The Netherlands can become world leader in the development of Lab-on-Chip (LoC) technology, Invest-NL concludes based on research. However, a critical funding gap does exist and regulation is an obstacle to scaling up. Invest-NL calls for a MedTech fund and European standardisation.
LoC is a technology that integrates miniature laboratories on a chip the size of just a few centimetres. Among other things, the technology allows chemical and biological analyses to be carried out on a small scale. These include chemical reactions, DNA analysis and medical diagnostics. LoC allows complex laboratory analyses to be scaled down and automated, making them faster, cheaper and easier to perform than in traditional laboratories.
Microfluidics
LoC systems use microfluidics. This is a technique in which liquids are passed through tiny channels, often only a few micrometres wide, on the chip. This method allows manipulating very small amounts of liquid with high accuracy. Within the miniature channels, various processes can take place, including mixing, separating, and reacting substances. In addition, LoC systems often contain built-in sensors, which collect data during the process for real-time analysis. These include temperature sensors, optical sensors and electrochemical sensors.
The method makes processes such as continuous bacterial analysis, blood tests and chemical reactions much more efficient and faster. Think, for instance, of glucose monitoring or combating banana diseases or fermentation processes in the production of alternative proteins. The technology makes it possible to perform diagnostic tests easier, faster and closer to the patient. In preventive medicine and developing countries, among others, this offers great potential.
However, consider other applications, including environmental ones. For instance, LoC biosensors enable real-time monitoring of water quality, among other things. This puts the Netherlands in a unique position for social and economic impact, according to Invest-NL.
Strong academic hubs
Netherlands has strong academic hubs, including in Enschede, Leiden and Wageningen. Invest-NL also points to the startup culture around LoC technology, including focused on bionanotechnology, organ-on-chip and biosensors. However, while the Netherlands is a leader in innovation, Invest-NL also points to the funding gap that many startups looking to go to market encounter.
"Defining the commercial use case poses a challenge. While initial ideas may seem straightforward, there remains a mismatch in understanding how the innovation will fit within current end-user processes. This is partly due to the regulatory landscape, which is an obstacle especially for organ-on-chip technologies," Invest-NL writes in its report. "Although pre-seed and seed funding opportunities enable start-ups to start the process towards commercialisation, there is a funding gap."
MedTech fund
In its report (pdf), Invest-NL advocates for a MedTech fund to support start-ups seeking to make the transition from the laboratory to a commercial product. Such a fund should make the capital-intensive upscaling process feasible.
Invest-NL also points to the importance of shared facilities, which can play an important role in reducing costs and facilitating innovations in LoC technology. Finally, it advocates European standardisation of certification requirements, with the aim of accelerating the market introduction of these technologies.
'The Netherlands can become a global frontrunner'
"The Netherlands has the critical mass of talent and infrastructure to become a global frontrunner, but funding and regulatory obstacles are holding back broad applications of LoC and OoC technologies. A national strategy and targeted funding can further strengthen this sector," said Gert-Jan Vaessen, fund manager Invest-NL Deep Tech Fonds.
Invest-NL is a private company financed with public funds, with the Ministry of Finance as shareholder. There is no steering along political lines. It has a broad legal mandate. For instance, it is laid down by law that Invest-NL's purpose is 'to contribute to the financing and realisation of social transition tasks by companies and to provide access to corporate finance'.
Author: Wouter Hoeffnagel
