Is the Commercialisation of Nanotechnology Different? A Case Study Approach

Nanotechnology is the latest in a series of general purpose technologies (GPT), earlier examples of which, have transformed household life, industry structure and firm performance. This paper traces the development to date of one of the first uses of nanotechnology to synthesise a new drug. Using an innovation systems framework, the paper compares the commercialisation process of this drug with that typically employed by a biotechnology company, to explore differences arising from the novel nature of the underlying technology. The study finds that the commercialisation process, followed by the company developing the drug, conforms substantially to the empirical literature on biotechnology commercialisation. However it departs in two important ways. One is the absence of venture capital involvement and the second is the failure to date to form an alliance with a major pharmaceutical company. The evidence suggests that while both reflect factors that relate to conditions in the Australian market, the novel nature of the technology may be an issue in the latter.