Bio-manufacturing
Bringing the promise of reengineering life to life
Last updated: 27 Oct 2022
Market 101
Biology may once have been a black box of processes that were hard to understand and even harder to manipulate. But advances in gene sequencing and DNA synthesis tech have turned biological engineering into a reality. As a result, the growing field of biomanufacturing seeks to replace synthetic, energy-intensive processes with natural reactions that can help us boost food production, fight disease, clean water or gobble up carbon dioxide.
Whether they’re developing new materials to rival plastic or growing animal cells from scratch, a host of new startups is rising to the opportunity. But the scale of the industry’s potential to transform manufacturing is matched by the challenge of bringing new technologies to market. From addressing concerns around security to ramping up capacity for scaling, there remains lots to do to bring the promise of reengineering life to life.
Early stage market map
Key facts
60
% of the global economy’s physical inputs that could, in theory, be produced biologically1
$4tn
estimated annual worth of biomanufacturing over the next 20 years2
$600
cost of sequencing a genome for researchers (down from $10k 10 years ago)3
Trends to watch
Beware the “build your own pandemic” bio-terrorists
→ Proving that technologies can be deployed securely remains a major concern for the field.
→ Risks include “DIY biologists” or hackers using cheaply available custom DNA to manufacture pathogenic strains, as well as the unintentional release of bioengineered organisms outside their intended environment.
Can costs drop further?
→ While the cost of DNA synthesis has dropped dramatically over the past decade, the most widely used process of chemical synthesis remains too time-consuming and expensive for large fragments of DNA.
→ Startups are now developing an alternative approach — called enzymatic DNA synthesis — that uses enzymes to stitch various smaller sequences into a larger one in the hope of enabling researchers to go after bigger targets, like assembling entire genes or synthetic genomes.
The promise of continuous biomanufacturing
→ The majority of biomanufacturing relies on fermentation whereby enzymes turn raw materials into desired outputs.
→ Running this process in batches is something that has remained unchanged for the past 70 years. Due to advantages in cost and efficiency, some in the field are holding out for so-called continuous manufacturing to take over instead — the process of running fermentation without interruption.
Biomanufacture and chill
→ The sector is seeing the emergence of platform-based business models driven by companies with growing biological datasets.
→ Coupled with advances in machine learning, these companies enable faster discoveries for the entire ecosystem. They are also increasingly making their platforms available to others, allowing them to build on top of it other products and services.
Startups tracked by Sifted
Sifted take
The single biggest challenge facing the industry is the lack of industrial bioreactors, which are crucial for startups to drive down their production costs and demonstrate that their technologies can be translated from the lab to industrial scale. Solving this shortage will require a new network of companies providing the facilities where others can scale their novel products.
Rising stars
Designs and operates bioreactors for precision fermentation companies to scale their products. Cofounder David Brandes previously ran cultured fat startup Peace of Meat, which was acquired by Israeli foodtech MeaTech.
Round
Seed
Date
2022
Size
€10m
Backed by the likes of EQT Ventures, Acequia Capital and angels Taveet Hinrikus and Sten Tamkivi, Insempra harnesses precision fermentation to produce customised outputs for customers in sectors like cosmetics, food and new fibers.
Round
Seed
Date
2021
Size
€12m
Enhances plants’ ability to extract metals from mining waste streams. The two cofounders met through Entrepreneur First.
Round
Seed
Date
2021
Size
€4.3m
Early stage startups to watch
Animal Alternative Technologies (AAT)
Enablers
Manufacturing
€3.7m
€3.5m
-
Arkeon
Consumer
Food
€6.5m
€6.5m
-
Better Nature
Consumer
Food
€2.8m
€1.8m
-
Biomatter
Enablers
€500k
€500k
-
Bloom Biorenewables
Consumer
€7.6m
€2.5m
-
Bluu Seafood
Consumer
Food
€7.2m
€7m
-
CellRev
Enablers
Manufacturing
€3.9m
€2.1m
-
CELLUGY
Materials & textiles
€4.9m
€2.4m
-
Cytoseek
Healthcare
€5.5m
€4.2m
-
EV Biotech
Consumer
€2.3m
€500k
€20m
EVERZOM
Enablers
Manufacturing
€2.8m
€1.7m
-
Extracellular
Enablers
Manufacturing
€1.2m
€500k
-
GenoMines
Agriculture
€4.5m
€4.3m
-
Glaia
Agriculture
€1.5m
€1.2m
-
Insempra
Consumer
€12m
€12m
-
Libre foods
Consumer
Food
€2.8m
€2.5m
-
MagicCaviar- by Geneusbiotech B.V.
Consumer
Food
€2.5m
€2.5m
€8m
MiAlgae Ltd
Consumer
Food
€5m
€2.8m
-
NoMoMoo by Vegan Gourmet
Consumer
Food
€10k
€30k
€150k
Phytoform Labs Inc
Agriculture
€6.8m
€5.2m
-
Planetary
Enablers
Manufacturing
€10m
€10m
-
Scindo
Materials & textiles
€1.1m
€797k
-
Shellworks
Materials & textiles
€7.3m
€6m
-
Sources
News articles
Can Synthetic Biology Save Us? This Scientist Thinks So. | November 2021 | The New York Times
Biosecurity is synthetic biology’s most crucial ally | August 2022 | Labiotech.eu
3 The Era of Fast, Cheap Genome Sequencing Is Here | September 2022 | Wired
Synthetic Biology Is About to Disrupt Your Industry | February 2022 | BCG
How a bioreactor shortage is stunting the growth of Europe’s techbio startups | October 2022 | Sifted
Research reports
1, 2 The Bio Revolution: Innovations transforming economies, societies, and our lives | May 2020 | McKinsey
4Q 2021 Synthetic Biology Venture Investment Report | February 2022 | Built with Biology
2022 Tech Trends Report - Synthetic Biology, Biotechnology and Agriculture | Future Today Institute
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