German Government Provides €29 Million in Funding for Explosive Research
April 6 2008 | 4 comment(s)
Germany's Federal Ministry of Research is providing €29 million in funding for 16 new collaborative projects for the detection of toxic and explosive substances. Altogether 73 partner entities are involved in these 16 projects, ranging from universities, scientific institutes, defense companies and the police. From what is mentioned in the ministry's public statements it seems that unfortunately no start-ups are involved in these projects.
One interesting and potentially breakthrough technology example is the project with the easily memorable project name IRLDEX, which aims to be used against Improvised Explosive Devices (IEDs) through a new infrared laser that takes advantage of the unique absorption rates of explosive materials. The project leaders for this invention are the renowned Fraunhofer Institut and the Bundeskriminalamt (German Federal Police). Interestingly enough are the remarks of project manager Dr. Oliver Ambacher, who is thinking about future possible commercial applications of this technology for identifying food-diseases (Gammelfleisch) and pesticides in textiles. While the question arises of how to spin-off such a technology from this public-private mission, IRLDEX might become another powerful example of a technology developed firstly for security that later addresses commercial needs and earns healthy returns in the marketplace for its investors and founders.
The ministry's other research projects focus for example on the early and reliable identification of biological pathogens that cause epidemics. They also concentrate on the detection of noxious drinking water contaminants. There are also some projects that focus on researching the use of terahertz technology in security technology applications. More information on BMBF's website
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Comments
April 10 2008 11:13AM by charlie2000
what is so new about IRLDEX? using laser technology to reflect the light absorption rates of explosives is a traditional approach. can anyone enlight me why the Fraunhofer institute deems it so novel?
April 10 2008 06:26PM by Jennifer
Very interesting
April 18 2008 10:54AM by John
The "Forschung für die Zivil Sicherheit" program of the BMBF has financial entry conditions that are very difficult for start-ups to participate. 50% own funds is tough. Whereas universities and research institutes are 100% covered. Obtaining seed investment from Basel 2 mandated Business Angels is tough. Finding a Haus Bank as the interface to apply for state economic development innovation long term low interest loans is tough (virtually impossible because their policy is not to support what they conveniently perceive to be product development).
Finally, we have discovered a Mittelständische Beteiligungsgesellschaft that recently announced an equity investment product tailored to match start-ups whose technology product is about to enter the market. Provided that the state invest investor continues to "get it", the new capital will enable my company to fulfill new orders and show the EU our financial eligibility in order to complete the steps for participation (at 40% "pilot project" rather than 60% R&D subvention) in an EU funded industrial measurement project which has been won with a major company as the industry partner and launching customer. BTW our technology and project services are central!
Perhaps in Germany there is a realization that the Basel 2 criteria have been impeding investment and commercialization in innovative technology businesses.
The new EU Eureka EuroStars program is certainly a refreshing reversal which may aid many start-ups: hopefully my partner team included!
April 18 2008 02:39PM by THE GSC TEAM
John,
thanks for pointing out these unfair entry criteria for startups to participate in the BMBF security programme. It certainly echos our repeated calls for governments to revise their innovation outreach programmes to specifically include early-stage companies.
Interesting to hear about this German mezzanine capital provider you mentioned (Mittelständische Beteiligungsgesellschaft). Might be a great address of finance for other startups who read our blog - please let us know the fund's name.
- the GSC Team
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