Overall objective of feasibility study is to elaborate the 10-year business plan for tagMDR. Specific objectives are:
• Identifying the possible business partners and competitors
• Establishing partner network for the clinical data collection
• Handling the ethical issues, safety, and regulatory requirements
• Performing the freedom-to-operate analysis to secure the market position of tagMDR
• Elaborating the market segmentation map and business model
During internal discussions, and with our collaborators and key partners, the potential of targeting the CTC detection & enrichment was brought up as an alternative and possibly more attractive avenue. As such, an executive decision was made to include CTC in our feasibility study. As such, there was a period of groundwork to establish which application, MDR or CTC, was more feasible before committing to building a 10-year plan.
The additional steps were tech assessment and market analysis to understand if it was possible to adapt the technology we had built from MDR to CTC, and to understand which market had a larger opportunity as well as impact.
The tech assessment was conducted internally. We identified that our MEMS-based core technology could also be tailored for other cancer cell detection applications besides MDR. Following on the tech validation, we conducted a market study to validate which application was more feasible to pursue. The market study was done via a market survey in conjunction with Yole Développement – a marketing and strategy consultancy, in the major markets of EU and US. In total, 104 key personnel from 79 major stakeholders in the global oncology market were contacted. Most interviewees, 10 of 17 companies, signalled strong and immediate interest in tagCTC whereas there was no strong interest from any of the 17 companies interviewed for tagMDR.
The outcome of our extensive technology and market analyses demonstrates that tagCTC holds significantly greater impact and has a more promising market opportunity. There was strong interest from multiple stakeholders who were already keenly aware of the value that tagCTC can bring – this indicates potentially minimal work and time to convert interested parties to paying customers. Furthermore, the market opportunity of the CTC detection/liquid biopsy is at least 10 times bigger than microfluidics market which tagMDR was targeting. Using 2015 estimates the liquid biopsy market was worth USD28.6 B in the US alone compared to USD3.1 B for the microfluidics market worldwide. We also conducted an examination of competing technologies and compared tagCTC.
During our market analysis we able to fulfil the following two objectives:
• Identifying the possible business partners and competitors
METU MEMS Centre – MEMS fabrication
Designnobis – Industrial & mechanical design
Mikro Tasarim Inc – ASIC design
Hacettepe University Hospital – Clinical studies
Yalçıner Patent Consultancy – Trademarking, IPR
AYS Consultancy – ISO certification & CE mark
• Establishing partner network for the clinical data collection
CHU Lyon (France)
IC-HCL (France)
Novelcheck (Germany)
• Handling the ethical issues, safety, and regulatory requirements
MikroBiyo has received ethical approval from Hacettepe University Hospital. We have identified with AYS Consultancy the necessary regulatory requirements which include ISO certification and CE marking for EU, and FDA approval for the eventual US market. In fact, MikroBiyo has started working on ISO 13485 & 9001. Additionally, MikroBiyo is aware of impending changes to medical device regulations which we will continue to monitor.
We also looked at potential market risks and identified contingencies to overcome these barriers, which includes: Low adoption from broader oncology market, High competition & Intellectual Property, Payment/Reimbursement, and Regulation.
• Performing the freedom-to-operate analysis to secure the market position of tagCTC (changed from tagMDR)
A freedom-to-operate analysis was conducted to ensure that there were no IP infringements in the EU and US markets. There were 3 similar patents, 2 have been granted in the US. However, these patents do not directly refer to the use of MEMS technology to detect, isolate, enumerate, and enrich CTCs, or a combination of size and immunoaffinity techniques. Therefore, the conclusion of the FTO analysis indicates that there are no public patents, which might prevent the patentability and commercial exploitation of the tagCTC in the EU and US. However, MikroBiyo will actively monitor the freedom to operate landscape in key markets - especially since liquid biopsies and CTC detection are currently and for the foreseeable future will be an intense field of research.
• Elaborating the market segmentation map and business model
The next was to develop the work programme to map out the work required to go-to-market by the end of the 3-year SME Instrument Phase II project period. We developed a total of 7 work packages: Project mgt; Optimisation & mfg of analysis unit prototype; Optimisation & integration of MEMS chip & hybrid device; Optimisation and manufacturing of disposable polymer cartridges; Clinical studies; Product certification; and commercialisation, and Communication, Dissemination, and Exploitation.
MikroBiyo expects the interest in tagCTC to stem from:
• Academic & research centres
• Reference laboratories
• Clinical end-users such as hospitals & clinics
• Diagnostic/biotechnology companies
• Pharmaceutical companies, especially those with companion diagnostic products
• Other research end users such as public health laboratories, pathology laboratories, and small molecular laboratories
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We have also developed our business model which will occur over 3 phases over a 10-year period. The first phase will occur within the 3-year phase 2 funding period. The target market will be cancer research organisations: Academic & research centres and Reference laboratories in the EU. tagCTC will use the following strategy to secure its market position:
• Focus on translational research with key opinion leaders (KOLs) that include major EU, US and international cancer centres to develop clinical application, undertake patient studies, and gain support from KOLs.
• Obtain CE marking & ISO certification
• KOL reporting on clinical applications supported by pilot studies
• Transition KOLs to first customers
• Patient studies to support clinical applications
• FDA authorisation
• Go to market via commercial collaborations with major biotechnology and pharmaceutical companies
• Enter mass production and roll out of commercial sales channels