Acta Biotechnol.

23 (2003) 2 – 3, 228 – 232

Summary of the Visionary Study:

Gene Technology – a World Power

What are the most profitable business segments of tomorrow and beyond? Which kind of business vol-
umes offer gene and stem cell therapy, xenotransplantation, tissue engineering, reproductive genetics,
neurochips, cogniceuticals, nutriceuticals, nanobiotechnology, proteomics and pharmacogenenomics?
Let us take a closer look at the business plans of pioneer companies. What kind of marketing and
communications strategies do they follow? Which new proteome analysis technique will win the race?
What can DNA and quantum computers accomplish? What have government and industry to do, to put
Germany on the cutting edge of technology? Answers to these and many other questions are addressed
in a sound-standing Study by Dr. Volker HALSTENBERG and Prof. Dr. Maria-Paz WEIßHAAR.
In contrast to other Studies, this report takes a closer look (contracted by BBE Consulting Firm) at the
interaction between gene technology, bioscience, computer science, neuron science, artificial intelli-
gence, quantum mechanics and nanotechnology.
You can find an overview at: www.weltmacht-gentechnik.de
Contact: halstenberg@marktantrieb.de

Gene Technology – a World Power: Future Trends and Possibilities

(A review by Prof. Dr. Andreas PFÜTZNER)
In their 200-page study, the economics psychologist and marketing expert Dr. Volker HALSTENBERG
and the molecular biologist and university lecturer Prof. Maria-Paz WEIßHAAR give an insight into the
almost endless possibilities and business opportunities of medical gene technology as well as adjoining
technologies.
Tenor: There will hardly be any other line of business, which will influence our society and economi-
cal world in such a profound way as gene and biotechnology. Up to the year 2020, this field will be
part of the most important innovations in the areas of human and veterinary medicine, pharmaceutics,
health care, cosmetics, food products, farming, material-, commodities/raw material and environmental
technologies.

Everything Is Possible
Personalised medicine by means of biochips and pharmacogenomics up to gene therapy, designer ba-
bies and tailored humans. Bio-robots in nano format (1 Nanometer = 1 billionth meter) which will
permanently patrol the human bloodstream, eliminate cancer cells and pathogens throughout their
developmental stages, repair damaged cells, and maintain a perfect immune system at every moment.
US physicians are already working with so-called nano particles to directly target and destroy tumours
and metastases (Science (2002) 296, 2404).
In the year 2010, the nanotech market is expected to have a worth of 700 Billion US Dollars where the
foremost element will be attributed to nanobiotechnology and nano-biopharmaceutics. This predomi-
nate element is discussed in depth in Chapter 8 of the Study.
Visionary Study: Gene Technology 229

Technological Quantum Leaps and Bounds

From the very beginning, the first chapter deals with gene technologic quantum leaps from all over the
world, which could be used as an opportunity for new and profitable business ideas i.e.
• Just recently Lennart HAMMERSTROM of the Swedish Krolinska Institute registered an inven-
tion with a billion blockbuster turnover potential business. He and his colleges succeeded in
manipulating the hereditary information of lactobacillus (lactic acid bacterium) in such a way
that it will dock onto the treacherous cavity-producing bacteria, and plummet them into the
throat and through the stomach where they are digested without causing any harm. This anti-
cavities yoghurt will be ready to be marketed in 1–2 years.
Such and similar products offer the possibility, because of their benefits, to release the public
health insurer of their tremendous financial burden, and to improve the acceptance and image
of gene technology.
• Soon, biopharming and nutriceutic specialists will provide us with pharmaceuticals from the
farm: DNA-modified pigs that will produce haemoglobin (as blood replacement). Gene
manipulated goats that carry antithrombin (blood clotting), plasminogen activators (against
heart attacks) as well as the monoclonal antibodies BR-96 (to fight cancer). Bananas that help
to prevent meningitis, whooping cough, measles and rubella, potatoes that contain a vaccine
against cholera... Anything is possible.
Biopharming- and nutriceutic specialists like DNX Inc./Princeton, GENEZYME TRANS-
GENICS Inc./Massachusetts and the SCOTTISH PHARMACEUTICAL PROTEINS set an
enormous innovative pace.
The worldwide market potential for biopharmaceutical and nutriceutical products is in the
range of a multi billion-dollar business and promises a multitude of profitable business
segments for biotech start-ups.
• For the benefit of the paper-producing industries, industrial biologists are creating a gene that
causes trees to grow faster and produce more cellulose. Their colleagues are culturing micro-
organism that will clean up radioactive and other toxic wastes. Biodecontamination is another
billion-dollar market.
• Neurosurgeons treat Alzheimer and Parkinson patients with the help of gene manipulated
viruses, whose genuine DNA has been replaced by natural growth factors or suppressor genes.
No later than 2020, somatic gene therapy will be a common method to treat a plethora of
diseases. FROST & SULLIVAN forecast for 2007 a sales volume of 2.8 Million Dollars in the
US.
• Human geneticists of the Max Planck-Institute of Psychiatry are working on special designer
molecules called cogniceuticals which among other things will be capable of erasing traumatic
experiences (memory extinction).
A group of researchers associated with Beat LUTZ recently discovered a neural circuit that is
active in deleting traumatic experiences by genetically manipulating the brains of mice.
Interestingly enough, the essential substance in the drug marihuana resembles the same proteins
that are responsible for deleting these very traumatic experiences (Nature (2002) August, 418).
In a few years, interminable psychotherapeutic treatment of i.e. trauma and phobia patients
could become redundant or made more efficient by using cogniceuticals.
• Tissue engineers cultivate human tissue, cartilage and bone replacements from endogenous
body cells.
Researchers at the RWTH in Aachen succeeded in crafting a bladder wall replacement by using
the patients’ own tissue cells. They were awarded the Paul-Mellin Prize for their efforts.
In the future, complete organs (heart, liver and kidneys) will be cultured in laboratories.
PPL Therapeutics announced just a few month ago the birth of the first transgenic piglets in the
world. Every one of the five healthy pigs carries a foreign marker gene in its DNA. The success
of this work paves the way for the production of knock-out pigs i.e. pigs which have a specific
gene inactivated. This gene is recognised by the human immune system as foreign and
230 Acta Biotechnol. 23 (2003) 2 – 3

therefore triggers an immune response leading to hyperacute rejection in humans of the trans-
planted organ.
According to PPL, this has been successfully accomplished, and they are confident that knock
out cells can be transferred into genetically complete life forms (www.ppl-therapeutics.com).
• Genome specialists have decoded the complete hereditary information of over 60 organisms
starting with microbes of the mouse and from baker’s yeast to the roundworm (Caenorhabditis
elegans). With the help of high performance computers they will shortly be able to sequence
the human genome, and in the near future will be able to completely sequence the human
proteome (the entire human protein).
• Genomics and proteomics allow an in-depth look at the contributory cohesion between diet and
diseases. One third of all health care costs are indirectly or directly linked to diet related dis-
eases. In the near future, this area of research will significantly impact the ability to control
exploding health care costs. The same goes for stem cell therapy and pharmacogenomics
according to HALSTENBERG and WEIßHAAR.

Bottomless Health Care Costs

From 1970 until today, the average contribution to public health care insurance (GKV) rose from eight
to fourteen percent. If no fundamental changes to the health care are implemented, we will have an
average rate of contribution ranging between 20 and 30 percent.

Health care budget and gross national product of Germany

Gross-domestic Expenditure Expenditure
product for health care for pharmaceuticals
[Thousand [Thousand [Thousand
Mill. €] Mill. €] [% BIP] Mill. €] [% BIP]
1992 1,613 163.2 10.1 25.9 1.6
1993 1,654 168.1 10.2 24.2 1.5
1994 1,735 180.2 10.4 25.3 1.5
1995 1,801 194.0 10.8 26.7 1.5
1996 1,834 203.0 11.1 28.0 1.5
1997 1,875 203.9 10.9 28.4 1.5
1998 1,935 208.4 10.8 29.9 1.5
1999 1,982 214.3 10.8 31.4 1.6
2000 2,033 218.4 10.7 32.4 1.6
2001 2,063 225.0 10.9 35.0 1.7

Efficiency Is Required
Just one example of cost efficiency in the health care system is the treatment of 136,000 adult schizo-
phrenia patients in Germany. Inpatient care in one quarter, amounts to at least 18.917 € whereas drug
therapy of schizophrenia patients with atypical neuroleptics, with less side effects than traditional
neuroleptics, is 1.022 € per quarter.
According to HALSTENBERG and WEIßHAAR, growing molecular genetic knowledge leads to causal
treatment of diseases whereas today, drug treatment simply cures the symptoms.
(As for side effects and risks – which costs billions and claim countless fatalities – ask your physician
or pharmacists)
Visionary Study: Gene Technology 231

For the coming years, the authors forecast a health care system developing based on genome research
individually tailored, and without side effects, or fewer side affects in drugs as well as therapies.
By means of bona fide marketing examples, the chapter pharamacogenomics shows how pharma-
ceutical companies can generate ample profits even with small target groups. Apart from established
figures relating to world-wide, US-American, Asian, European and German bio and nano-industries as
well as the turnover potential of pharmacogenomics, proteomics, bioinformatics, stem cell therapy,
xeno-transplantations, tissue engineering, reproductive genetics, neurochips, cogniceuticals, neutriceu-
ticals and much more can be found as concisely establishing success factors for biotech- and other
technology companies.

Business Success
As for the often ignored vision or corporate mission it is often said:
From the start, every BTC should have a short and precise vision which is followed by the
management on a day to day basis. This unmistakably shows what the company stands for, where it
wants to go, and what its values are. (Who are we? What are we doing? Where do we want to go?
Which values guide us?)

Example Amgen
“We aspire to be the best human therapeutics company. Amgen values and uses science and innovation
to dramatically improve peoples’ lives.”

Example Genetech:
“Genetec commits itself to the highest standards to integrity in contributing to the best interest of
patients, the medical profession and its employees, and to seeking significant returns to its stock-
holders based on the continued pursuit of excellent science”.
HALSTENBERG/WEIßHAAR quote another mission statement from a different business field which could
just as well work for bio or nanotech companies:
“We aspire to become the most customer friendly company in the universe” (Jeff BEZOS, CEO Ama-
zon).

Maximum Revenue
It is crucial for strategic future success, to minimise costs and R&D time (Keyword: process optimisa-
tion) and to quickly offer a substantial number of products, which present to a world-wide clientele a
one of a kind advantage. In addition, the complete value creation chain starting with the research,
pharmaceutical development and marketing should be covered. According to the authors, an integrated
system solution platform consisting of High-Throughput DNA-Screening, individual gene profile
analytics, proteomics and pharmacogenomics with the focus on cancer care would be the optimum.
Strategic alliance with big companies, international corporations, mission orientated research, fran-
chising, merger or acquisitions of other BTC’s which round out their portfolio or an initial public
offering (IPO) are also possibilities to consider, to increase profitability, revenue, financial capacity,
market position, image and publicity.
Substantial IPO profits are possible for even small BTC’s, i.e. CK LIFE SCIENCES, confirms that the
Asian billionaire Li KA-SIGN’S company, with just 30 employees spent 42 Million Hong Kong-Dol-
lars (HKD) for research and development in 2001. This IPO was more than a hundred-fold
oversubscribed despite a world-wide market depression. The private investors alone which were
initially offered only 10% of the 1.31 billions shares submitted in a short period of time share offers
for more than 26 Billion Hong Kong Dollars (on August 7th 2002, 1 HKD equals app. 0.12826 US-$)
Let us focus on co-operative success. On page 33 of the Study it was stated: “What is optimum today,
is obsolete tomorrow”:
232 Acta Biotechnol. 23 (2003) 2 – 3

Equally important is a continuous monitoring of the environment in connection with flexible adjust-
ment of personal business strategies, organisational structures, products and services to con-
sumer/customer demand, activities of the competition, health care, and insurance politics as well as
the aspects of law i.e. patty patent law, biopatent law, gene technology law, and embryo protection
law. At any time, companies enduring success are able to adjust their current business form and mar-
keting strategies or to abandon them and to concentrate on profitable and more promising areas.
Joseph Alois SCHUMPETER called this “constructive destruction”. This could have helped Craig
VENTER and other entrepreneurs in securing their business success.
HALSTENBERG and WEIßHAAR transform brain researcher Gregory BATESON’s quote “Differences
which make differences” into a strategic marketing achievement.
In order not to drown in the product and information overflow one should create strong distinctions
that will produce powerful logical affects in the minds of stakeholders. The more powerful and multi-
dimensional a company differentiates itself from its competitors, the better it is regarded, and the more
effectively it communicates and operates. It is best to develop early on, a co-operative identity. It starts
with the said vision, indistinguishable name and logo and declarative testimony (i.e. Personalised
Medicine from Genomics) and cascades throughout the entire business organisation including the
motor pool and continues up to the architecture of headquarters.

In Conclusion – a Look into the Year 2018

In a few years, the miniaturising of the classical silicon chip will reach its physical limitations.
In 2018, silicon strands in our computers will be ancient history (obsolete) and be replaced by DNA
strands. Protoplasm machines, unlike human brains, will be able to solve complex problems and con-
trol complex processes much faster and without errors, and at the same time continuously gain
knowledge at a speed that is presently hard to imagine. Such machines will evolve in real time.
Just 30 grams of DNA will be 100,000 times faster than today’s supercomputers because all
1120 molecules compressed in a DNA strand work in parallel, plus their use of energy is a billion
times greater. Each litre of DNA can store 3 × 109 terra byte.
Just one gram of DNA could store the entire literary content of the world’s largest available libraries.
Organic (bio) computers of tomorrow will be able to compile from any human cell in just 60 seconds, a
complete hologram of the matching human being. A suspect’s hair is found at a crime scene, a life size
hologram appears right before the detective’s eyes, tough times for future crooks.
This informative, witty and provocative study by HALSTENBERG/WEIßHAAR is not meant to be a dis-
proportionate paean of praise in favour of gene and other future technologies. Risks and dangers are
unmistakably pointed out as well. What is defined as political and economical circumstances must be
removed in order that the technological future generates “the greatest benefit to the greatest number”.
You can find an overview at www.weltmacht-gentechnik.de
Contact: halstenberg@marktantrieb.de

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