When Software Eats Bio
a16z.com
a16z.com
Illumina produces devices called sequencers, which are glorified microfluidics + imaging devices, which uses base pair chemistry to build the dna complementary strands of single stranded dna fragments one base by one using special dna bases that have washable fluorescent die and are blocking (so that the complementary strand grows by one base). Once the correct dna base is stuck to the single strands on the glass device, a picture of the glass device is taken by shining laser and using a CCD imager. The Nature of DNA makes sure that the correct complementary base gets stuck. 4 TIFF files are generated with billions of tiny dots one for each base A,C,G and T. The fluorescent die is washed, and the last added ddna base is deblocked and the cycle repeats. The whole software suite (image processing of TIFF files) and hardware specs (fluid chemistry, etc) is unfortunately closed source :(
I wouldn't say the the industry is ripe to be disrupted by software though. The cheapness of sequencing enables the development of new software for analysis, which in turn enables more sequencing.
Illumina is really only related to traditional Sanger sequencing in that its sequencing by synthesis.
1. http://www.sciencedirect.com/science/article/pii/S2214753515...
That or a different nanopore tech. After all the time they've spent and the missed promises of ONT's CEO it doesn't look like the current generation will deliver.
1: http://www.scientificamerican.com/article/cost-to-develop-ne...
Imagine a bunch of old-school bankers or Fortune 500 CEOs from the 90s trying to pick a winning software business. They know "business" so they should be able to apply their knowledge to the software world easily, would be their reasoning. Silicon Valley's picks in biotech, like Theranos, have fairly transparently misapplied "knowledge" in the same way. They look for all the wrong things, attributes that work well in software but not other places: 1) confidence bordering on arrogance, 2) dismissal of experts and standard knowledge disguised as an attempt to "innovate.", and 3) a chance to "hop on" to a rising founder/CEO before they've proven themselves and become super expensive. Similarly, be skeptical of other SV health efforts (such as Google's) unless there are real scientists behind it and also real experience in biotech (not tech).
Complete Genomics (next to LinkedIn and Google) is an example of what happens to a biotech company that has really great tech, but runs the business like a tech company rather than a biotech company. Scale goes completely sideways, they miss the market, and get sold off to a bigger fish and most likely will languish.