by LAWRENCE BAILEY
Price Bailey is one of East Anglia’s leading firms of accountants and business advisers; it has offices throughout the region and in the City of London and Guernsey and is ranked as one of the top 40 firms in the UK.
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ts history in Cambridge echoes that of Cambridge Consultants having recently celebrated 50 successful years in the City. A lean and innovative firm from inception, Price Bailey has looked after numerous bleeding edge businesses from start up to disposal and, having such a wide spread of disciplines, from consultancy through to pensions and wealth planning at its disposal, has touched many local hi-tech and bio-tech businesses who have benefitted greatly from its specialist services. With a business structure that has departments dedicated to start ups and the smaller business, audit and larger corporates, private and corporate taxation together with an integrated wealth management team advising on investments and pension administration and planning, hi-tech and bio-tech businesses receive the right advice at every stage in their development. Add to this Price Bailey’s consulting team providing help with complex corporate and personal tax matters, VAT, forensic accounting, business strategy and corporate finance it is easy to appreciate why Price Bailey has been able to help so many businesses. There have been household names in that number – you sometimes still see speakers with the HH logo that were manufactured locally by HH Electronics; Q-Arc was a start up business, which Price Bailey helped with seed corn funding, it produced lasers, was spun out of Nobelight and later became owned by Heraeus; Convergys was helped through its formative years with the company’s shareholders later selling out and endowing New Hall. Coming more up to date Donarbon, which uses state of the art processes for waste recycling, had been a client for many
years as part of the Dickerson Group before commencing a programme of research and development into re-using waste, subsequently building the enormous re-cycling resource at Waterbeach – Price Bailey helped them with complex taxation claims on research and development and building costs. The company has recently been sold and is now part of the Spanish conglomerate Ferrovial. 1Spatial, a market leader in location-based solutions and services, were supported by Price Bailey’s corporate finance team when the company went through a management buy-out in 2003. Since then Price Bailey has been the chosen auditors and strategic advisors for 1Spatial through a number of acquisitions and business consolidations. On the bio-tech side Horizon Discovery is just one award winning business that has prospered with the help of Price Bailey’s business teams. A translational genomics company it won the iawards technology start-up and company of the year award in 2009 as well as the business innovation category in the Cambridge News Business Excellence awards in 2010. For Horizon Price Bailey delivers a full, bespoke management information system which provides them with the information they need whilst the directors get on with the business of providing researchers with gold-standard research tools that accelerate the search for new and effective ‘targeted’ or ‘personalised’ medicines. There are others too numerous to mention that have been grateful to receive Price Bailey’s integrated service offering. They cover the whole of the hi-tech and bio-tech spectrum; Price Bailey has been delighted to help and to see them grow and prosper – perhaps you need their kind of help? 23
Beginnings RODNEY DALE, FOUNDER MEMBER OF CAMBRIDGE CONSULTANTS, TALKS ABOUT THE BEGINNINGS OF THE CAMBRIDGE PHENOMENON
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n 1984 John Butterfield, then Vice-Chancellor of Cambridge University, wrote in his Foreword to The Cambridge Phenomenon (Segal Quince Wickstead, 1985) that the book CP ‘explored and assessed [the influences] and also put [them] into a proper perspective relative to the many other factors that have shaped Cambridge’s success in advanced technological industry. These factors include, for instance, the relative isolation of the place (though that is now changing), its sequestration from industrial society as it has evolved in Britain’s cities since the last century, and the active role played by the local financial and business community and by the local authorities.’ Recalling the lofty articulation of the Phenomenon, I cannot help comparison with the Army student who wrote (1954) of the poem Cargoes (John Masefield) that ‘it’s all very well for Quinqueremes, sitting in their palaces at Nineveh, to criticise our shipping for being dirty, but they haven’t been through a war like we have …’ As far as the beginning of Cambridge Consultants is concerned, nothing was made easy by the world into which it emerged. Sure, the mantra that the company was to‘put the brains of the University in touch with the problems of industry’ was fine, but what was the reality? As far as CCL was concerned, the University frowned on its brains being bent to the problems of industry. Take the late Colin Fisher for example; while pursuing his PhD in the Cavendish Laboratory, he had to make sure that no hint of his activities for Metals Research Ltd, and later simultaneously for Cambridge Consultants Ltd, leaked to the ears of his department. And his was by no means an isolated case. Yet recently, it seemed to me, there were members of the University in the local high-tech world (most of whom were not even a paternal eye-twinkle when Cambridge Consultants came into being) who gave the impression that it was the University that started all the local high-tech activity. 24
The Vice-Chancellor wrote also of Cambridge’s ‘sequestration from industrial society as it has evolved in Britain’s cities since the last century’, and no doubt thanked Heaven, as others did, that we’d been spared the motor industry that they believed had marred the dreaming spires of Oxford. Admittedly, Marshall’s is on the outskirts of Cambridge, but so is Cowley on the outskirts of Oxford (and now looking the worse for wear as Marshall’s flourishes). Perhaps aeroplanes are somehow more gentlemanly and acceptable than motor-cars, or perhaps people just hadn’t noticed Marshalls. The V-C also refers to the ‘active role played by the local financial and business community and by the local authorities’. Again CCL had much experience of this in its early days. 50 years ago, venture capital was a concept apparently unknown to banks, which made obtaining it impossible (things we don’t even know we don’t know). Granted, there were sources of such capital, but they seemed to be somewhat avaricious, and hedged about with terms and conditions. We did seek overtures in the early days, but nothing came to anything. The active role of the local authorities appeared to be putting difficulties in the way of those who wished to set up premises appropriate to their work. Not, in CCL’s case, that 69 Histon Road was particularly appropriate, but it had the advantage that it was reasonably close to the labs where its part-time staff tended to work, so that they could slip away conveniently at lunch-time and contribute to CCL’s advancement. So we at 69 spent years pussyfooting about, avoiding doing anything that would draw the attention of the Planning Department to our activities, fostering the belief that a temporary building needed no Planning Consent, and that when you’d managed to establish yourself for four years without being found out ‘they couldn’t touch you’. A powerful stultifier was in place – the Holford Report (1954) – which sought to place tight controls on expansion in Cambridge. According to CP 2.26, ‘Industrial Development
Certificates became a powerful tool of control and new projects (or expansion of existing establishments) involving increases of more than five manufacturing employees were in general frowned upon’. Of course, there were many technical companies of various persuasions in the Cambridge area before CCL emerged, and their presence as a pool of labour – mainly ‘blue collar workers’ as they used to be called – was essential not only to CCL’s development, but for the good of the local commercial climate in general. The benign and more farsighted view was: ‘you train apprentices for me, and I’ll train apprentices for you’ The University technicians were part of the pool, but some were loth to leave what others saw as a cosy – or even cushy – environment. Marshall’s I have mentioned, but of huge importance were the Cambridge [Scientific] Instrument Company (with its venerable University connections), WG Pye, Pye Radio and the Pye Group, Unicam, Labgear, Aero Research, and many others, not to mention all the many sub-contractors serving them. So let us not lose sight of the rich substrate on to which the neonate CCL was able to fall on 30 November 1960, ready to grow and play its part in the forthcoming development of the Cambridge Phenomenon.
The author was part of technical Cambridge from his boyhood, and a founder–member of Cambridge Consultants in 1960. His story of the earlier years of CCL is told in From Ram Yard to Milton Hilton: Cambridge Consultants – The Early Years, Fern House Publishing ISBN 978-1-902702-24-7 price £10.
From top: Rodney Dale, Tim Eiloart, David Southward 25
Qatalyst Group is a technology-focused independent investment bank headquartered in San Francisco, California. Qatalyst Partners, its advisory business with offices in San Francisco and London, provides high quality, independent advice to the senior management teams and boards of the technology industry's established and emerging leaders on strategic matters crucial to their growth and success. Qatalyst's advisors combine a broad network of relationships with deep sector knowledge and seasoned M&A expertise to deliver a superior, senior level of service for clients who value experience, judgment, candor and insight. In addition to merger & acquisition advice, Qatalyst Partners employs its team's extensive corporate finance and capital markets experience to advise companies on capital structure and capital raising alternatives. Since its launch in March 2008, Qatalyst has advised on numerous notable transactions, most recently advising Skype on its pending IPO and 3PAR on its pending sale to HP. In addition, Qatalyst advised Palm on its sale to HP; Google on Microsoft's attempted hostile takeover of Yahoo!; Brocade Communications Systems on restructuring and completing its acquisition of Foundry Networks; Data Domain on its sale to EMC; eBay on a strategic advisory assignment; LifeSize on its sale to Logitech; QuinStreet on its IPO; Informatica on its acquisition of Siperian; and Kace on its sale to Dell.
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Senior Secured Notes Financial Advisor $600,000,000 January 2010
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Qatalyst Partners LLP is authorised and regulated by the Financial Services Authority. Qatalyst Partners LLP is a limited liability partnership registered in England and Wales (registered number OC343808) whose registered address is 4 Park Place, London SW1A 1LP.
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WHY CLOUD COMPUTING?
Why now? Innovation in the computing industry continues to enable new opportunities for society, from a “PC in every home” to “cloud computing.” This recent, nebulous image refers to the use of computing power that you do not own and that is located elsewhere, in “the cloud” of remote networks. What’s new? This concept is familiar to anyone who uses online services to manage and store data, like Hotmail for email or Flickr for photos. On the other hand, businesses and governments have preferred to keep and control data in their own IT systems. As these organizations look to drive down costs, there is increasing interest in alternative approaches. Cloud-based services are now more powerful and reliable for such users. Large data centres offer economies of scale, providing cheaper computing power, with the flexibility to pay only for what you use. Like electricity, you don’t need to own the generators; you just plug in and pay as you go. New Opportunities for Europe By lowering costs, and also lowering barriers to entry for IT developers, cloud computing offers “the medicine needed for Europe’s credit-squeezed economy”, as Commissioner Reding has stated. Simply put, both users and developers can do more with less, by accessing greater computing power without having to invest up front large sums for equipment. Innovation flows from these new capabilities. In a program called BizSpark, aimed at helping early stage start-ups by providing them with software and support, many of the 8,000 participating European companies are already providing cloudbased services. Cloud resources enable a new company like Lokad in France to deliver sophisticated sales forecasting tools for large retailers or manufacturers to optimize inventories. The upcoming BizSpark European Summit, in Paris, will bring 28 together many more promising start-ups who are delivering their solutions in the cloud.
Going forward, all organisations, and especially entrepreneurial SMEs, will be interested to tap into computing resources beyond what they could previously afford in order to increase productivity and reach wider markets. New Responsibilities Before the promise of cloud computing can be realized we all need more confidence in the security, privacy, portability and availability of our data. We need a safe, open and interoperable cloud – one that is protected from the efforts of thieves and hackers while also serving as an open platform for sharing and storing information for people around the world. We need connectivity we can depend on. Legitimate questions reflect the responsibilities that come with cloud-based services: Are you confident that your privacy is being protected, that your data is secure, that you can reach it when you need? If you live in one country but your data is stored in another, whose laws govern, and are the rules consistent? Industry and governments can build on solid experience to address such questions. The current computing trend holds the potential for tremendous cost savings, flexibility, and growth. Yet as we move to embrace evolving cloud technologies, we also must meet fundamental expectations about the management of your data. Microsoft is working with customers, partners, and governments on the bold goal to help Europe realise its cloud potential. For more information: www.microsoft.eu
Origin of the term ‘The Cambridge Phenomenon’ I
nventiveness, individuality and noncomformity are words which sit comfortably with Cambridge. So it is not surprising that Cambridge is the only entrepreneurial region in the world to link the word ‘Phenomenon’ in its cluster description. Where other towns, cities and regions have fallen victim to Siliconia, Cambridge stands proud, its originality intact. But how did the expression Cambridge Phenomenon come about and when? Quoting Rob Koepp, from his book ‘Clusters of Creativity’, in a chapter entitled, ‘The Phenomenon of Cambridge’….. (a) “The first concerted effort at actively facilitating the region’s nascent IT cluster came in July 1979 when around a dozen people involved with recently formed companies met in a pub near Cambridge’s market square to consider ways to collaborate. One of the chief architects of this initiative was actually not a technology business leader but a banker. Matthew Bullock, a Cambridge graduate and son of the famous Oxford University historian and Vice Chancellor, Lord Bullock. Enjoying strong ties to Cambridge’s academic and IT circles, Bullock had initiated a special loan program for technology companies at Barclays Bank in Cambridge. Out of the July pub gathering he became the leading organizer of what was dubbed the Cambridge Computer Group. (It was incidentally, at this pub meeting when Bullock asked what people thought of the growing high-tech activity in the area. “Someone turned and simply said: ‘What
we have here is a phenomenon.’” The moniker of the “Cambridge Phenomenon” has been in use ever since.” (b) Arguably, the first occasion when the term was picked up in a national newspaper occurred over a year later, on Tuesday, November 18 1980, twelve days before the 20th anniversary of the founding of Cambridge Consultants. Peta Levi, a cousin of Jack Lang (Topexpress) and Charles Lang (Shape Data), wrote an article for the Financial Times which she started with the words…”A PHENOMENON of considerable significant (sic) to British industry is taking place in Cambridge.” In several places in the article she refers to the Cambridge phenomenon. Four years later, Matthew Bullock commissioned Nick Segal of Segal Quince Wicksteed (now SQW) to produce a report on universityindustry research links and chaired its steering committee. At the end of 1984, there were lengthy committee debates about the title of the forthcoming report. Finally, the decision was taken and when the report was published on 11 February 1985 it was simply and memorably called ‘Cambridge Phenomenon’. Clusters of Creativity, Enduring Lessons on Innovation and Entrepreneur-ship from Silicon Valley and Europe’s Silicon Fen by Rob Koepp, published by John Wiley & Sons Ltd. 2002. According to the references in his book this emerged from an interview Rob held with Matthew Bullock on 5 July 2000.
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Harnessing the Cambridge Phenomenon for social and environmental benefit The Future Business Centre will be an innovation centre for social and environmental enterprises as part of ‘The Hive’ development in Kings Hedges. It will become the hub for start-up and expanding enterprises, including cleantech businesses with 3000m2 of affordable office and workshop units. The Future Business Centre will be located on the Hive campus being developed in partnership with Cambridgeshire County Council and Cambridge Regional College, which is an enterprise and education park for the future, incorporating an environmental construction and trades training centre, and demonstration eco-homes. The Future Business Centre element is led by Citylife, the established Cambridge social enterprise which since 1999 has been issuing Charitable Bonds nationally to enable philanthropic individuals and companies to build better communities through secure lending alongside their giving. Since 2005, Citylife has also been operating properties in Cambridge to provide affordable shared premises for social enterprise and charitable activities. Most recently this has included a successful but temporary Social Enterprise Centre on Newmarket Road which is operating at high capacity and providing a valued service, and provides much of the template and proof of concept for the Centre. Citylife is now in a process of change, and has brought together its package of affordable space, business advice and social impact measurement under one brand name called ‘Future Business.’ The Future Business Centre is also now seen by key players leading the new cleantech wave of the Cambridge Phenomenon as a vital part of the provision for the emerging cluster of environmental businesses. 30
Adapting to a low carbon economy is necessary to address climate change and rising energy costs, and to create new wealth and opportunities. The linkages between social and environmental business models and missions are potentially fertile ground and will be the lifeblood of the Centre. With Citylife using its own innovative Bond model to raise the bulk of the funding needed, local people and businesses can support this ground-breaking initiative without even giving away their money. Please consider what you may be able to LEND securely for 5 years, and become one of the Founder Benefactors alongside TTP Group plc, whose Chairman Gerald Avison is an Ambassador for the Centre and explains why he is supporting the Future Business Centre. The Future Business Centre can be a wonderful legacy for the 50th anniversary year of the Cambridge Cluster – an application of Cambridge incubation expertise to some of the most pressing problems of our local global community. Many of our local entrepreneurs are strongly idealistic and capable of further commercial success but also potentially applying their expertise to the emerging social business model. If we can harness Cambridge entrepreneurship for local, national and global good we will be creating a business centre for the future – for all our futures. Along with the innovative funding mechanism described, it will indeed be another Cambridge first!
“I believe that these sort of enterprises are an essential part of the fabric of the community both now and in the future.”
Gerald Avison, Chairman, TTP Group plc Can you join TTP in supporting the Future Business Centre? The fundraising campaign for the Future Business Centre is underway, and local companies and individuals are sought to invest in Citylife’s Charitable Bond. The Charitable Bond – an innovative fundraising tool To date Citylife has raised over £11 million of investment in its Bonds, helping thousands into enterprise, work, training or out of debt. The Bond is proven, legal, simple and straightforward, and, best of all, everyone is offered repayment in full after five years so your capital is protected.
“Over the last 50 years, a small army of Entrepreneurs have established a range of profitable high tech enterprises in Cambridge and, in doing so, have attracted substantial investment into the region. Some of this investment has been in the form of a string of science and business parks, which have provided the fledgling businesses with space to grow and prosper. However, the very success of the high-tech sector makes it harder and harder for social enterprises and less high tech businesses, which are generally run on tight budgets to find space which they can afford. The Future Business Centre will address this need, providing affordable, flexible space, alongside a package of business support services.
The interest foregone is released up front through simple financial engineering – in this case allowing approximately 20% of every Bond to be used for the Future Business Centre. However, if required, individual terms for the Bond can be discussed including the payment of interest.
I believe that these sort of enterprises are an essential part of the fabric of the community both now and in the future. Making sure that entrepreneurs in these sectors are supported is a necessary step to giving them them a chance to survive and grow, and to make their own distinctive contribution to Cambridge’s continuing success.
To find out more To find out more about the Future Business Centre please contact Dr Martin Clark, Deputy Chief Executive, Citylife 01223 323481 email: martin@futurebusiness.co.uk
TTP has a policy of generating and retaining cash reserves against future business needs and sees the Charitable Bond as a mechanism whereby a proportion of these cash reserves can be put to good use to help strengthen the local economy at modest cost and minimal risk.” 31
Running for Miles and Miles by DAVID GILL, ST JOHN’S INNOVATION CENTRE
Why are we here? On autumn mornings of gentle mist the answer might not seem hard to fathom, as we read in the broadsheets of new firms based a mile or two away building the future. But during a raw fenland winter 50 years ago the success of the Cambridge region would have been far from obvious. The city itself is still small – with some 110,000 people - and indeed was not formally granted City status until 1951 (and no, you did not need a cathedral to qualify). Many of us complain today of poor transport but I am the same age as the cluster and the M11 was only completed a year before I graduated. Taking the train from King’s Cross then meant changing at Royston. As for the hinterland, Rupert Brooke’s 1912 sketch from Berlin (which in my head is always sung by Nina Simone) still seemed a fair summary: And Coton’s full of nameless crimes, And things are done you’d not believe At Madingley, on Christmas Eve. Strong men have run for miles and miles, When one from Cherry Hinton smiles… And for cuisine, this was even before Jack Lang founded Midsummer House; popular restaurants combined spaghetti with chips and any other form of carbohydrate to hand. I regret that as a student 30 years ago I had no sense of what was going on to the north of the City around the Science Park. That the cluster was somehow unusual and making a difference to what was then called “UK Ltd” did not become apparent to a wider audience until the mid-1980s. By then, I was working 32
in the City and occasionally came back as part of a fishing fleet of bankers looking for flotation or acquisition opportunities in the pool of new firms emerging from the Innovation Centre and the Science Park. In that period, after the Big Bang in financial services (1986) and the dot.com implosion (2000) I doubt the cultures of banking and Cambridge could have been further apart. In finance, shareholder value ruled as the measure of all things, but few technology entrepreneurs are roused by mottos as anaemic as that: changing the world, seeing your gizmo used in a million homes and the respect (or better still, envy) of your peers are all far stronger motivators. Profits were simply the scorecard, the objective proof of what entrepreneurs, with an internal locus of control, knew already: that somehow they had won. For a short while, Cambridge was not just a designer of chips but a major producer of computers. Circumstances change, economies evolve. With more start-ups, more risk-funding was required. In retrospect, the relative commercial ingenuousness of the pioneering years needed to shed some of its innocence. This started to happen with the emergence of venture funds based in Cambridge: fund managers have investors to satisfy and so seek out management teams with at least as much of a sense of market pull as technology push. They also operate to deadlines: most venture funds have a limited life. Margins, timing and other outcomes of
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diligence mattered at least as much entrepreneurial ingenuity, even brilliance. Over the past decade, entrepreneurship programmes and business plan competitions raised the competence of a new generation of innovators to a degree that seemed improbable to me in the late 1990s. But at least one major gap still remains: access to risk funding. Most tribes retell myths about themselves that are at odds with the data; Cambridge shares with Silicon Valley a questionable belief in rugged independence, especially from government. But over there as over here, government – as funder of research, as customer, as grant provider or primer of the venture pump – has been a keen player in the story. It looks inevitable that the role of government will form part of the circumstantial changes affecting the cluster. “If you want things to stay as they are, things will have to change,” as Lampedusa famously put it in The Leopard. To be able to carry on supporting a growing population of ‘hunter-gatherer’ entrepreneurs that previously lived off grants and other ad hoc funding, we shall also need to create the financial equivalent of farming - more settled and extensive sources of supply, which first grew up in response to population pressures that made nomadic existence in the fertile crescent around 5000 BCE no longer sustainable. Such irrigation, planting, cropping and plowing required considerable cooperation and coordination. Would this undermine the informal, light-touch, bottom-up character of the Cambridge cluster – one of reasons, I suspect, why we are here today?
David Gill is Managing Director of St. John’s Innovation centre. Around 60 companies are located at SJIC, employing over 300 people, creating a vibrant community with an entrepreneurial spirit. SJIC tenants are start-up and early-stage companies operating in a wide range of leading-edge technologies. Visit http://www.stjohns.co.uk for more information
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I am reminded of the story told me by one of the godfathers of the Phenomenon. Policy makers and journalists love to talk about innovation because of the supposed lure of novelty. But most people resist change, he said, so you have to make change look like continuity. He gave the example of the immaculate lawn outside the Senate House: tour guides tell their cameratouting day-trippers that it is smooth and crisp because it has been mown and rolled flat since time immemorial. But it hasn’t: new turf is delivered each spring. So perhaps Lampedusa was wrong: for things to change, things have to seem to stay the same. And if our successors are to enjoy looking out over misty lawns one morning in October 2060 as they prepare to attend the centenary conference of the Cambridge Phenomenon, our collective craft in the next few years will need to be applied in finding ways of making substantive change (more funding and grow-on space, greater focus on the environment, better transport and housing for the increasing numbers drawn to the cluster) look like continuity. If we can manage that, the Phenomenon will indeed run ‘for miles and miles’.
A view of success from GJE What critical lessons have Gill Jennings & Every LLP learned from their experience with Cambridge Cluster companies in the specialist area of intellectual property? THE RIGHT TEAM WITH A SHARED VISION Get the entrepreneur, inventor, investor and IP advisor thinking together from the beginning. The team must have a shared vision connected to real needs in the outside world. Example: Cambridge Positioning Systems, Chiroscience and Arakis/Sosei R&D are good examples of Cambridge companies that have realised their value, including IP.
MONEY Winning funds requires a permanent state of readiness for due diligence with the exit strategy in mind. No IP, no exit. Tip. A contemporary IP report suitable for investors and third parties must be available. Involve your advisors in business planning.
BOLDNESS Engage stakeholders with ruthless passion but don’t try to “do it all yourself”. Not investing in expert guidance upfront will be a false economy coming back to bite you in critical areas like R&D and the resulting assets. Tip. In the context of IP, quantity is no substitute for quality. Get IP sorted out early.
PREDICTION There is a great future for small companies creating something of high value to big companies. The key is to get out there, find the opportunity and commit to it.
We wish you all success and look forward to the next 50 years. Gill Jennings & Every LLP David Stead dcs@gje.co.uk or gje@gje.co.uk www.gje.co.uk Tel: +44(0)20 7377 1377 or +44(0)1223 423 617
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Seven Tips for European Success When we look at the global economy today, a fundamental shift is taking place with a very clear move from West to East. Asia and the Middle East are undoubtedly asserting themselves as the brightest prospects on the global landscape, and the implications for the business community in Europe are considerable. Europe is at risk if it doesn’t keep up.
This changing global economic landscape fascinates me. Who would have thought that today in India two-thirds of exports would go to markets other than the U.S. and Europe? Or that China would have become the largest importer of Brazilian goods? Indeed, according to the IMF, in 20 years’ time Asia’s economy as a whole will be larger than that of the G-7 and half the size of the entire G-20. Here at HSBC (HBC), we talk to lots of businesses in Europe that are already creating opportunities in and with the East. For instance, U.K.-based Romax Technology, a technical solutions provider for the transportation and wind energy industries, is working with universities and car manufacturers in China to develop new software and the next generation of vehicles. For many more Europe-domiciled businesses, though, the impressive statistics highlighting the growth of the 36
by Ian Urquhart
East remain just that: statistics. To lots of companies, it can seem unattainable to access the East, let alone keep up with its fast-paced development. Key Considerations For this reason, we commissioned The Futures Company to develop a report drawing on Eastern economies’ political, social, financial, and consumer climate to identify the key considerations that should influence the strategic decision-making of any European business leader looking at the region. The report, Looking East: The Changing Face of World Business, uses these considerations to map practical steps for European businesses to turn these factors to their advantage and make trade with the East a reality. The report touches on a host of critical factors from fluctuating oil prices and consumption to changing consumer behaviour, but here I’ve chosen to focus on the practical considerations for business that result.
The successful European business of the future will: • Maximize human capital. This involves looking beyond domestic borders to recruit, capitalizing on Asia’s investment in training and up-skilling as it moves beyond its image as a source of low-cost labour. According to the European Commission report The World in 2025, China and India could account for approximately 20 percent of the world’s research and development (R&D) by 2025—more than twice their current share. • Create an “innovation supply chain.” Innovative businesses will turn the traditional model of Western innovation and Eastern delivery on its head to take advantage of Asia’s increasing share of R&D spending and the skills base outlined above to deliver it. For instance, some of the biggest names in Western technology are spreading innovation centres around the world. Cisco (CSCO) has “Cisco East,” a second global headquarters in Bangalore; Microsoft’s (MSFT) R&D facility in Beijing is its biggest outside America. • Invest in consumer insight. Booming Eastern populations and growing consumer wealth will create unprecedented market opportunities for European businesses. Sales of Rolls-Royce cars in China, for instance, will outstrip those in the U.K. this year, making China the second-largest market for luxury vehicles after the U.S. However, companies must understand that Eastern consumers are not just replicas of their Western counterparts. Insight must be tailored to take into consideration regional differences. The success of Nokia’s (NOK) 1100 mobile phone in India, which provides a flashlight and is dust-resistant, is an example of a company tailoring its approach. • Employ a global mindset. Successful businesses will dedicate time to understanding how Asia has redrawn the world business map—overturning preconceptions about “the East”—and must foster a culture in their organizations that accommodates different business models and rule books. The free-
market, liberal principles on which the West was built are often in direct contrast with methods of rule in the East. • Mitigate risk effectively. Thriving businesses will accurately research, understand, and weigh risks vs. the significant rewards of engaging with the East. For example, political instability in parts of Asia could mean economic instability for everyone, as well as higher commodity prices and lower investment inflows and outflows. But for European businesses this shouldn’t be a reason not to interact with the East. Being aware of the tensions is sensible, but with the right partners on the ground, “thinking businesses” can overcome this potential issue and the other perceived challenges pervading the old Western mindset. • Rethink consumption and distribution. As Asia suffers from energy shortages in years to come, distribution and export models may need to change. An individual business’s role in tackling global sustainability issues, particularly the East’s energy consumption, should be acknowledged. Being aware of this factor in future scenario planning and considering risks vs. opportunities to capitalize on Asian investment in new energy sources is therefore key. • Create an advisory-led business. Acknowledging the role of external experts to provide local market insight will prove to be a great advantage for European businesses. To many businesses in the distant markets of the West, Asia is an unknown and sometimes intimidating territory. However, the risks of engagement must always be seen in the context of the potential rewards. Asia offers a virtuous circle of economic growth and investment. It is crucial that European businesspeople do not close their minds to the possibilities offered by the rise of Asia. Europe can do no less if it hopes to remain at the forefront of global business. Ian Urquhart is the Regional Area Director for the Central & East Region of HSBC Commercial Banking, a unit of HSBC Holdings.
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MedImmune.” — Klaus Oncology Research
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With more than 3,000 employees dedicated to advancing science and medicine to help people live better lives, MedImmune works in the areas of infectious disease, oncology, respiratory disease and inflammation, cardiovascular/gastrointestinal disease and neuroscience. We strive to address unmet medical needs by developing novel proprietary products and cutting edge technologies. By incorporating translational sciences, otherwise known as ‘customised medicine’, into some of our programs, MedImmune is continually working towards the future. MedImmune uses state-of-the-art process, analytical, manufacturing and pharmaceutical sciences to optimise its products and product candidates, enabling progression from research through clinical trials. This includes: • Selecting the most suitable candidate molecules for progression from research. • Manufacturing process development to support clinical trials supply and commercialisation. Processes developed at MedImmune for antibody products are very high yield, among the most productive in the industry. • Formulation and drug delivery. The development team has broad experience in formulating complex biological molecules and developing drug delivery technologies required for successful products. • Scale-up and transfer to commercial manufacturing. Development is able to increase the scale of production while ensuring the quality of the product is maintained.
We invite you to join us at MedImmune, as our pipeline of research and products continues to grow - and so does our ability to impact on lives around the world. Opportunities at Granta Park, Cambridge. Offering a modern working environment with recently expanded, state-ofthe-art facilities, MedImmune in Cambridge (formerly Cambridge Antibody Technology or CAT) continues to expand its biopharmaceutical research and development capabilities. MedImmune Cambridge is an innovative and exciting place to work, with international colleagues contributing to the success of our world-leading biologics business. Ambitious and highly motivated, we are looking for enthusiastic, highcalibre individuals who can offer fresh ideas, drive and flexibility. To join our expanding team in a role that interests you, visit www.medimmune.com An equal opportunity employer.
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Cambridge Consultants
The Early Years by DAVID SOUTHWARD
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im Eiloart and I first met as student apprentices with the Ministry of Supply at Woolwich Arsenal in 1954. After a year of machinery workshop experience we both came up to Cambridge to read chemical engineering – a 4 year course. Tim took time out from Cambridge to cross the Atlantic in ‘The Small World’, a balloon-cum-gondola, while I left the Explosive factories of the Ministry of Supply to study accountancy in the City for a year. Deciding that accountancy was not for me, I contacted Tim who at the time was working in the Applied Psychology Laboratory at the University. He had previously set up Cambridge Consultants with the idea of acting as a technical agency for the scientific knowledge within the University but when I contacted him there was a small office in Jesus Lane and the only work that was handled was technical translation which required both an expert in the language and an expert in the relevant scientific field. We decided that I should set up a small workshop and so Cambridge Prototypes was born with a little funding from the Eiloart and Southward families. The workshop was at the back of a firm of printers run by Rodney Dale in Histon Road. We employed a few instrument makers and initially we just manufactured items designed elsewhere for local companies such as Metals Research - then in King Street. Gradually the nature of the work changed and we were asked to design ever-more-complex jobs. For example a large job in those early years was to design equipment for an Oxford Professor to investigate the mechanical properties of insect muscles. This sounds simple but it involved clamping the muscle and vibrating one end of it at varying frequencies over varying amplitudes whilst sensing the reaction at the other end. This apparatus had to work at pressures up to 1000psi just to complicate it further. Of course this was in the days before transistors were in common use. We had no in-house electronic expertise to start with and had to rely part time on PhD students such as Colin Fisher (who also
worked for Metals Research and was subsequently its Technical Director), or part-time workers such as George Sassoon. As the nature of the work changed we took on staff. Peter Rayner was the first full-time electronics engineer to join us. He came to work on electronic petrol pumps. He was later to go back to an academic life and I believe was referred to by Mike Lynch as his mentor. A focal point of the Cambridge Consultants day was always the free lunch, where we discussed our projects and frequently entertained visitors to the company. We had a large Research Contract to explore the manufacture of thin film capacitors. We made a microbalance for a local company and TV audience measuring equipment for AGB (Audits of Great Britain). We built typewriter training equipment. For the carpet industry we made a machine for generating Axminster loom spools and produced a demonstration model of a new type of carpet manufacture. There was little common theme to the work we were asked to do. Tim was extremely good at generating publicity for the company both locally and nationally. With the naivety and enthusiasm of youth there was nothing we thought we could not tackle. However, the very variety of the work which – while hugely enjoyable – also put us back to the start of the learning curve in each new field. Both our clients and ourselves always underestimated the development cost of a project. Thus to have a “bread and butter” line manufacturing the same item was always something of a dream. When, enthused by Peter Rayner, Gordon Edge joined the company, he produced designs for modular electronic test equipment and so AIM Electronics was born. The premises at Histon Road were now full to bursting and the expansion of the company was straining our financial resources. So we were pleased that Robert Maxwell (amongst others) then invested in the company and, despite his reputation, we never had cause to regret his involvement. Gordon also designed the P40 hi-fi 41
“A focal point of the Cambridge Consultants day was always the free lunch, where we discussed our projects and frequently entertained visitors to the company.”
amplifier and this led to the formation of a further company – Cambridge Audio Laboratories Ltd for which we obtained limited external funding. But AIM Electronics and Cambridge Audio were not the only fledgling offshoots; we had a raft of other small ones including Draftmaster, AIM bioSciences, AIM Physical Sciences, Durcam and possibly others long forgotten. To bring some sort of financial structure to these, the mother company – Cambridge Consultants – became the Group Holding Company, renamed AIM Associates (Cambridge) Ltd, and all the others became operating divisions with separate management, including a wholly-owned new ‘Cambridge Consultants’. The idea was that a failure of any one division would not bring the whole House of Cards down – but in the event this is exactly what finally did happen in 1971. In 1968 we moved into new premises built for us in Bar Hill (now swept aside beneath Tesco). We also then took over Enderby’s Mill at St Ives which became a base for our manufacturing arm – both hifi and AIM Electronics. With hindsight, what lessons should be learnt? Obviously it was a failure of management. There is no critical size at which a firm of consultants cannot be profitable, and a record of profitable growth opens doors that expansion at the expense of profits does not. When the Bank finally had had enough, the Group was at breakeven and paid off our indebtedness to them with two weeks turnover. Whether this was the right decision is not for me to say but at least Cambridge Consultants is still alive and kicking some 40 years on.
A more comprehensive history of the earlier years of CCL is: From Ram Yard to Milton Hilton: Cambridge Consultants – The Early Years By Rodney Dale Fern House Publishing ISBN 978-1-902702-24-7 Price £10.
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State of the art scanner launches in Australia Support from UK Trade & Investment (UKTI) has helped an Earith, Cambridgeshirebased company showcase and implement its revolutionary technology in Australia. SmartDrive, who specialise in digital imaging systems and scanners for museums and art galleries, used funding and support from UKTI’s Passport to Export programme, to take its revolutionary SatScan® COLLECTIONS scanner system to the Australian market. During the company’s recent trip to Australia, which UKTI helped to fund, the national science agency, CSIRO (the Commonwealth Scientific and Industrial Research Organisation) took delivery of their first scanner at their centre in Canberra. This first unit purchased by CSIRO is destined for use in their acclaimed Australian National Insect Collection where the system forms an important source of imaging information for the flagship 'Atlas of Living Australia' programme. It is hoped that this initial flagship installation will provide the inspiration to other Museums and Galleries in Australia to purchase SatScan ® systems. The SatScan® uses the latest in motion control technology to glide over works of art and sample collections, surveying and gathering sequential digital images in the Ultra-violet, Visible and Infra-red parts of the spectrum, creating stunning ultra-high resolution images with extraordinary detail. Dennis Murphy, Managing Director of SmartDrive explains: “SmartDrive has invested heavily in the development of SatScan® technology over the past 4 years so I’m delighted to see such an important organisation as CSIRO investing in our product. Thanks to the support of UKTI’s International Trade Advisor, Martin Keepfer, we have been able to bolster our approach to doing business outside of the UK.
Dr John La Salle, the Director of ANIC (Australian National Insect Collection) which is part of CSIRO (Commonwealth Scientific & Industrial Research Organisation). He is pictured with the SatScan COLLECTIONS system which is being used within the 'Atlas of Living Australia' project which is cataloguing the entire fauna and flora in Australia. The system is being used to form ultra-high resolution images of trays containing entomological (butterflies) samples of which there are over 10 Million to be imaged.
“I am also very pleased to see that CSIRO have been guided by the extensive evaluation work conducted by the researchers at the National History Museum and I would like to thank the team there for their enthusiastic input.” The SmartDrive team in Earith have been busy developing a world leading solution for high quality and high speed imaging of collections ranging from large artworks to natural history collections. Martin Keepfer summarised the company’s success: “SmartDrive has invested a great deal of time and effort in analysing the potential market for the product, intelligently segmenting the worldwide market into different user groups. The strategy is working. With its professionally structured approach and the backing of UKTI, the company is emerging as a world-class exporter.” Associate Director of SmartDrive, Mike Broderick added: “We’ve needed to put our product out into different environments in order to see what works best for potential customers. Since the product was launched in March at the Hamilton Kerr Institute in Whittlesford, Cambridge, to a largely European audience, we’ve been able to completely redesign the mechanics making the SatScan® much more portable.” Mike adds, “Since returning from Australia, SmartDrive has gained further business which is directly attributed to the recent visit. More galleries, museums and universities are already planning their future investment in the SatScan technology.”
The SatScan ART system (from two aspects) which is installed at the Hamilton Kerr Institute in Cambridge and which acts as both a development/test site as well as being the example installation which potential clients can visit and see the system in operation. This type of cooperative development has proved a valuable sales tool, as it is not possible to take a full-size system to a client for a trial or demonstration.
For more information, contact your local International Trade team
0845 6419955 | info@uktieast.org.uk | www.ukti.gov.uk/export/eastofengland
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20 Billion Processors Shipped and Counting... ARM designs the technology that lies at the heart of advanced digital products, from wireless, networking and consumer entertainment solutions to imaging, automotive, security and storage devices.
For more information visit
www.arm.com 44
The Architecture for the Digital World
Ž Š ARM Ltd. AD249 | 07.10
Drive for a more energy efficient Europe Inspired by the ‘green buzz’, the technology industry, businesses, national governments and consumers are looking for ways to reduce the carbon footprint of devices we use both at work and at home.
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or example, committed to doing their own bit for the planet Earth and reducing IT overheads at the same time, many businesses have turned to virtualisation technologies. There have also been high profile examples of companies going green in more innovative ways. As part of its Big Green Project, IBM is reusing heat from a datacentre in Switzerland to heat a public swimming pool. Yet, one of the biggest threats to the environment that technology poses is a lot less likely to grab the headlines. The evolution of electronic devices has resulted in users accepting solutions as ‘normal’ even those that are highly inefficient. In the consumer electronics industry, the pervasive nature of devices ultimately means that today’s connected home holds or is responsible for a huge amount of energy waste. This trend is reflected in the inefficiency of a range of electronic devices in business use too. Over 60 per cent of industrial and nearly 40 per cent of domestic electricity is used to drive electromechanical motors. These motors are at the heart of a range of devices, from industrial fans and power tools to computer disk drives, printers, vacuum cleaners and treadmills. The size of different electric motors varies greatly, as does the amount of energy they consume. Electric wristwatches contain some of the smallest and lowest power motors, whereas the huge motors used in the propulsion of large ships consume thousands of kilowatts of energy. Despite these differences, many electromechanical motors have one thing in common: they are not energy efficient. Electromechanical motors run with only speed control and many are oversized with no consideration of load. Most appliance motors today have a single speed and go on and off frequently, such as an air conditioner or a fridge, and hog power on start up – enough to dim the lights in some cases. However, embedding smart motor controls into devices would, in less than a decade, save Europe up to 341 billion
KWh, 82.8 million tonnes of C021 or €30.9 billion per year at the European average electricity cost. This equates to the total annual power output of sixty-four 600 Mega Watt power stations. New motor technologies, generally known as Brushless DC motors or BLDCs, are still slightly more expensive than equivalent induction motors, but rising volumes would help close this gap. More importantly, a substantial increase in efficiency would very rapidly pay for the small substitution cost. An added advantage of BLDCs is that their speed is very easy to control, enabling the use of smaller motors and the development of quieter machines. BLDCs are the result of a combination of advances in motor technology and in electronics, and currently many manufacturers of motors and electronic microcontrollers around the world are working on new, more energy efficient designs. In the same way as the incandescent light bulb directive by the European Commission has led to the replacement of traditional GLS light bulbs, a mandate by Brussels may help drive the adoption of more energy efficient electric motors. The total saving available from this motor directive would be much more dramatic than that achieved by the light bulb directive. The availability of a new technology or regulatory pressures from Brussels may not result in a necessarily rapid and widespread adoption across Europe. Ultimately, pull from thought leaders in the wider technology sector, industrial and business users as well as consumers is needed to convince device manufacturers to shift to more energy efficient motor technologies and encourage the replacement of the current installed base. Such a drive would not only help our emissions challenge, but also make European industries more cost competitive. . . 1 Eup Lot 11 Report – Motors in Industry and Tertiary sector consume 859.7TWh. EuroStat - Motors in Domestic consume 276.794TWh based on 35 per cent of electricity in home is motors (BURR/DTI). 45
Cambridge Enterprise The development of an artificial pancreas system for managing type 1 diabetes in children. The creation of liver cells from skin cells, potentially leading to new treatments for those suffering from liver diseases. The use of miniscule water droplets as miniature reaction chambers, a technology with potential uses across fields from drug discovery to algal biofuel development. These are but a handful of the technologies which have arisen from University research in the past year.
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he University of Cambridge has given birth to countless innovations over its eight hundred years, from the establishment of the fundamentals of physics to the discovery of the structure of DNA. The University’s research also has a direct impact on business practice and the economy. University spin-outs not only have transformative technological or clinical impact, but also make a major contribution to the regional, national and global economy. Cambridge Enterprise, the University’s commercialisation office, works to ensure that Cambridge research has a sizeable and positive impact on the economy and society through technology transfer, consultancy and seed funds services. Cambridge provides an ideal environment and community for early stage science and technology based ideas. University people and ideas are at the core of the Cambridge Phenomenon, and University organisations, including the Cambridge Science Park, St John’s Innovation Centre and Peterhouse Technology Park, have helped to develop the infrastructure of the Cambridge cluster. Through our seed fund services, Cambridge Enterprise provides vital support to University spin-outs. We provide access to capital and management through our three evergreen seed funds, as well as access to affiliated funds through Cambridge Enterprise Venture Partners. We also provide access to experienced entrepreneurs on an individual basis and at group presentations such as our Mentoring Breakfasts. The companies in which Cambridge Enterprise manages equity on behalf of the University are based on disruptive ideas from basic research and among the most notable in the UK. For example, this year ten of our portfolio companies were named in the Daily Telegraph’s list of Top 50 University spin-out companies this year. BlueGnome was ranked the fastest growing biotechnology company in Cambridgeshire and 20th in the UK across all sectors. BlueGnome’s continued growth has been recognised by 46
The Deloitte Technology Fast 50, one of the UK’s foremost technology award programmes. In the physical sciences, CamSemi continues their impressive growth in Asia, with new offices in Korea and a new application design centre and business development office in Shenzhen, China. Cambridge Enterprise also licences University technologies to companies in the Cambridge cluster, which includes licences to Accelrys for Professor Mike Payne’s CASTEP software, which uses ideas developed in the course of fundament studies on quantum mechanics to simulate the properties of various materials. Supporting the consultancy activities of top academics facilitiates the use of cutting edge research now for the benefit of industry, charities and policy makers. The scope and size of consultancy projects managed by Cambridge Enterprise over the past year varied widely, from a report on the impact of international shipping at the 2009 United Nations Climate Change Conference in Copenhagen, to a feasibility study for the National Policing Improvement Agency on the impact of CCTV upon criminal justice outcomes. During the last three years CE has returned over £20 million to inventors and the University as result of knowledge and technology transfer activities under its management. But our work in supporting Cambridge innovation does not stop with companies, licensing and consultancy. Cambridge Enterprise also works to support academics beginning at the earliest stages of the commercialisation process, from providing funding to attend conferences to promote their ideas, to supporting the development of design prototypes. Through our Enterprise Champions and other programmes, Cambridge Enterprise also acts as a facilitator for academics, helping them make connections and build networks with valuable partners in the commercialisation process, including the Entrepreneurs in Residence at the Centre for Entrepreneurial Learning, i-Teams Cambridge, The Idea Space in the Hauser Forum and the Design Council’s Innovate for Universities programme.
Photo credit: Ivor Day
Congratulations to the Cambridge Phenomenon, celebrating 50 years of Cambridge innovation www.enterprise.cam.ac.uk
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A New Museum for Cambridge Established to create a permanent, public exhibition that tells the story of the Information Age, the Centre for Computing History presents an internationally significant collection of vintage computers, memorabilia, artefacts and related documents. As well as preserving and displaying this IT heritage, the Centre traces the social, historical and contemporary impact of the computer; it turns a spotlight on the people, inventions and machines that have played key roles in this influential story and records the information necessary to inspire and enthuse future generations.
Founded in 2006, the Centre for Computing History has over 7,000 items in its core collection. These include historic machines such as the Altair 8800, usually acknowledged as the first home computer, and other nostalgic machines like the Sinclair Spectrum, Commodore 64, Acorn Atom and many more. The history of the computing industry is a compelling subject. In a short space of time it has created the world’s wealthiest man, witnessed some of the worst business decisions on record and generated the largest first year profits for any company in history! However, there is now a generation growing up who know little, if anything, about the dawn of the Information Age. It’s hard for them to imagine homework without the Internet or socialising without mobile phones. They find it incomprehensible that a computer in 1975 had less power than their mobile phone! The fast-paced nature of the computing industry and the tendency to discard
irrelevant technology as it becomes outdated creates the risk that a sense of its origins will be lost. The Centre’s aim is to preserve this fundamental part of our history. Situated just outside Cambridge in Haverhill, the Centre is planning to move to a city location. It regularly exhibits at venues around the country; these include the Open University and the Gadget Show Live. Aimed at everyone from children to academics, an inventive multimedia approach offers visitors the opportunity to interact with many key machines, thereby providing a hugely entertaining experience. With a website that currently attracts over 12,000 unique visitors a month, the Centre enjoys a solid reputation as an educational resource; emails continue to pour in from across the world. The Centre plans to embark on a fundraising campaign later this year. A number of organisations have already embraced the initiative and contributed valuable sponsorship.
Peter Snow at The Centre for Computing History during filming of the Channel Five TV Series ‘Brits Who Made the Modern World’.
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www.computinghistory.org.uk
Our Vision The Centre for Computing History has been established to tell the story and explore the social, economic, technological and political effects of the Information Age. The impact of the Information Age is immeasurable. It has created our global society. The way we think, our means of communication and the manner in which we organise our lives have all been irreversibly transformed. It is now impossible to envisage a world without computers.
The foundation of a new resource: more than a museum
World class: The Centre for Computing History will be an international centre that explores all aspects of the computer revolution.
A centre of excellence: The Centre will be a powerful and permanent symbol of the importance of computing and an affirmation of its story, including Britain’s unique contribution to this industry.
Unforgettable experience: The Centre will provide a high impact family experience. Hands-on exhibits will be accessible to all ages, offering a fascinating, informative and inspirational celebration of computing.
A beacon for research and learning: The Centre aims to be a national and international focus for
organisations and individuals. It will inspire and educate through sharing skills and resources to make this possible.
Special collections: The Centre, in addition to its core collection, will store and display unique collections. It has unlimited potential for future exhibitions. A glimpse of the future ...
There are many ways of experiencing computing technology and the Centre for Computing History aims to provide visitors, young and old, with a whole range of opportunities, designed to stimulate all the senses. Not only will they view vintage computers, they will use them, explore the stories of the pioneers and enter doorways into the past and the future. Most importantly, they will reach an understanding of how it has all happened.
The Centre’s story is now starting to unfold: we believe there will be many more exciting developments along the way.
To find out more about the progress of the Centre for Computing History visit: www.computinghistory.org.uk
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A brief history of the Cambridge Phenomenon by Kate Kirk and Charles Cotton
Eight hundred and one years ago, riots in Oxford prompted a group of scholars to leave the town and travel to Cambridge, where they founded the University.
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ver the next 750 years not a lot happened from a business perspective. Noteworthy exceptions include the founding of Cambridge University Press in 1584; Horace Darwin’s Cambridge Scientific Instruments in 1881; WG Pye in 1896; and the Marshall Group in 1909, now Cambridge’s largest private employer. The 1950s In 1950, Cambridgeshire County Council published the HolfordWright Report, which proposed halting the growth of the City and recommended that industrial expansion in or near Cambridge be limited. Anyone with the audacity to want to start a business in the 1950s was hard-pressed to find premises, let alone planning permission to build something new.
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The 1960s But this conservative view of the future was about to be challenged, and it was two chemical engineering graduates from Trinity College – Tim Eiloart and David Southward – who catalysed the change. In 1960, with the kind of hubris we normally associate with our American cousins, they set up Cambridge Consultants to “put the brains of Cambridge University at the disposal of the problems of British industry”. This remarkable decade witnessed a close encounter with nuclear war, the assassinations of John F Kennedy, his brother Bobby and Martin Luther King, England winning the World Cup and Neil Armstrong’s unforgettable words on stepping onto the surface of the moon, “That’s one small step for man, one giant leap for mankind.”
Meanwhile, relatively unnoticed, 39 technology companies were founded in Cambridge. They were not welcomed by the University and there was an uneasy relationship between academia and entrepreneurs. In 1967, Cambridge University set up a subcommittee of the Senate to consider the planning aspects of this relationship, and the result was the 1969 Mott Report, which recommended some relaxation of planning restrictions and the setting up of a science park. The 1970s The 1970s began with a commitment by Trinity College to set up the Science Park on the outskirts of Cambridge. The next ten years witnessed Britain joining the Common Market, the three-day week and the first test tube baby. In Cambridge, it saw the birth of 137 technology enterprises, including the first industrial inkjet, calculator, computer, audio, and software companies. During the decade, several important events accelerated the development of entrepreneurship; most notably, Barclays Bank adopting a helpful approach to financial support for high technology businesses.
Writing in the Financial Times in 1980, Peta Levi used the expression the ‘Cambridge Phenomenon’, setting the scene for an extraordinary ten years for entrepreneurial businesses. The 1980s Writing in the Financial Times in 1980, Peta Levi used the expression the ‘Cambridge Phenomenon’, setting the scene for an extraordinary ten years for entrepreneurial businesses. The 1980s for the UK saw British Telecom shares going on sale and the stockmarket crashing. In Cambridge, the first half of the decade was dominated by home computers and the fight for supremacy between Acorn and Sinclair and their iconic
products – the BBC Micro and Sinclair Spectrum. In 1985, Segal Quince Wicksteed published their first report on the Cambridge Phenomenon, which set out to explain what was happening. Structurally, there were important developments.
In Cambridge, the first half of the decade was dominated by home computers and the fight for supremacy between Acorn and Sinclair and their iconic products – the BBC Micro and Sinclair Spectrum. Venture capital made its appearance. More lawyers, accountants and patent attorneys arrived in town. St. John’s Innovation Centre opened in 1988, making it possible for entrepreneurs to lease office and laboratory space on a month-by-month basis. Critically, too, the foundations were laid for an explosion of biotechnology companies. But there were still shortcomings – CEOs and managers with international experience were in very short supply. The 1990s The 1990s started with the release of Nelson Mandela, the first Gulf War and the break-up of the Soviet Union. The new decade also heralded a surge of successes for companies in the established technology sectors and in new ones, such as semiconductors, telecommunications, drug discovery and therapeutics. Cambridge companies took on the world - not always successfully. Ionica went head to head with BT and became the first billion pound public business, but its brief success was followed all too quickly by failure. ARM, Autonomy, AVEVA, CAT (Cambridge Antibody Technology) and Virata all went public with global aspirations and achieved billion pound company status. Flotations, mergers and acquisitions became
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The Cambridge Phenomenon in numbers (since 1960)
commonplace as companies founded in the 1980s and 1990s matured and enjoyed financial success.
5,000 new technology and service . companies have been founded...
By the end of 1999, Cambridge was admired internationally, not only for its University but as the centre of the leading technology cluster in Europe.
. ...of these 1,400 exist today... . ... and employ 40,000 people who have stayed in or moved to the area. . This number rises to 80,000 if you include families $ billion businesses: 8 companies – ARM, Autonomy, AVEVA, CAT (Cambridge Antibody Technologies), CSR (Cambridge Silicon Radio), Ionica, Solexa, Virata, have already achieved . $ billion valuations with Abcam knocking on the door.
The Cambridge Phenomenon: an illustrated portrait PUBLICATION SEPTEMBER 2011 The Cambridge Phenomenon is a multi-dimensional portrait of one of the world’s most enterprising clusters of technology businesses set against the backdrop of the University of Cambridge. Richly illustrated with photographs, cameos and anecdotes, this book tells the inside story of the companies and the people behind them, their products and services, successes, failures, lessons learned, the evolving relationship with the University, and considers what the coming decades may hold. VISIT WWW.CAMBRIDGEPHENOMENON.COM OR CHECK OUT THE TMI STAND IN THE CLOISTERS TODAY
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Things were maturing in academia, as well. In 1990, the Cambridge Judge Business School was founded. Spin-outs from the University increased in number and in 1996, Alec Broers, now Lord Broers, was appointed Vice Chancellor of the University. With a background in IBM, he was influential in encouraging links between the University, industry and the entrepreneurial community. Establishment of Microsoft Research (1997), the first Cambridge Enterprise Conference (1997), ERBI (now One Nucleus) (1997), the Greater Cambridge Partnership (1998), Cambridge Network (1998) and Cambridge University Entrepreneurs (CUE) all evidenced these new links and networks. By the end of 1999, Cambridge was admired internationally, not only for its University but as the centre of the leading technology cluster in Europe. The 2000s The third millennium started with a bang – the sound of the dotcom bubble bursting. But despite the difficult funding environment in the early part of the decade, Cambridge companies demonstrated their resilience and quality. Thanks to charitable foundations like the Wellcome Trust, and financial support from organisations such as Cambridge Enterprise and EEDA, along with venture capital and angel investors, new company formations continued apace. The decade saw increasing numbers of IPOs, mergers and acquisitions. The University of Cambridge and Anglia Ruskin University also intensified their engagement with entrepreneurship. Cambridge Enterprise achieved greater independence and to clarify matters for budding entrepreneurs, the University of Cambridge introduced a new policy on intellectual property. Today, the economic, social, and environmental impact of the Cambridge Phenomenon is evident everywhere. New towns, villages, offices, hotels, restaurants, houses, schools, shops, car parks, bus lanes, traffic lights and congestion have all arrived in the region, but, thanks to the planners, the essential character of the historic centre of the city of Cambridge remains unaffected. The Cambridge Phenomenon is the result of individual enterprise, mutual support and a maturing relationship with the universities. The principle of entrepreneurship on a shoestring has undoubtedly contributed to its resilience. Even the recent banking crisis hasn’t dampened people’s enthusiasm to be entrepreneurs – it may even prove to be an unintentional spur.
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Chesterford Research Park
– A Thriving Biotech Community Chesterford Research Park is set in 250 acres of open parkland within the South Cambridgeshire Biotech Cluster, the epicentre of UK drug discovery. The Park provides a high-quality, secure and relaxed working environment for world-class R&D companies at all stages of their life cycle. Fostering growth and innovation The joint developers of Chesterford Research Park, Aviva Investors and Churchmanor Estates Company plc, realise the advantages of locating within an environment that actively helps foster innovation. Providing a supportive and nurturing environment not only attracts the right people and businesses, but equally enables them to interact. Chesterford plays a pivotal role in this process having created state-of-the-art laboratory and office space, specifically designed for research and biotech companies. The development team works closely with occupiers to continually satisfy their property requirements as they change and grow, with innovative flexible design being of the highest priority. A particularly good example of this ethos in action is the low-energy Science Village building, which will allow for flexible use as R&D offices and/or laboratory suites - due to start construction in 2010.
Building a community The Park team understands that staff are the primary asset of their tenant R&D companies and that providing a working
environment catering for their needs can be a major factor in productivity, retention and recruitment. By locating at Chesterford, tenants offer their staff a workplace that recognizes the importance of employee’s general well-being as well as their professional development. A factor which could increase their competitive advantage in the marketplace. The Park’s Nucleus facility is central to this mindset. The 22,000 square foot building not only houses the Park’s management offices and 24-hour manned site security centre, but also state-of-the-art conferencing facilities, a health club, shop, award winning restaurant and café bar. To further foster the culture of well-being amongst tenants the Park also has 7hole par three golf course. Chesterford Research Park – an innovative, motivational and forward-thinking location for your business.
www.chesterfordresearchpark.com
MEETING ROOMS | LABORATORY SPACE | CAFE | RELAX WORKOUT | PRESENTATION ROOMS | LUNCH | GOLF RESTAURANT | OFFICES | THE PERFECT BALANCE
WWW.CHESTERFORDRESEARCHPARK.COM
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ACCOMMODATION IMMEDIATELY AVAILABLE OFFICE SPACE FROM 150 SQ FT UP TO 6,000 SQ FT LABORATORY SPACE FROM 150 SQ FT UP TO 7,000 SQ FT FLEXIBLE TERMS AND ACCESS TO UNRIVALLED FACILITIES
Award-winning digital creative for Cambridge.
CottonRendle is a digital creative agency specialising in website design, software development, mobile applications, online visibility and marketing strategies. Visit our stand at the Cambridge Phenomenon Conference to discover how we can help your business succeed online.
www.cottonrendle.com 55
Sponsors Cambridge Phenomenon would like to thank the following organisations for their generous support.
ARM HOLDINGS ARM designs the technology that lies at the heart of advanced digital products, from wireless, networking and consumer entertainment solutions to imaging, automotive, security and storage devices. ARM’s comprehensive product offering includes 32-bit RISC microprocessors, graphics processors, video engines, enabling software, cell libraries, embedded memories, high-speed connectivity products, peripherals and development tools. Combined with comprehensive design services, training, support and maintenance, and the company’s broad Partner community, they provide a total system solution that offers a fast, reliable path to market for leading electronics companies. MICROSOFT RESEARCH Founded in 1991, Microsoft Research is dedicated to conducting both basic and applied research in computer science and software engineering. Its goals are to enhance the user experience on computing devices, reduce the cost of writing and maintaining software, and invent novel computing technologies. Researchers focus on more than 55 areas of computing and collaborate with leading academic, government and industry researchers to advance the state of the art in such areas as graphics, speech recognition, user-interface research, natural language processing, programming tools and methodologies, operating systems and networking, and the mathematical sciences. Microsoft Research currently employs more than 850 people in six labs located in Redmond, Wash.; Cambridge, Mass.; Silicon Valley, Calif.; Cambridge, England; Beijing, China; and Bangalore, India. Microsoft Research collaborates openly with colleges and universities worldwide to enhance the teaching and learning experience, inspire technological innovation, and broadly advance the field of computer science. PRICE BAILEY Price Bailey is a Top 40 firm of business advisers and accountants. Established more than 70 years ago, Price Bailey currently has seven offices throughout East Anglia, London and Guernsey - with over 200 partners and staff. The Cambridge office opened over 50 years ago and is one of the largest in the firm. The Cambridge office is home to many of the firm’s consulting team with specialists in taxation, business strategy and corporate finance. The office is also the base for the Financial Services team. We work with a range of businesses and business people, whether it’s start-up business or large International firms.
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CNBC CNBC, First in Business Worldwide, is the leading global broadcaster of live business and financial news and information, reporting directly from the major financial markets around the globe, with three regional networks in Asia, EMEA and the US. In EMEA, CNBC is the only real-time, pan-regional business and financial news network dedicated to CEOs, senior corporate executives, the financial services industry and EMEA investors. The channel is available in approximately 130 million homes, 1,400 banks and financial institutions and leading hotels across Europe, the Middle East and Africa. Additionally CNBC.com gives you access to live streams of all three CNBC regional networks and to the world’s most comprehensive archive of business news videos ever assembled. CNBC is a division of NBC Universal. NBC Universal is the media arm of the General Electric Company (GE). MEDIMMUNE In the world of biologics, MedImmune has established itself as a true visionary, with one of the most robust pipelines in the biopharmaceutical industry. From groundbreaking research and development, to state-of-the-art manufacturing, to product commercialization, every day we’re touching lives. We’re proudly united by the spirit of innovation, the heart of inspiration, and the strength of integration, as we advance science for better health. EAST OF ENGLAND DEVELOPMENT AGENCY EEDA has a clear mission - to improve the economy of the East of England. So whether it’s helping businesses through the recession, supporting people to be the best they can or breathing new life into places, everything we do comes back to our mission statement. EEDA works across the six counties of Bedfordshire, Cambridgeshire, Essex, Hertfordshire, Norfolk and Suffolk. Our investment decisions have a track record of delivering considerable returns. A recent independent report found that for every £1 EEDA spent, we generated a mid-point return of £4.75 for the region’s economy. CAMBRIDGE JUDGE BUSINESS SCHOOL The Cambridge Judge Business School is a great business school at the heart of Cambridge, advancing knowledge and leadership through people who leave a mark on the world. The world-class faculty of the School comprises around 55 members. They represent all continents and likewise their research interests span the globe and the full spectrum of business issues. Many are leaders in their field directing cuttingedge research, consulting for top businesses, advising governments, and most of all, bringing their experiences and new found knowledge into the classroom. In September 2005 our name changed from the Judge Institute of Management to Cambridge Judge Business School. We are one of the top business schools in the world, offering a variety of teaching programmes including the Cambridge MBA, the Cambridge Master of Finance, PhD, MPhil and undergraduate degrees together with a suite of Executive Education courses. Cambridge Judge Business School is accredited by AMBA and EQUIS. HSBC HSBC are the world’s local bank. Headquartered in London, HSBC is one of the largest banking and financial services organisations in the world. HSBC’s network comprises over 9,500 offices in 76 coun57
tries and territories across the globe.In Cambridge HSBC has a strong presence with Mark Shillito, Area Commercial Director & Debbie Chilton, Deputy Area Commercial Director both based in the banks Cambridge Commercial Centre at Vitrum, St Johns Innovation Park, Cowley Road, HSBC is committed to developing business in the local community. HSBC provides a comprehensive range of financial services: personal financial services; commercial banking; corporate, investment banking and markets; private banking; and other activities. QATALYST GROUP Qatalyst Group is a technology-focused independent investment bank headquartered in San Francisco, California. Qatalyst Partners, its advisory business with offices in San Francisco and London, provides high quality, independent advice to the senior management teams and boards of the technology industry’s established and emerging leaders on strategic matters crucial to their growth and success. Qatalyst’s advisors combine a broad network of relationships with deep sector knowledge and seasoned M&A expertise to deliver a superior, senior level of service for clients who value experience, judgment, candor and insight. In addition to merger & acquisition advice, Qatalyst Partners employs its team’s extensive corporate finance and capital markets experience to advise companies on capital structure and capital raising alternatives, and will selectively raise private capital for clients. Launched in March 2008, Qatalyst has advised Google on Microsoft’s attempted hostile takeover of Yahoo!; Brocade Communications Systems on restructuring and completing its acquisition of Foundry Networks and on its recent high yield offering; Data Domain on its acquisition by EMC; eBay on a strategic advisory assignment; LifeSize on its sale to Logitech; QuinStreet on its IPO; Informatica on its acquisition of Siperian; Kace on its sale to Dell and Palm on its sale to HP myBusinessFD mybusinessFD supports small businesses that can’t afford a full time FD or simply don’t need one, but still have to manage their finances and plan their future growth. Forecasting, cash-flow management, business plans, raising finance… mybusinessFD can draw from a team of commercially experienced FD’s to provide the right expertise to add value to your business. If you’re a small company, have plans for growth and need some finance clout, then contact us for a no obligation coffee. ASHCROFT ANTHONY Ashcroft Anthony is a fast-growing accountancy firm committed to delivering the best possible service and advice to our wide-range of clients. The firm’s dynamic approach to client service means that we are fast becoming recognised locally as a leading firm of Chartered Accountants and private client advisors with a global perspective. Our comprehensive range of business services actively support a business at each stage of its growth. Whether it is simple annual trading statements or international group audits, bookkeeping or FSA regulation our tailored approach provides an effective, personal and cost aware output for every client. By engaging with our clients and understanding their business objectives we utilise our extensive experience to help businesses develop winning strategies and achieve their potential. Our Private Client division specialises in the providing a complete range of tax services to wealthy families and individuals, trusts and agricultural estates. We pride ourselves 58
on a more personal and accessible approach to identifying tax planning opportunities and establishing the appropriate strategies to both maintain and pass on wealth in the most tax efficient manner. NASH MATTHEWS Nash Matthews is a partnership of European Patent and Trade Mark Attorneys in Cambridge. Our services encompass patents, trade marks, designs and other related rights. Our combination of practical, clear advice with a personal service has proven successful since 1972, when we were established as the first IP firm in Cambridge. We are proud to have worked since then with many of the companies forming part of the Cambridge Phenomenon. Whether you are an individual, an SME or a corporate entity interested in UK, European or global protection, we can help to secure your ideas and provide the advice you need. TAKEDA
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Takeda Cambridge Ltd is a drug discovery company specialising in identifying and validating novel drug targets derived from the human genome. Worldwide, Takeda discovers, develops, manufactures and markets a broad range of superior pharmaceutical products to strive toward better health for individuals and progress in medicine. Takeda Cambridge Ltd and its subsidiary Takeda Singapore Pte Ltd, have established world-class target identification and validation capabilities. By using genetic models and in vivo and in vitro pharmacology we have developed a promising pipeline of novel drug discovery targets and compounds in key areas of unmet medical need such as CNS disorders and metabolic-related diseases. univerCELLmarket.com With the potential to cure chronic disorders such as heart failure and diabetes, regenerative medicine is set to revolutionize the future of medicine. Targeting this fastgrowing market, univerCELLmarket is the world’s most comprehensive source of quality, up-to-date information about the global stem cell and regenerative medicine sector. Users can search the portal for data ranging from therapies and licensing opportunities to suppliers of GMP manufacturing services, tissues, cells, research centres and networks as well as news, jobs and events. All the data sets have been rigorously categorized by experts in this field so that commercial and academic users can quickly and easily filter for information that matches their specific needs. The news, events and jobs bulletins are updated daily. BioPharmaMarket.com The BioPharmaMarket (BPM) is an online marketplace for the global drug discovery and development industry. The UK version of the BPM gives you free access to 8 searchable databases containing a wide range of information about the discovery and development of medicines by the British biotechnology and pharmaceutical industry all at the push of a button. This includes the latest news, events, jobs, training courses, drug pipelines, technical and business services, funding sources and academic research departments. You can also subscribe to our free newsletter 7/60 - a summary of the previous 7 days’ news which you can read in 60 seconds.
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FD’s for small businesses that think big
.. .. .. .. ..
Are.you.a.small.but.ambitious.business? Looking.for.early.stage.funding?....... Need.help.building.your.business.plan? Do.you.have.3.year.cashflows.and.P&L? Already.growing.but.need.some.financial.controls?
Then you need one of our commercially experienced part-time Finance Directors to help you achieve your growth and profitability. Forecasting,.cashflow.management,.business.plans,.raising.finance..... mybusinessFD.can.draw.from.a.team.of.commercially.experienced.FD’s.to. provide.the.right.expertise.to.add.value.to.your.business..If.you’re.a.small. company,.have.plans.for.growth.and.need.some.finance.clout,.then.contact. us.for.a.no.obligation.coffee.
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Case Study: On Demand Technology Julian.came.to.us.with.a.business.model. that.was.changing.focus.but.no.surplus.cash. to.invest.in.resources.needed.to.make.it. happen..Sound.familiar?
Chris.Chapman.is.one.of.the.most.all-around,. effective.CFO’s.I.know..He.has.deep.experience.in. almost.every.event.that.a.small.or.growing.business. might.confront..He.is.a.pleasure.to.work.with.and.he. is.a.reminder.that.all.businesses.rest.on.the.quality.of. the.financial.systems.in.place..I.cannot.recommend. Chris.highly.enough.
Doug Richard, ex-Dragon’s Den, Serial entrepreneur and angel investor
How mybusinessFD helped Julian.outlined.his.plans.for.the.business,.talked.us. through.his.services,.the.market,.the.competition. and.why.he.was.well.poised.to.develop.a.far.more. profitable.business.than.the.one.he.had.been. running.to.that.point.. Over.the.next.couple.of.weeks.we.worked.closely. together,.building.up.the.details.of.the.financial. model.to.create.a.3.year.P&L,.balance.sheet.and. cashflow,.all.driven.by.bottom.up.business.metrics,. deal.by.deal.and.month.by.month..Lots.of.inevitable. iterations,.stripping.out.some.bullish.optimism.here. and.there,.a.lot.of.challenging,.poking,.tweaking.and. remodelling.later,.we.had.a.set.of.financials.that.we. were.all.happy.reflected.as.realistic.a.picture.of.the. business.as.we.felt.we.could.get.. Julian.always.had.a.gut.feel.for.what.finance.he.would. need.for.expansion.but.what.the.model.did.for.us. was.to.give.us.something.that.we.could.hang.our.hat. on,.that.we.could.point.at,.talk.anyone.through.the. assumptions.of.and.justify.to.any.external.third.party. Putting the plan into action We.spent.just.as.long.helping.to.build.up.the.story. around.the.numbers.and.the.general.business. strategy;.the.competitive.position,.the.market. analysis,.the.USP’s,.pipeline.and.overview.of.the. team..All.important.factors.in.our.final.submission.to. Finance.East.for.£150k.of.funding.from.their.growth. Fund.that.they.manage.on.behalf.of.EEDA..Some. weeks.later.we.finally.got.the.good.news.that.the. credit.committee.had.approved.the.project.and.we. would.indeed.get.our.£150k.in.2.equal.tranches. mybusinessFD.are.continuing.to.work.closely.with. Julian.and.ODT.as.they.recruit.a.larger.team.and.start. to.deliver.their.anticipated.growth..We’re.confident. that.the.business.will.go.from.strength.to.strength.
Chris.was.absolutely.critical.in.building.our.bid.for. investment.and.I’m.sure.that.we.wouldn’t.have.been. successful.if.it.wasn’t.for.his.involvement..I.valued. not.only.his.keen.financial.eye.but.also.his.broad. commercial.experience.and.a.wealth.of.contacts.
Julian Thomson, On Demand Technology
I’m.really.grateful.for.all.mybusinessFD’s.support.in. building.our.plans.and.financial.models.and.their. general.commercial.support.over.the.last.few.months.. Their.entrepreneurial.approach.has.been.invaluable.in. enabling.us.to.make.significant.steps.in.our.business.
Neil Garner, Proxama
Chris.has.helped.us.immeasurably.since.his. involvement.with.our.business.over.a.year.ago.and. was.key.to.us.securing.our.£1m.VC.investment.earlier. this.year..We.highly.recommend.him.
Andrew Mulvenna, Director, Brightpearl
Chris has over 20 years experience in finance and acts as non-executive Director or Board adviser to many of those client technology businesses that he supports.
Contact Chris Chapman chris.chapman@mybusinessfd.com
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Takeda Cambridge Ltd (TCB) is a drug discovery company specialising in identifying and validating novel drug targets. Worldwide, Takeda Pharmaceutical Company Ltd develops, manufactures and markets a broad range of superior pharmaceutical products and strives towards better health for patients worldwide through leading innovation in medicine. Takeda Cambridge has played its part in the ‘Cambridge Phenomenon’. Formerly Paradigm Therapeutics Ltd, (founded in 1999 as a spin out from the University of Cambridge), its platform technology uses mouse models to explore the function of novel drug targets such as G-protein coupled receptors (GPCRs). Using this technology, we have established world-class target identification and validation capabilities. This has enabled us to develop a promising pipeline of novel drug discovery targets and compounds in key areas of unmet medical need such as CNS disorders, chronic pain indications and metabolic-related diseases. TCB manages its research portfolio from target identification to the clinic and works with many scientific collaborators and research partners. These collaborations enable us to tap into unique expertise and we view them as an important component of our success in developing innovative drugs for complex yet poorly treated diseases such as Schizophrenia and Alzheimer’s Disease. Over the next decade, we will target mechanisms not currently exploited in these disease areas and we see extensive collaboration to be of growing importance to our global success in bringing new medicines to the patient. We welcome discussions with academic groups and scientists researching in TCB’s disease areas of interest and can facilitate introductions for collaborative opportunities within other parts of the global Takeda organisation. For more information about TCB or an informal discussion around potential collaboration, please contact Dr Mark Carlton, President and CSO email: info@takedacam.com Takeda Cambridge Ltd, 418 Cambridge Science Park, Cambridge, CB4 0PA http://www.takedacam.com Striving towards better health for patients worldwide through leading innovation in medicine
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Investor Development Nurturing overseas businesses in the region The East of England – and in particular the Cambridge area – is an attractive proposition for innovative technology companies wanting to establish themselves in the UK. Companies setting up here use the East of England as a springboard to Europe. These businesses are of all sizes and operate in all sectors; they each benefit from our region’s vibrant economy, excellent supply base and world-leading research institutions. The local economy in turn benefits from these companies. Research has shown that there are over 2,500 foreign-owned businesses in the region, contribute almost a quarter of the total regional turnover, grow faster than home-grown companies and on average employ 96 people compared to the overall business average of 9 employees. (SQW Consulting report 2009) East of England Investor Development is charged with supporting these overseas-owned operations. Working with UK Trade & Investment, the East of England Development Agency and other regional organisations, East of England Investor Development operates a joined up approach to supporting overseas-owned businesses to succeed, expand and to create yet more jobs locally. Ann Wardle, who heads up the East of England Investor Development team has no doubt that this partnership approach works: “The Investor Development programme of linked services not only encourages companies to stay in the region but also informs and supports the international expansion strategies of those businesses back at the company’s global headquarters. “Companies can rely on us to use our local knowledge, our sector expertise and our links with organisations within the region, UK and around the world to make their operations as efficient and as successful as possible. We work closely with our UK Trade & Investment colleagues to ensure that we have a strong relationship with the parent company to ensure that the UK basedmanagement is supported in an international context.” The region with its strong R&D and innovation reputation ensures that although companies may have other UK operations, they maintain a presence in the region. “We encourage parent companies to do more R&D – with the resultant growth that this usually brings within the region. We work with them to tap into the expertise and experience of R&D specialist employed by UK Trade & Investment and, of course, the team are all well-connected and understand their sectors.”
“We build relationships with our clients and work with them to preempt any issues becoming major problems. In planning expansion of facilities, for example, we can involve the local Economic Development Officers in the first instance and call on a specialist team of planning advisers at UK Trade & Investment.”
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East of England Investor Development’s integrated approach to attracting overseasowned businesses, and then being very active in providing ongoing support to help them grow their business, is especially effective.
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Alister Jones Head of Investor Development, UK Trade & Investment
The Investor Development service is free – clients are entitled to this support, which is funded from UK Government sources through UK Trade & Investment and EEDA.
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I am totally thrilled by the response (of the Government). Your team has been most expeditious in working with investors in the UK, displaying the highest level of competence in helping resolve problems and meeting challenges faced by investors in the most turbulent times! Paul Kan, Chairman, Champion Technology Holdings Ltd
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The service is flexible and responsive. There isn’t a standard offer as support is provided according to need, but some general topics do crop up, such as location and expansion assistance; sector issues, innovation and supply chain; operational efficiency; people, skills and training; and developing new markets.
Let us help you. Our services are free and confidential. Contact Ann Wardle and her team at: a.wardle@theeastofengland.org.uk
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Clear leaders in business communications Presentations E-brochures Podcasts Video Conferences and events
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www.sga-uk.com
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The Cambridge Phenomenon Award Welcome to the Cambridge Phenomenon 50th Anniversary In partnership with Microsoft Research Cambridge, ARM Conference: The Future Starts Here. and Price Bailey, we are running a competition to identify the most exciting companies of the future in IT and Bioscience. The winners will be selected by you at the end of the conference using real-time electronic voting.
About the competition We assembled a panel of judges with backgrounds in IT, bioscience, investment and policy-making, and asked them to nominate companies in each of the two categories which in their opinion have the potential to be the leading IT or Bioscience company in Cambridge in the future. In order to be eligible, the companies had to be located within a twenty mile radius of Cambridge, in private ownership, and established for more than two years. The judges met twice over the summer to review the list of 100 nominations. They short-listed four companies in each category and these are the companies we invited to take part. In September, a senior executive from the companies joined us at the Hauser Forum where they each made a 60-second film, the aim of which is to persuade you, the audience, to vote for them. Each film will be shown once during the conference programme and once again at the end of the day. We are grateful to our production company, Simon Greene Associates, Cambridge Enterprise, and the Hauser Forum, for their support. Voting Instructions on how to use the handheld voting device and space for taking notes can be found overleaf.
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The judging panel John Aisien, Oracle. Max Bautin, IQ Capital. Catherine Beech, Formerly Cambridge Gateway Fund. Graham Budd, ARM. Charles Cotton (Chair), Cambridge Phenomenon Ltd. Neil Davidson, Red Gate. Harriet Fear, ERBI. Laurence Garrett, Highland Capital. Anil Hansjee, Google. Hermann Hauser, Amadeus Capital. Davor Hebel, Fidelity Growth Partners Europe. Derek Jones, Babraham Bioscience Technologies. Peter Jones, Eden Ventures. Bindi Karia, Microsoft. John Lee, Odyssey Ventures. Peter Magowan, Alta Berkeley. Paul May, EEDA. Nick Mayhew, Price Bailey. Struan McDougall, Cambridge Capital Group. Julie Meyer, Ariadne Capital. Amy Mokady, i-Teams Programme. Dan Roach, Avlar. Robert Sansom, Cambridge Angels. Chris Smart, Acacia Capital. Teri Willey, Cambridge Enterprise
IT Shortlist
Plastic Logic Tony Illsley . Pioneering plastic electronics technology to replace silicon in a variety of devices in the future
Ubisense Richard Green . Systems for tracking people and products, both indoors and outside, in harsh environments which defeat GPS technology
Owlstone Nanotech Billy Boyle . Developers of a dimesized device that can be programmed to detect chemical agents that may be present in extremely small quantities.
Jagex Mark Gerhard . Independent developer and publisher of online games
CellCentric Will West . Unlocking the therapeutic potential of epigenetics by discovering new anti-cancer drugs.
Senexis Mark Treherne . Accelerating the development of novel disease-modifying treatments for Alzheimer’s sufferers in an ever ageing global population
Bioscience Shortlist
Horizon Discovery Darrin Disley . Translating genomic information into personalized medicines and companion diagnostics via proprietary research tools
Astex Therapeutics Harren Jhoti . Discovery of novel cancer drugs based on a proprietary drug discovery platform.
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How to vote When prompted you should use the handheld device provided to cast your vote. The red LED in the top right corner of the device will flash when the keypad is active. You can change your vote by pressing a different key whilst the voting is still active. When the red LED in the bottom right hand corner or the device flashes, your final vote has been cast.
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Notes Use this page to take notes as you watch the video pitches
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Visit www.cambridgephenomenon.com
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